NYSBL Section 7
04/28/2006 10:29 AM
To: [ ]
cc: Sara Kelsey/legal/[email protected],
Cheryl Lewis/legal/[email protected]
Subject: Bank fees
In response to your E-Mail of April 26, 2006 to Sara Kelsey, I offer the following:
Your questions relate to the ability of New York chartered banks to impose a fee on dormant accounts and on accounts that are escheated to the State Comptroller's Office under the New York Abandoned Property Law. The answer to both of your questions may be found in Section 7(2) of the New York Banking Law, wherein it is stated that:
No banking organization or foreign banking corporation transacting business in this state
shall impose any service charge on an inactive savings account which is higher than the
service charge imposed by such an organization or corporation on an active savings account; provided,
however that a banking organization or foreign banking corporation may impose a reasonable
charge on an inactive savings account for costs related to or incurred as a result of the payment or
delivery of abandoned property to the state comptroller pursuant to the abandoned property law.
I trust that the foregoing satisfactorily responds to your inquiries.