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LAWS OF MARYLAND

Ch. 158

Interest — Short-Term Accounts

FOR the purpose of requiring banking institutions and
savings and loan associations to pay a certain
minimum percentage of interest on certain types of
savings accounts.

BY adding to

Article 11 — Banks and Trust Companies

Section 105A

Annotated Code of Maryland

(1968 Replacement Volume and 1975 Supplement)

BY adding to

Article 23 — Corporations

Section 160 1/2

Annotated Code of Maryland

(1973 Replacement Volume and 1975 Supplement)

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF
MARYLAND, That new Section 105A be and it is hereby added
to Article 11 — Banks and Trust Companies, of the
Annotated Code of Maryland (1968 Replacement Volume and
1975 Supplement) to read as follows:

Article 11 — Banks and Trust Companies

105A.

(A)         AS USED IN THIS SECTION, THE FOLLOWING WORDS
HAVE THE MEANINGS INDICATED:

(1)          "BANKING INSTITUTION" MEANS ANY SAVINGS
INSTITUTION, STATE BANK, [[NATIONAL BANK,]] OR TRUST
COMPANY.

(2)          "SHORT-TERM" MEANS A PERIOD OF ONE YEAR
OR LESS.

(B)          A BANKING INSTITUTION SHALL PAY A MINIMUM OF 3
PERCENT PER ANNUM INTEREST ON SAVINGS ACCOUNTS WHICH ARE:

(1)         SHORT-TERM;

[[(2) CLOSED IF ANY WITHDRAWAL IS MADE;]] AND

[[(3)]] (2) INSTITUTED FOR A SPECIFIC PURPOSE,
INCLUDING "CHRISTMAS" OR "VACATION" ACCOUNTS.

[[(C) THE INTEREST REQUIRED BY THIS SECTION MAY NOT
BE PAID ON FUNDS THAT HAVE BEEN ON DEPOSIT FOR LESS THAN
90 DAYS.]]

SECTION 2. AND BE IT FURTHER ENACTED, That new
Section 160 1/2 be and it is hereby added to Article 23 —
Corporations, of the Annotated Code of Maryland (1973