Disclosure of Interest (Retail Associations) Regulations

Marginal note:Manner of disclosure

• 2 (1) Subject to subsection (2), a retail association shall disclose to a person who requests the retail association to open a deposit account the rate of interest applicable to the deposit account and how the amount of interest to be paid is to be calculated

  • (a) if a statement of account is provided in respect of the deposit account, by means of a written statement delivered to that person, at or before the time the deposit account is opened; or

  • (b) if no statement of account is provided in respect of the deposit account, by means of

    • (i) a written statement, copies of which are available and displayed in each branch of the retail association where such accounts are kept, or

    • (ii) a general notice that is displayed in each branch of the retail association where such accounts are kept.

• Marginal note:Opening of account on telephone request

  (2) In the case of the opening of a deposit account on a telephone request as contemplated by subsection 385.1(3) of the Act, a retail association shall, not later than seven business days after the account is opened, provide to the customer a written statement that sets out the rate of interest applicable to the account and how the amount of interest to be paid is to be calculated.

• Marginal note:Required contents

  (3) A written statement and a general notice referred to in subsection (1) or a written statement referred to in subsection (2) shall include

  • (a) the annual rate of interest;

  • (b) the frequency of payment of interest;

  • (c) the manner, if any, in which the balance in the deposit account affects the rate of interest; and

  • (d) any other circumstance that affects the rate of interest.

• Marginal note:Deemed time of providing disclosure

  (4) For the purpose of subsection (2), a statement is deemed to have been provided to a customer

  • (a) if the customer consents to receiving it by electronic means, on the day recorded by a server of the retail association as the time of sending it by electronic means to the customer;

  • (b) if the customer consents to receiving it by fax, on the day recorded by a fax machine of the retail association as the time of sending it to the customer;

  • (c) if it is sent to the customer by mail, on the fifth day after the postmark date on the statement; and

  • (d) if it is provided to the customer in any other way, on the day on which the statement is received by the customer.