FRDD_20240320_omb

Supporting Statement for the
Disclosure Requirements Associated with CFPB’s Regulation DD
(FR DD; OMB No. 7100-0271)
Summary
The Board of Governors of the Federal Reserve System (Board), under authority
delegated by the Office of Management and Budget (OMB), has extended for three years,
without revision, the Disclosure Requirements Associated with CFPB’s Regulation DD (FR DD;
OMB No. 7100-0271). The Truth in Savings Act (TISA) was contained in the Federal Deposit
Insurance Corporation Improvement Act of 1991. The FR DD is the Board’s information
collection associated with the Consumer Financial Protection Bureau’s (CFPB) Regulation DD,
which implements TISA to assist consumers in comparing deposit accounts offered by
institutions, principally through the disclosure of fees, the annual percentage yield (APY), and
other account terms.
The estimated total annual burden for the FR DD is 25,410 hours. The Board accounts for
the paperwork burden associated with the regulation only for Board-supervised institutions.1
Background and Justification
On July 21, 2011, rulemaking authority for TISA was transferred from the Board to the
CFPB under the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 (DoddFrank Act). In December 2011, the CFPB published an interim final rule establishing its own
Regulation DD to implement TISA at 12 CFR Part 1030 that substantially duplicated the Board’s
Regulation DD. The CFPB finalized its interim final rule in April 2016. The Board repealed its
version of Regulation DD (12 CFR Part 230) effective June 30, 2014.2 This information is not
available from other sources.
Description of Information Collection
TISA and Regulation DD cover accounts held by individuals primarily for personal,
family, or household purposes. The disclosure requirements associated with Regulation DD are
described below. A depository institution shall retain evidence of compliance with
Regulation DD for a minimum of two years (or longer if required by the administrative agency
with jurisdiction over the depository institution) after the date disclosures are required to be
made or action is required to be taken.
Disclosure Requirements
Section 1030.4 - Account disclosures
Depository institutions are required to provide account disclosures containing rate and fee
1

Other federal agencies account for the paperwork burden that Regulation DD imposes on the institutions for which
they have supervisory authority.
2
See 79 FR 30711 (May 29, 2014).

information to a consumer before an account is opened or a service is provided, or upon request.
The purpose of the disclosure requirement is to provide account holders and prospective account
holders with the type and amount of any fees that may be imposed (including ATM withdrawals
or other electronic fund transfers), the interest rate and APY that will be paid on an account, and
other key terms.
Section 1030.5(a) - Change in terms notice
Depository institutions are required to provide 30 days’ advance notice of any change
that may reduce the APY or adversely affect consumers, such as an increase in fees. Certain
types of events, such as changes in the interest rate and APY for variable rate accounts, are
exempt from this requirement.
Sections 1030.5(b) and (c) - Notices prior to maturity
Depository institutions are required to provide notices prior to maturity for certain time
accounts. The timing and content requirement of the notice varies depending on the term of a
time deposit and whether it renews automatically:
• For automatically renewable time accounts with a term less than or equal to one month,
no advance notice is required.
• Advance notices for automatically renewable time accounts with a maturity longer than
one month but less than or equal to one year may be sent either 30 calendar days before
maturity or, as an alternative, 20 calendar days before the end of a grace period, so long
as the grace period is at least 5 calendar days. The alternative timing rule was adopted to
allow flexibility for institutions to maintain any existing practice to send notices 10 to 15
days prior to maturity. The notice may contain the disclosures required when the account
is opened or, as an alternative, information on the interest rate and APY for the new
account, the maturity date for the existing and new accounts, and any changes in terms.
• For automatically renewable time accounts with terms longer than one year, institutions
must provide disclosures required at account opening. The timing rules for these accounts
longer than one year are the same as for accounts with maturities longer than one month
but less than or equal to one year.
• For nonrenewable time accounts with a maturity of less than or equal to one year, no
notice is required. If the maturity is longer than one year, the notice must provide
information on the maturity date, and whether or not interest will be paid after maturity at
least 10 calendar days before maturity of the existing account.
Section 1030.6 - Periodic statement disclosure
Neither TISA nor Regulation DD mandates that depository institutions provide periodic
statements. If an institution provides periodic statements, however, the statements must contain
specific information: the total number of days in, or the beginning and ending dates of, the
statement period; the dollar amount of interest earned and APY earned; fees imposed on the
account, itemized by type and dollar amount; and if applicable, the total overdraft and returned
item fees for the statement period and for the calendar year to date.

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Section 1030.8 - Advertising
The advertising rules apply to any person who advertises an account offered by a
depository institution, including depository institutions and deposit brokers. The purpose of the
advertising rules is to provide potential shoppers with uniform and accurate information that they
can use in deciding among various deposit accounts if an advertisement states an APY or
promotes the payment of overdrafts.
Section 1030.11 - Additional disclosure requirements for overdraft services
Institutions providing periodic statements must separately disclose on such statements the
total amount of fees or charges imposed on the deposit account for paying overdrafts and the
total amount of fees charged for returning items unpaid. These disclosures must be provided for
the statement period and for the calendar year to date. Furthermore, advertisements generally
promoting the payment of overdrafts must disclose the fees for the payment of each overdraft,
the categories of transactions for which a fee for paying an overdraft may be imposed, the time
period by which a consumer must repay or cover any overdraft, and the circumstances under
which the institution will not pay an overdraft. Moreover, any account balance disclosed to a
consumer through an automated system (including, but not limited to, an ATM, Internet website,
or telephone response system) must exclude additional amounts that the institution may provide
or that may be transferred from another account of the consumer to cover an item where there are
insufficient or unavailable funds in the consumer’s account. An institution may, however,
disclose an additional account balance that includes such additional amounts, provided the
institution states that any such balance includes such additional amounts, and if applicable, that
additional amounts are not available for all transactions.
Respondent Panel
Except those that are supervised by the CFPB, the FR DD panel comprises state member
banks, branches of foreign banks (other than federal branches and insured state branches of
foreign banks), commercial lending companies owned or controlled by foreign banks, and
organizations operating under section 25 of the Federal Reserve Act (12 U.S.C. §§ 601-604a).
The CFPB supervises, among other institutions, insured depository institutions with over $10
billion in assets and their affiliates (including affiliates that are themselves depository institutions
regardless of asset size and subsidiaries of such affiliates).
Frequency and Time Schedule
The FR DD is triggered by specific events, and disclosures must be provided to
consumers within the time periods established by TISA and Regulation DD. The Board currently
estimates the frequency of disclosure as monthly (12), as more granular information (i.e., number
of accounts subject to Regulation DD) is not readily available. TISA requires depository
institutions to disclose key terms for deposit accounts at account opening, upon request, when
certain changes in terms occur, and in periodic statements if periodic statements are provided. It
also includes rules about advertising for deposit accounts. TISA does not provide exemptions

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from compliance for small institutions.3 Although the CFPB is now responsible for issuing
TISA4 regulations, the Board continues to be responsible under the Paperwork Reduction Act
(PRA) for renewing every three years the information collections required by institutions the
Board supervises. Disclosures pertaining to a particular transaction or consumer account are not
publicly available.
Public Availability of Data
Disclosures of an institution’s account terms that appear in advertisements are available
to the public.
Legal Status
Section 269 of TISA specifically authorizes the CFPB “to prescribe regulations” to carry
out the purposes and provisions of the Act, as well as to adopt model forms and clauses for
common disclosures to facilitate compliance (12 U.S.C. § 4308).5 Section 270(c) of TISA
authorizes appropriate agencies other than the CFPB, including the Board, “to make rules
regarding [their] own procedures in enforcing compliance with the requirements of” TISA (12
U.S.C. § 4309). Pursuant to this authority, the Board imposes FR DD’s disclosure requirements
on Board-supervised institutions pursuant to sections 9, 11, 25, and 25A of the Federal Reserve
Act (12 U.S.C. §§ 248, 334, 602, and 625) for state member banks and Edge Act corporations
and section 7(c)(2) of the International Banking Act of 1978 (12 U.S.C. § 3105(c)(2)) for U.S.
operations of foreign banking organizations. An institution’s disclosure and recordkeeping
obligations under Regulation DD are mandatory.
The public disclosure requirements of FR DD are not confidential. Because the records
maintained under the recordkeeping requirements of FR DD would be maintained at each
banking organization, the Freedom of Information Act (FOIA) would only be implicated if the
Board obtained such records as part of the examination or supervision of a banking organization.
In the event the records are obtained by the Board as part of an examination or supervision of a
financial institution, this information would be considered confidential pursuant to exemption 8
of the FOIA, which protects information contained in “examination, operating, or condition
reports” obtained in the bank supervisory process (5 U.S.C. § 552(b)(8)).
Consultation Outside the Agency
There has been no consultation outside the Federal Reserve System.

3

The CFPB provides model forms/disclosures to regulated entities under Appendix B - Model Clauses and Sample
Forms (https://www.consumerfinance.gov/rules-policy/regulations/1030/b/).
4
TISA was enacted in 1991 and is codified at 12 U.S.C. § 4301 et seq. Regulation DD is located at 12 CFR Part
1030.
5
See 12 U.S.C. § 5512.

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Public Comments
On August 18, 2023, the Board published an initial notice in the Federal Register (88 FR
56627) requesting public comment for 60 days on the extension, without revision, of the FR DD.
The comment period for this notice expired on October 17, 2023. The Board did not receive any
comments. The Board adopted the extension, without revision, of the FR DD as originally
proposed. On March 7, 2024, the Board published a final notice in the Federal Register (89 FR
16570).
Estimate of Respondent Burden
As shown in the table below, the estimated total annual burden for the FR DD is 25,410
hours. The general account disclosures (section 1030.4) are in standardized, machine-generated
form and do not substantively change from one individual account to another; thus, the burden is
minimal. Subsequent notices (section 1030.5) and periodic statements (section 1030.6) are
machine-generated reports of information that for the most part would be captured by the
institution and disclosed to the consumer for business purposes; the marginal burden of
complying with these regulations is also considered to be minimal. In addition, the burden
associated with complying with the advertising rules (section 1030.8) is considered to be
minimal as disclosures under this provision are generally only triggered if certain terms are
stated in the advertisement; furthermore, the triggered disclosures consist of information an
institution would likely already have in order to comply with other disclosure requirements. The
burden of complying with the additional disclosure requirements for overdraft services (section
1030.11) is sufficiently accounted for under periodic statement (section 1030.6) and advertising
(section 1030.8) requirements. As the record retention requirement under section 1030.9 would
be incurred in respondents’ normal course of activities as part of servicing accounts, the Board
does not estimate any additional burden for this requirement. The burden estimate was produced
using the standard Board burden calculation methodology. These disclosure requirements
represent less than 1 percent of the Board’s total paperwork burden.

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FR DD
Disclosure
Section 1030.4
Account disclosures
Section 1030.5(a)
Change in terms notice
Sections 1030.5(b) and (c)
Notices prior to maturity
Sections 1030.6 and 1030.11
Periodic statement disclosure
and additional disclosure
requirements for overdraft
services
Sections 1030.8 and 1030.11
Advertising and additional
disclosure requirements for
overdraft services
Total

Estimated
number of
respondents6

Estimated
annual
frequency

Estimated
Estimated
average hours annual burden
per response
hours

770

12

0.5

4,620

770

12

1

9,240

770

12

0.5

4,620

770

12

0.5

4,620

770

12

0.25

2,310
25,410

The estimated total annual cost to the public for the FR DD is $1,683,413.7
Sensitive Questions
This information collection contains no questions of a sensitive nature, as defined by
OMB guidelines.
Estimate of Cost to the Federal Reserve System
The estimated cost to the Federal Reserve System for collecting and processing this
information collection is negligible.

6

Of these respondents, 507 respondents are considered small entities as defined by the Small Business
Administration (i.e., entities with less than $850 million in total assets). Size standards effective March 17, 2023.
See https://www.sba.gov/document/support-table-size-standards.
7
Total cost to the responding public is estimated using the following formula: total burden hours, multiplied by the
cost of staffing, where the cost of staffing is calculated as a percent of time for each occupational group multiplied
by the group’s hourly rate and then summed (30% Office & Administrative Support at $22, 45% Financial
Managers at $80, 15% Lawyers at $79, and 10% Chief Executives at $118). Hourly rates for each occupational
group are the (rounded) mean hourly wages from the Bureau of Labor Statistics (BLS), Occupational Employment
and Wages, May 2022, published April 25, 2023, https://www.bls.gov/news.release/ocwage.t01.htm. Occupations
are defined using the BLS Standard Occupational Classification System, https://www.bls.gov/soc/.

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