Q: What are the advertising exceptions for newsletters?
A: First, newsletters sent by a credit union to existing members only are not subject to paragraphs (b) – [permissible rate provisions], (c) – [APY-triggered disclosure provisions], (d) – [bonus provisions] or (e)(1) – [exemptions for certain media provisions] of this section.
Second, if a newsletter exempted by paragraph (e)(3) of this section states a rate of return, it shall:
(A) State the rate as an “annual percentage yield,” using that term or the term “APY.” The newsletter shall not state any other rate, except that the dividend rate may be stated in conjunction with the annual percentage yield to which it relates.
(B) Contain a statement advising members to contact an employee for further information about applicable fees and terms.