N.Y. Banking Law § 245: Interest payments

§ 245. Interest payments. 1. A savings bank may classify its

depositors according to the character, amount or duration of their

dealings with the savings bank.

2. In the discretion of a majority of all the trustees, the amounts

contributed by incorporators or trustees to the surplus fund may be

credited with interest at the same rate that interest is credited to

depositors. Such interest may be paid in cash or added to the

contributions previously made and if so added shall be subject to all

provisions of this article relating to contributions of incorporators or

trustees to the surplus fund. If interest on such contributions is not

paid for any period at the time interest for such period is paid to

depositors, the contributors shall not thereafter receive or be credited

with any interest for such period.

3. A savings bank shall not pay any interest on any deposit for a

longer period than the same has been on deposit, except as provided in

subdivision three-a of this section.

3-a. Deposits made not later than the tenth calendar day of any

calendar month may be credited with interest from the first day of the

month in which such deposits were made, and deposits withdrawn upon one

of the last three business days of any interest period or, in the event

that one of such last three business days is a Saturday, deposits

withdrawn upon one of the last four business days of any interest period

may be credited with interest as if they had remained on deposit to the

end of the interest period. If the by-laws so provide, deposits

withdrawn before the close of an interest period may be credited with

interest to the first day of the month in which such withdrawal is made.

The provisions of this subdivision shall not apply to deposits on which

interest is credited pursuant to subdivision three-b of this section.

3-b. Subject to such limitations and restrictions as may be prescribed

by regulation of the superintendent of financial services, a savings

bank may credit interest on deposits from the date on which the deposit

is made to the date the deposit is withdrawn.