12 C.F.R. § 329.104 Ten-day grace period.
Title 12 - Banks and Banking
This interpretive rule provides for 10-day grace periods during which interest may be paid on a deposit without violating §329.2. (a) During the ten calendar days following the maturity of a time deposit, the bank may continue to pay interest on the matured deposit at the contract rate of the deposit, or at any lesser rate, if the deposit contract provides for such post-maturity interest. The payment of such post-maturity interest will not be regarded as the payment of interest on a demand deposit. (b) If a time deposit is renewed within ten calendar days after maturity, the renewed deposit may be dated back to the maturity date of the matured deposit and may draw interest from that date. The payment of such additional interest will not be regarded as the payment of interest on a demand deposit. (c) If a time or savings deposit is renewed within ten days after expiration of the period of notice given with respect to its repayment, the renewed deposit may draw interest from the date such notice period expired. The payment of such additional interest will not be regarded as the payment of interest on a demand deposit.
Title 12: Banks and Banking
PART 329—INTEREST ON DEPOSITS
§ 329.104 Ten-day grace period.
