UNIAN
The Verkhovna Rada of Ukraine has adopted the Law "On amendments certain legislative acts of Ukraine regarding conditions of return of term deposits" (No. 1195).
A total of 243 out of 327 deputies registered in the session hall voted for the decision.
The law introduces amendments to the Civil Code of Ukraine, according to which a bank is obliged under the on-demand bank deposit contract to provide a deposit or part thereof upon the first request of the depositor. As stipulated by the term deposit contract, the bank is obliged to provide a deposit and interest accrued under it upon expiration of the period specified in the contract of bank deposit.
The return by the bank of a term deposit and accrued interest to a depositor at his/her request before the due date or due to occurrence of other circumstances specified in the contract is possible only in cases as provided for by the term bank deposit contract.
In addition, the Llaw "On securities and stock market" excludes the regulation that in case of early submission of a savings (deposit) certificate for payment the bank shall pay the deposit amount and interest (under on-demand deposits), unless a different interest rate is provided by the terms of certificate issuance.
A final provision states that the provisions of this Act shall not apply to contracts of bank term deposits concluded before the date on which the Act came into force.
Within three months from the date of entry into force of this Act, the National Bank of Ukraine shall bring its regulations into conformity with this Act and ensure compliance of the provisions of the local banking institutions with the current law.
As UNIAN reported earlier, at the end of last year the NBU governor Valeriya Gontareva announced the intentions of the regulator to suggest to the parliament to prohibit the withdrawal of bank deposits before the due date, which correspondes to international practice, with the aim of stabilizing the country’s banking system.