Reply To: Requiring a deposit acct as condition of a loan


A couple of things come to mind:
* – Section 913 of the Electronic Fund Transfers Act prohibits conditioning an extension of credit on the requirement that payments be made by electronic fund transfers.
* – Section 1026.18(r) requires an disclosure that the annual percentage rate does not reflect the effect of the required deposit, if the creditor requires the consumer to maintain a deposit as a condition of the specific transaction.