Which type of account is covered by the TISA?

The correct answer is consumer deposit accounts, which are specifically covered under the Truth in Savings Act (TISA). This legislation aims to promote transparency and disclosure of terms and conditions associated with deposit accounts offered by financial institutions. Consumer deposit accounts include checking accounts, savings accounts, and money market accounts, all of which are designed for use by individual consumers rather than businesses.

The focus of TISA is to ensure that consumers have access to clear information about the annual percentage yield, fees, interest rates, and account terms, empowering them to make informed financial decisions. By emphasizing consumer protection, the act reinforces the importance of providing adequate disclosure to individuals who rely on these accounts for personal financial management.

Other options, such as business accounts, investment accounts, and escrow accounts, fall outside the scope of TISA. Business accounts are designed for commercial entities, investment accounts pertain to assets held for growth rather than savings, and escrow accounts generally serve as third-party accounts to facilitate specific transactions. Therefore, consumer deposit accounts are the only category explicitly governed by the requirements set forth in TISA.