Compliance is often cited as the greatest obstacle credit unions regularly face. As a CCUA member, you don't have to carry the compliance burden alone - we have partnered with ViClarity to provide enhanced compliance services as part of your membership benefits. ViClarity is a leading compliance services and technology company owned by a number of state credit union associations and serves credit unions from across the country.
Through our partnership with ViClarity, employees of CCUA -member credit unions are able to connect with ViClarity’s team of compliance professionals for answers to their compliance questions:
By telephone - 800-842-1242, press option 4
By email - email@example.com
Our Compliance Hotline is available to all member credit unions, and credit union staff are encouraged to utilize this dues-supported service.
September 2022 Townhall: Elder Financial Abuse
Join the experts at ViClarity for their 3rd Quarter Townhall presentation on elder financial abuse. This townhall will provide an overview of what constitutes elder financial abuse and the important role that credit unions can play in preventing, identifying, and reporting elder financial abuse. Also covered: best practices and review case study examples. This townhall will include a Q&A session.
Sept 21 | 1:00 pm CT
Question: Are any special advertising disclosures required for a credit union as a direct result of advertising the courtesy pay program?
Answer: Yes, advertising or promoting the payment of overdrafts in a courtesy pay program will require special advertising disclosures. A credit union that promotes the payment of overdrafts will be required to include the following disclosures in its advertisements about this service.
- The applicable fee or charge.
- The categories of transactions that are covered. The model language for account-opening disclosures may be used.
- The time period that members have to repay or cover the overdraft. If the credit union reserves the right to require repayment immediately or on demand, instead of providing a specific time period for repayment, the credit union may comply with the requirement by disclosing this information.
- The circumstances under which the credit union would not pay an overdraft. The official staff interpretation provides the following model language that may be used: "Whether your overdrafts will be paid is discretionary and we reserve the right not to pay. For example, we typically do not pay overdrafts if your account is not in good standing, or you are not making regular deposits, or you have too many overdrafts."
Stating the available overdraft limit or the amount of funds available on a periodic statement would also be considered an advertisement that would trigger the required disclosures. The rule provides exceptions to these requirements, similar to those described in the previous question for periodic statement disclosures.
These advertising disclosures are also not required on ATM receipts or for advertisements using broadcast media, such as television or radio, or outdoor media, such as billboards. These exceptions do not apply to advertisements on Internet websites, ATM screens, advertisements on telephone response systems, or those sent by e-mail. Although, limited disclosures are required on ATM screens, telephone response machines and indoor signs. Also, advertisements on indoor signs must indicate that fees may apply, and that the member should contact an employee for further information about fees and terms.