WILLIAM DONALD SCHAEFER, Governor                      Ch. 481

ITEM DEPOSITED WITHIN 90 CALENDAR DAYS OF THE OPENING OF AN
ACCOUNT BY THE ACCOUNT HOLDER SHALL BE SUBJECT TO THE SAVINGS AND
LOAN ASSOCIATION'S POLICY; AND

(7) EXCEPT FOR ACCOUNTS WITH OVERDRAFT PROTECTION IN
WHICH THE ACCOUNT HOLDER'S CREDIT LINE HAS NOT BEEN EXCEEDED, IF
ANY ACCOUNT OR COMBINATION OF ACCOUNTS OF AN ACCOUNT HOLDER 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 ACCOUNT HOLDER SHALL BE SUBJECT TO THE SAVINGS
AND LOAN ASSOCIATION'S POLICY FOR A PERIOD OF 6 MONTHS AFTER THE
THIRD 3RD RETURN FOR INSUFFICIENT FUNDS.

(D) (E) THE DIVISION DIRECTOR MAY GATHER FROM SAVINGS AND
LOAN ASSOCIATIONS IN THE STATE ANY INFORMATION REQUIRED BY THE
DIVISION DIRECTOR FOR THE ADOPTION OF REGULATIONS UNDER THIS
SECTION.

(E) THE REGULATIONS ADOPTED UNDER THIS SECTION SHALL

REQUIRE EACH SAVINGS AND LOAN ASSOCIATION TO:

(1) NOTIFY EACH HOLDER OF AN ACCOUNT IN THE

ASSOCIATION IN WRITING OF THE APPLICABLE TIME LIMITATIONS AND THE
SAVINGS AND LOAN ASSOCIATION'S POLICY ON THE RIGHT TO DRAW ON
ITEMS RECEIVED FOR DEPOSIT IN THE ACCOUNT; AND

(2) KEEP POSTED IN A CONSPICUOUS LOCATION, AT EACH
BRANCH OF THE SAVINGS AND LOAN ASSOCIATION, A NOTICE THAT

SUBSTANTIALLY SETS FORTH THE GENERALLY APPLICABLE TIME

LIMITATIONS AND THE SAVINGS AND LOAN ASSOCIATION'S POLICY ON THE
RIGHTS OF THE HOLDER OF THE ACCOUNT TO DRAW ON ITEMS DEPOSITED TO
THE ACCOUNT.

(F)   THE REGULATIONS ADOPTED UNDER THIS SECTION DO NOT APPLY
TO FOREIGN ITEMS.

(G)   THE DIVISION DIRECTOR MAY ADOPT, ON A DETERMINATION BY

THE DIVISION DIRECTOR THAT THE UNIFORM APPLICATION OF A

REGULATION ADOPTED UNDER THIS SECTION RESULTS IN UNSOUND OR
UNSAFE PRACTICES, ANY FURTHER REGULATION THE DIVISION DIRECTOR
CONSIDERS APPROPRIATE. ADDITIONAL RULES AND REGULATIONS NECESSARY
TO CARRY OUT THE PROVISIONS OF THIS SUBTITLE.

9-412.

(A) EXCEPT AS PROVIDED UNDER SUBSECTION (B) OF THIS
SECTION, ANY PROVISION IN AN AGREEMENT BETWEEN A SAVINGS AND LOAN
ASSOCIATION AND A HOLDER OF AN ACCOUNT IN THE ASSOCIATION THAT
PROVIDES FOR A PERIOD OF TIME LONGER THAN THE TIME PRESCRIBED
UNDER THIS SECTION SHALL BE CONSIDERED UNREASONABLE AND THE
MAXIMUM PERIOD OF TIME PERMITTED BY REGULATION SHALL APPLY.

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