HARRY HUGHES, Governor

3031

"Under Maryland law, all funds remaining in this savings
INTEREST BEARING account become the property of this State after
the account has been inactive for 5 years and notice is sent to
the depositor at that depositor's last known address. This
account will be considered inactive if the owner has not: (1)
increased or decreased the amount in the account; (2) presented
the passbook or other similar evidence of the account for the
crediting of interest; (3) written to this financial institution
about the account; or (4) otherwise indicated an interest in the
account as evidenced by a memorandum on file with this financial
institution."

(2) NOT LESS THAN 30 DAYS BEFORE A BANKING
INSTITUTION ADOPTS ANY CHANGE REGARDING ANY INFORMATION REQUIRED
UNDER PARAGRAPH (1)(I) OF THIS SUBSECTION, THE BANKING
INSTITUTION SHALL INFORM EACH CUSTOMER OF THE CHANGE IN THE
BANKING INSTITUTION'S PERIODIC STATEMENT OR BY WRITTEN NOTICE.

(b) A banking institution shall pay at least 3 percent
annual interest on each savings INTEREST BEARING account that
is[:] INSTITUTED FOR A SPECIFIC PURPOSE, INCLUDING "CHRISTMAS" OR
"VACATION" ACCOUNTS, FOR A PERIOD OF 1 YEAR OR LESS.

[(1) For a period of 1 year or less; and

(2) Instituted for a specific purpose, including
"Christmas" or "vacation" accounts.]

(C) A BANKING INSTITUTION THAT FAILS TO COMPLY WITH
SUBSECTION (A) OR (B) OF THIS SECTION SHALL BE LIABLE TO ANY
CUSTOMER OF THE BANKING INSTITUTION WHO SUSTAINS ANY INJURY OR
LOSS AS THE RESULT OF THE FAILURE TO COMPLY FOR:

(1)  ALL FORSEEABLE FORESEEABLE LOSSES INCURRED BY THE
DEPOSITOR CUSTOMER AS A RESULT OF THE BANKING INSTITUTION'S
FAILURE TO COMPLY WITH THOSE SUBSECTIONS; AND

(2)  REASONABLE ATTORNEY'S FEES.

SECTION 2. AND BE IT FURTHER ENACTED, That Section(s) 6-401
and 9-403 of Article - Financial Institutions of the Annotated
Code of Maryland be repealed.

SECTION 3. AND BE IT FURTHER ENACTED, That the Laws of
Maryland read as follows:

Article - Financial Institutions

6-401.

(A) (1) AS TO EACH INTEREST BEARING OR SHARE ACCOUNT OF
EACH MEMBER OR DEPOSITOR IN A CREDIT UNION, THE CREDIT UNION
SHALL GENERALLY MAKE AVAILABLE TO ANY MEMBER OR DEPOSITOR WITH AN