(Interest Rates & Dividends)

Participation in the IOTA program is voluntary for banks, savings and loan associations, and investment companies. Institutions that choose to offer and maintain IOTA accounts must meet the interest-rate requirement of the IOTA rule. The rule requires that eligible institutions which choose to offer IOTA accounts to their attorney and law firm customers provide,”… interest parity between IOTA accounts and non-IOTA accounts held in the same institution…” How an eligible institution achieves that interest parity depends on what products it makes available to its non-IOTA customers with comparable balances and relationships within the institution.

Please note: In determining the highest interest rate or dividend generally available from the institution, eligible institutions may consider factors, in addition to the IOTA account balance, customarily considered by the institution when setting interest rates or dividends for its customers, provided that such factors do not discriminate between IOTA accounts and accounts of customers, and that these factors do not include that the account is an IOTA account.