Truth in Savings and Investments Act

Truth in Savings and Investments Act - Provides that any advertisement, announcement, or solicitation initiated by any depository institution or by any other entity may not include a reference to a specific rate of interest on any account other than the annual percentage yield. Defines "annual percentage yield" as the total amount of interest that would be received on a $100 deposit based on a specified method of compounding and crediting interest.

Specifies that any advertisement, announcement, or solicitation containing a reference to such annual percentage yield must state clearly and conspicuously: (1) the period during which such annual percentage yield is in effect; (2) all minimum account balance and time requirements; (3) the minimum initial deposit required; (4) that regular fees or other conditions could reduce such yield; and (5) that a penalty shall be imposed for early withdrawal. Authorizes the Federal Reserve Board (Board) to exempt advertisements, announcements, or solicitations made by any broadcast or electronic medium, outdoor advertising display, or advertising display on the premises of the depository institution from the disclosure statements relating to regular fees or minimum deposit amounts, if the Board finds that any such disclosure would be unnecessarily burdensome.

Prohibits any depository institution from advertising an account as a free or no-cost account if: (1) there are minimum balance or limited transaction requirements to avoid fees; or (2) there is any service fee, transaction fee, or similar charge imposed for such account. Prohibits any institution from making any advertisement, announcement, or solicitation that is inaccurate or misleading or that misrepresents its deposit contracts.

Requires each depository institution to maintain a schedule, written in clear and plain language, of fees, charges, interest rates, and terms and conditions such as minimum balance and time requirements applicable to each class of accounts offered. Requires that such schedule be disclosed to potential customers and requesting individuals and mailed to account holders. Requires that account holders receive 30 days' advance notice of any change to be made in any term or condition required to be disclosed in the schedule if the change might reduce the yield or adversely affect any account holder.

Directs the Board to require modified disclosure requirements concerning the annual yield on variable rate accounts, multiple rate accounts, guaranteed-rate accounts that mature in less than one year, and accounts for which the interest rate is not guaranteed.

Requires a depository institution to provide each of its account holders a periodic statement containing clear and conspicuous disclosures of: (1) the average daily balance in the account; (2) the applicable periodic rate or rates; (3) the number of days during the period; (4) the amount of interest earned; and (5) any fees or charges imposed.

Requires the use of the average daily balance method in the determination of an account balance for purposes of calculating interest. Exempts credit unions from such requirements under specified circumstances.

Requires a depository institution to calculate the amount of interest on an interest-bearing account based on the full amount of principal in the account for the stated calculation period at the rates of interest disclosed pursuant to the requirements of this Act. Specifies that such requirement shall not be construed as prohibiting or requiring the use of any particular method of compounding or crediting interest.

Directs the Board to provide for public notice and comment on, and to publish, model forms and clauses for common disclosures required by this Act.

Provides for the enforcement of this Act and the civil liability of a depository institution that fails to comply with requirements of this Act. Sets forth limitations on such liability and factors to be considered by the court in determining class action awards. Provides that an institution may not be held liable for a violation if the institution demonstrates that the violation was not intentional and resulted from a bona fide error, or if the institution makes a notification of and an adjustment for errors within a specified time. Establishes U.S. district court jurisdiction and a one-year statute of limitations for actions brought under this Act.

Directs the National Credit Union Administration to provide for the similar regulation of credit unions.

Amends the Investment Company Act of 1940 to require the Securities and Exchange Commission (SEC) to: (1) consult with the Federal Reserve Board to review specified regulations to determine whether they are providing consumers the ability to compare effectively savings and investment options; and (2) modify those regulations where necessary.

Specifies that the provisions of this Act: (1) do not supersede disclosure requirements of State laws, except to the extent they are inconsistent with this Act; and (2) shall supersede any provisions of State laws relating to the determination of the balance on which interest is calculated.