NY A00169

Creates new Banking Law section 98-b prohibiting banks and trust companies from forfeiting any interest or dividends on "day of deposit to day of withdrawal" accounts if the account closes before the end of a calendar quarter or regular interest period.

Requires interest or dividends on such accounts to accrue daily and be made available to the depositor when the account is closed.

Amends Banking Law section 245 to change savings banks from "may" to "shall" credit interest on deposits daily from date of deposit to date of withdrawal.

Amends Banking Law section 378 to require special savings shares at savings and loan associations to have dividends credited daily and made available no later than the end of a regular dividend period or at time of withdrawal.

Takes effect 180 days after becoming law and applies to all new accounts or shares offered by covered institutions on or after the effective date.