§ 107 — Reserves against deposits

New York § 107

• Jurisdiction: New York
• Law BNK: Banking
• Art. 3: Banks and Trust Companies

Text

§ 107. Reserves against deposits. 1. Every bank and trust company\nshall maintain total reserves against its demand and time deposits in\nsuch ratios as the superintendent of financial services shall by\nregulation impose. If the principal office or any branch of such bank or\ntrust company is located in a special requirement area, as designated in\nor pursuant to subdivision two of this section said bank or trust\ncompany shall maintain such additional reserves as may be prescribed by\nthe superintendent of financial services.\n 2. The cities of Albany and Buffalo and the boroughs of Brooklyn,\nManhattan and The Bronx are hereby designated as special requirement\nareas. The superintendent of financial services may at any time add to\nthe number of cities or boroughs designated as special requirement\nareas, or may terminate the designation of any city or borough as such.\n 3. Any part of total reserves may be deposited, subject to call, with\na federal reserve bank in the district in which such bank or trust\ncompany is located, or with reserve depositaries, and the reserves on\nhand not so deposited shall consist of any form of currency authorized\nby the laws of the United States. Any bank or trust company which is or\nshall become a member of the federal reserve system shall maintain such\nreserves with a federal reserve bank as are required by or pursuant to\nthe federal reserve act and so long as it complies with the requirements\nof such federal reserve act with reference to reserves shall be exempt\nfrom the preceding provisions of this section.\n 4. If any bank or trust company shall fail to maintain its total\nreserves in the manner prescribed and authorized by this section, it\nshall be liable to, and shall pay any assessment or assessments levied\nby the superintendent pursuant to the provisions of article two of this\nchapter.\n