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§ 1-210. Actions to enforce payment of certificates of deposit

West's Annotated Code of MarylandFinancial Institutions

West's Annotated Code of Maryland
Financial Institutions
Title 1. Definitions; General Provisions
Subtitle 2. General Provisions (Refs & Annos)
MD Code, Financial Institutions, § 1-210
§ 1-210. Actions to enforce payment of certificates of deposit
Currentness
Definitions
(a)(1) In this section the following words have the meanings indicated.
(2) “Account agreement” means one or more written instruments that establish when a certificate of deposit is payable.
(3) “Certificate of deposit” means a deposit or share account at a depository institution that:
(i) Is payable by the depository institution at the expiration of a specified time; and
(ii) May be transferable or nontransferable, negotiable or nonnegotiable, and renewable or nonrenewable.
(4) “Depository institution” means a State-chartered or federally chartered financial institution located in the State that is authorized to maintain certificates of deposit.
(5) “Maturity date” means the time specified in an account agreement when a certificate of deposit is first payable, without taking into account any agreement regarding renewals.
Actions to enforce payment of certificates of deposit
(b) Subject to subsection (c) of this section, an action to enforce the obligation of a depository institution to pay all or part of the balance of a certificate of deposit must be commenced by the earlier of:
(1) The time that an action to enforce an obligation under § 3-118(e) of the Commercial Law Article must be commenced, if the certificate of deposit is subject to that section; or
(2) 6 years after the later of:
(i) The maturity date of the certificate of deposit;
(ii) The due date of the certificate of deposit indicated in the depository institution's last written notice of renewal of the certificate of deposit, if any;
(iii) The date of the last written communication from the depository institution recognizing the depository institution's obligation to pay the certificate of deposit; or
(iv) The last day of the taxable year for which a person identified in the certificate of deposit last reported interest income earned on the certificate of deposit on a federal or State income tax return.
Automatically renewing certificates of deposit in existence on June 1, 2006
(c) Notwithstanding subsection (b) of this section, an action to enforce the obligation of a depository institution to pay all or part of the balance of an automatically renewing certificate of deposit in existence on June 1, 2006, must be commenced by the later of:
(1) 6 years after the later of the events described in subsection (b)(2)(i) through (iv) of this section; or
(2) 1 year after June 1, 2006.

Credits

Added by Acts 2006, c. 535, § 1, eff. June 1, 2006.
MD Code, Financial Institutions, § 1-210, MD FIN INST § 1-210
Current through legislation effective through April 9, 2023, from the 2024 Regular Session of the General Assembly. Some statute sections may be more current, see credits for details.
End of Document