[Code of Federal Regulations]

[Title 12, Volume 6]

[Revised as of January 1, 2006]

From the U.S. Government Printing Office via GPO Access

[CITE: 12CFR707.10]



[Page 442]

 

                       TITLE 12--BANKS AND BANKING

 

            CHAPTER VII--NATIONAL CREDIT UNION ADMINISTRATION

 

PART 707_TRUTH IN SAVINGS--Table of Contents

 

Sec. 707.10  Electronic communication.



    (a) Definition. Electronic communication means a message transmitted 

electronically between a credit union and a member in a format that 

allows visual text to be displayed on equipment, for example, a personal 

computer monitor.

    (b) General rule. In accordance with the Electronic Signatures in 

Global and National Commerce Act (the E-Sign Act) (15 U.S.C. 7001 et 

seq.) and the rules of this part, a credit union may provide by 

electronic communication any disclosure required by this part to be in 

writing.

    (c) When consent is required. Under the E-Sign Act, a credit union 

must obtain a member's affirmative consent when providing disclosures 

related to a transaction. For purposes of this requirement, the 

disclosures required under Sec. Sec. 707.4(a)(2) and 707.8 are deemed 

not to be related to a transaction.

    (d) Address or location to receive electronic communication. A 

credit union that uses electronic communication to provide disclosures 

required by this part must:

    (1) Send the disclosure to the member's electronic address; or

    (2) Make the disclosure available at another location such as an 

Internet web site; and

    (i) Alert the member of the disclosure's availability by sending a 

notice to the member's electronic address (or to a postal address, at 

the credit union's option). The notice must identify the account 

involved (if applicable) and the address of the Internet web site or 

other location where the disclosure is available; and

    (ii) Make the disclosure available for at least 90 days from the 

date the disclosure first becomes available or from the date of the 

notice alerting the member of the disclosure, whichever comes later.

    (3) Exceptions. A credit union need not comply with paragraph 

(d)(2)(ii) of this section for disclosures required under Sec. 

707.4(a)(2), and need not comply with paragraphs (d)(2)(i) and (ii) of 

this section for disclosures required under Sec. 707.8.

    (e) Redelivery. When a disclosure provided by electronic 

communication is returned to a credit union undelivered, the credit 

union must take reasonable steps to attempt redelivery using information 

in its files.

    (f) Entities other than a credit union. A person other than a credit 

union that is required to comply with this part may use electronic 

communication in accordance with the requirements of this section, as 

applicable.



[66 FR 33163, June 21, 2001]