§ 1834. — Reduced assessment rate for deposits attributable to lifeline accounts.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 12USC1834]
TITLE 12--BANKS AND BANKING
CHAPTER 16--FEDERAL DEPOSIT INSURANCE CORPORATION
Sec. 1834. Reduced assessment rate for deposits attributable to
lifeline accounts
(a) Qualification of lifeline accounts by Federal Reserve Board
(1) In general
The Board of Governors of the Federal Reserve System, and the
Federal Deposit Insurance Corporation shall establish minimum
requirements for accounts providing basic transaction services for
consumers at insured depository institutions in order for such
accounts to qualify as lifeline accounts for purposes of this
section and section 1817(b)(2)(H) of this title.
(2) Factors to be considered
In determining the minimum requirements under paragraph (1) for
lifeline accounts at insured depository institutions, the Board and
the Corporation shall consider the following factors:
(A) Whether the account is available to provide basic
transaction services for individuals who maintain a balance of
less than $1,000 or such other amount which the Board may
determine to be appropriate.
(B) Whether any service charges or fees to which the account
is subject, if any, for routine transactions do not exceed a
minimal amount.
(C) Whether any minimum balance or minimum opening
requirement to which the account is subject, if any, is not more
than a minimal amount.
(D) Whether checks, negotiable orders of withdrawal, or
similar instruments for making payments or other transfers to
third parties may be drawn on the account.
(E) Whether the depositor is permitted to make more than a
minimal number of withdrawals from the account each month by any
means described in subparagraph (D) or any other means.
(F) Whether a monthly statement itemizing all transactions
for the monthly reporting period is made available to the
depositor with respect to such account or a passbook is provided
in which all transactions with respect to such account are
recorded.
(G) Whether depositors are permitted access to tellers at
the institution for conducting transactions with respect to such
account.
(H) Whether other account relationships with the institution
are required in order to open any such account.
(I) Whether individuals are required to meet any
prerequisite which discriminates against low-income individuals
in order to open such account.
(J) Such other factors as the Board may determine to be
appropriate.
(3) Definitions
For purposes of this subsection--
(A) Board
The term ``Board'' means the Board of Governors of the
Federal Reserve System.
(B) Insured depository institution
The term ``insured depository institution'' has the meaning
given to such term in section 1813(c)(2) of this title.
(C) Lifeline account
The term ``lifeline account'' means any transaction account
(as defined in section 461(b)(1)(C) of this title) which meets
the minimum requirements established by the Board under this
subsection.
(b) Omitted
(c) Availability of funds
The provisions of this section shall not take effect until
appropriations are specifically provided in advance. There are hereby
authorized to be appropriated such sums as may be necessary to carry out
the provisions of this section.
(Pub. L. 102-242, title II, Sec. 232, Dec. 19, 1991, 105 Stat. 2308;
Pub. L. 102-550, title XVI, Secs. 1604(b)(1), 1605(a)(3), Oct. 28, 1992,
106 Stat. 4083, 4085; Pub. L. 102-558, title III, Secs. 303(b)(1), (4),
305, Oct. 28, 1992, 106 Stat. 4224-4226; Pub. L. 104-208, div. A, title
II, Sec. 2704(d)(16), Sept. 30, 1996, 110 Stat. 3009-495.)
Codification
Section was enacted as part of the Bank Enterprise Act of 1991, and
also as part of the Foreign Bank Supervision Enhancement Act of 1991 and
as part of the Federal Deposit Insurance Corporation Improvement Act of
1991, and not as part of the Federal Deposit Insurance Act which
comprises this chapter.
Section is comprised of section 232 of Pub. L. 102-242. Subsec. (b)
of section 232 of Pub. L. 102-242 amended section 1817 of this title.
Amendments
1996--Subsec. (a)(1). Pub. L. 104-208, which directed substitution
of ``section 1817(b)(2)(G) of this title'' for ``section 1817(b)(2)(H)
of this title'', was not executed. See Effective Date of 1996 Amendment
note below.
1992--Subsec. (a)(1). Pub. L. 102-558, Sec. 303(b)(4), substituted
``section 1817(b)(2)(H)'' for ``section 1817(b)(10)''. Pub. L. 102-550,
Sec. 1605(a)(3), which made an identical amendment, was repealed,
effective Oct. 28, 1992, by Pub. L. 102-558, Sec. 305, set out as a
Repeal of Duplicative Provisions note under section 1815 of this title.
Subsec. (b). Pub. L. 102-558, Sec. 303(b)(1), made technical
correction to directory language of subsec. (b)(1). See Codification
note above. Pub. L. 102-550, Sec. 1604(b)(1), which made a similar
amendment, was repealed, effective Oct. 28, 1992, by Pub. L. 102-558,
Sec. 305, set out as a Repeal of Duplicative Provisions note under
section 1815 of this title.
Effective Date of 1996 Amendment
Amendment by Pub. L. 104-208 effective Jan. 1, 1999, if no insured
depository institution is a savings association on that date, see
section 2704(c) of Pub. L. 104-208, set out as a note under section 1821
of this title.
Effective Date of 1992 Amendments
Section 303(b)(4) of Pub. L. 102-558 provided that the amendment
made by that section is effective on the effective date of the amendment
made by section 302(a) of Pub. L. 102-242 [see section 302(g) of Pub. L.
102-242, set out as a note under section 1817 of this title].
Section 1605(a)(3) of Pub. L. 102-550, which provided effective date
provisions for the amendment made by that section, was repealed,
effective Oct. 28, 1992, by section 305 of Pub. L. 102-558, set out as a
Repeal of Duplicative Provisions note under section 1815 of this title.
Section Referred to in Other Sections
This section is referred to in section 1817 of this title.
