Regulation DD requires you to disclose the amount of any bonus and other related information in your account opening disclosures. No special wording is required, although the following is provided in the model clauses for account disclosures:

You will [be paid/receive] [$_____ (description of item)] as a bonus [when you open the account/on (date) ____].s

You must maintain a minimum [daily balance/average daily balance] of $____ to obtain the bonus.

To earn the bonus, [$____/your entire principal] must remain on deposit [for (time period)/until (date)____].

Disclosing a bonus on a periodic statement is not required, but it is listed in the Official Staff Commentary to the regulation as information “that may be given on or with a periodic statement . . . .” (emphasis added). Again, no special wording is required.

You are not required to disclose that you will report the bonus as interest to the IRS, although you will have to furnish an IRS Form 1099-INT to the customer. When furnishing a Form 1099-INT to a customer, you may, but you are not required to, include a letter explaining the form’s tax consequences.

For citations related to our guidance, please see below:

• Regulation DD — 12 CFR 1030.4(b)(7) (disclosure of bonuses at account opening)

• Regulation DD — Appendix B — Model Clauses for Account Disclosures (model disclosure of account bonuses for account opening disclosures)

• Regulation DD — Official Interpretations, 12 CFR 1030, Paragraph 6(a), Comment 4(iii) (stating that the disclosure of bonuses on periodic statements is optional)

• General Instructions for Certain Information Returns (2015): Statements to recipients (requiring a copy of the 1099-INT form to be furnished to the recipient of the interest) & statement mailing requirements (permitting the inclusion of “a letter explaining the tax consequences of the information shown on the recipient statement”)