what is regulation dd 
regulation dd is a directive set forth by the federal reserve regulation dd was enacted to implement the truth in savings act tisa that was passed in 1991 this act requires lenders to provide certain uniform information about fees and interest when opening an account for a customer 1it was enacted in order to help consumers make more meaningful comparisons and more informed decisions about the accounts they open at depository institutions which provide the information noted above through disclosures these disclosures are given to consumers at various times including when an account is first opened additionally state laws that are inconsistent with the requirements of this federal act are pre empted to the extent of the inconsistency there is a procedure for requesting a preemption determination from the consumer finance protection bureau cfpb understanding regulation ddregulation dd applies only to accounts opened by individuals not to corporate or other organizational accounts 2 it is designed to protect and empower non sophisticated customers regulation dd helps individuals make intelligent decisions about where to open financial accounts the regulation applies to depository institutions with the exception of credit unions regulation dd applies only to accounts opened by individuals but not to corporate or other organizational accounts 2the types of accounts the regulation is intended to assist consumers with include savings accounts checking accounts money market accounts certificates of deposit cds variable rate accounts and accounts denominated in a foreign currency financial institutions are required under regulation dd to disclose information to consumers regarding annual percentage yield interest rates minimum balance requirements account opening disclosures and fee schedules disclosures are provided to consumers 3truth in savings actregulation dd implements the tisa which was part of the federal deposit insurance corporation fdic improvement act that passed the same year in 1991 the act was meant to promote healthy competition between institutions and create economic stability it also directs banks to be more transparent about some of their policies giving consumers more power to decide where they want to do their banking business regulation dd rulesadvertising rules set forth apply to individuals including deposit brokers who advertise the types of accounts offered by the institutions subject to the regulation the marketing rules restrict institutions from advertising in any way that may mislead consumers present inaccurate information or otherwise misrepresent the contract for the deposit account the ads cannot use the term profit when referencing the interest paid on an account 4for example if a deposit broker places an ad to offer consumers interest in an account the advertising rules apply to the advertisement regardless of whether the account is held by the consumer or the broker regulation dd amendmentsregulation dd was amended in 2006 to address issues like the concerns about uniformity of information provided to consumers when deposit accounts are overdrawn in 2010 other amendments were added directing depository institutions to comply with rule changes governing disclosures on periodic statements for aggregate overdraft and returned item fees 5 the amendments also featured a rule on providing balance disclosures to consumers made through automated systems regulation dd stipulates that disclosures provided to consumers are clear and conspicuous and are made available in writing or another form the consumer can keep the disclosures must also make it clear and identifiable when these disclosures for different accounts have been combined 5disclosures must reflect the terms of the legal obligation established for the accounts in question and the agreement between the consumer and the institution these disclosures can be rendered in electronic form at the approval of the consumer 6