Ch. 481                                    LAWS OF MARYLAND

IF THE DEPOSITORY CREDIT UNION NOTIFIES THE CUSTOMER CUSTOMER OR
MEMBER ORALLY OR IN WRITING OF THIS ACTION WITHIN THE TIME THAT
THE DEPOSITORY CREDIT UNION OTHERWISE WOULD BE REQUIRED UNDER THE
REGULATIONS ADOPTED UNDER THIS SUBTITLE TO MAKE FUNDS AVAILABLE
TO THE CUSTOMER CUSTOMER OR MEMBER;

(4)  A DEPOSITORY CREDIT UNION MAY FIND THAT THE
COLLECTIBILITY OF AN ITEM IS DOUBTFUL, IF:

(I)  THE DEPOSITORY CREDIT UNION HAS REASON TO
BELIEVE THAT THE MAKER, DRAWER, OR PAYOR OF THE' ITEM IS
INSOLVENT;

(II)  THE ITEM CONTAINS AN INFIRMITY ON ITS
FACE, INCLUDING A FORGERY, AN ALTERATION, OR FALSE OR FRAUDULENT
INDICATION OF THE DRAWER'S, MAKER'S, OR PAYOR'S NAME OR ROUTING
NUMBER; OR

(III)  THE MANNER OF PRESENTMENT OF THE ITEM".
RAISES A REASONABLE SUSPICION OF FRAUD;

(5)  FOR ANY ITEM IN EXCESS OF $2,50 0 MADE BY A
CUSTOMER CUSTOMER OR MEMBER IN ONE 1 BUSINESS DAY, THE
AVAILABILITY OF FUNDS FOR THE AMOUNT IN EXCESS OF $2,500 SHALL BE
DETERMINED ACCORDING TO THE DEPOSITORY CREDIT UNION'S POLICY, OR
IF THE CUSTOMER CUSTOMER OR MEMBER ELECTS, ON A COLLECTION BASIS;

(6)  FOR ANY ITEM DEPOSITED BY A NEW CUSTOMER MEMBER
AT A DEPOSITORY CREDIT UNION, THE AVAILABILITY OF FUNDS FOR ANY
ITEM DEPOSITED WITHIN 90 CALENDAR DAYS OF THE OPENING OF AN
ACCOUNT BY THE CUSTOMER CUSTOMER OR MEMBER SHALL BE SUBJECT TO
THE CREDIT UNION'S POLICY; AND

(7)  EXCEPT FOR ACCOUNTS WITH OVERDRAFT PROTECTION IN
WHICH THE CUSTOMER'S CUSTOMER'S OR MEMBER'S CREDIT LINE HAS NOT
BEEN EXCEEDED, IF ANY ACCOUNT OR COMBINATION OF ACCOUNTS OF A
CUSTOMER CUSTOMER OR MEMBER HAS BEEN OVERDRAWN ON 3 SEPARATE
OCCASIONS HAD A CHECK AN ITEM RETURNED ON 3 SEPARATE BUSINESS
DAYS WITHIN A 6-MONTH PERIOD, ALL ACCOUNTS OF THAT CUSTOMER
MEMBER SHALL BE SUBJECT TO THE CREDIT UNION'S POLICY FOR A PERIOD
OF 6 MONTHS AFTER THE THIRD 3RD RETURN FOR INSUFFICIENT FUNDS.

(C) THE BANK COMMISSIONER MAY GATHER FROM CREDIT UNIONS IN
THE STATE ANY INFORMATION REQUIRED BY THE BANK COMMISSIONER FOR
THE ADOPTION OF REGULATIONS UNDER THIS SECTION.

(D) THE REGULATIONS ADOPTED UNDER THIS SECTION SHALL
REQUIRE EACH CREDIT UNION TO:

(1) NOTIFY EACH OF THE CUSTOMERS MEMBERS OF THE
CREDIT UNION IN WRITING OF THE APPLICABLE TIME LIMITATIONS AND
THE CREDIT UNION'S POLICY ON THE RIGHT TO DRAW ON ITEMS RECEIVED
FOR DEPOSIT IN THE CUSTOMER'S MEMBER'S ACCOUNT; AND

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