Section 390:6 Reserves. - New Hampshire Statutes

Every such corporation shall at all times maintain as a reserve an amount equal to at least 12 percent of the aggregate amount of its demand deposits plus an amount equal to at least 5 percent of the aggregate amount of its time and savings deposits. Not less than 100 percent of the reserves on demand deposits shall consist of cash and due from banks, and/or federal funds advanced from one business day until the next. The form of the reserve for time and savings deposits may be in any of the following: cash and due from banks, and/or federal funds advanced from one business day until the next, and/or obligations of the United States of America, the maturity of which shall not exceed 5 years, and/or the obligations of agencies of the United States at par value, the maturity of which shall not exceed 5 years, and/or the obligations of any federal government sponsored enterprises (as are designated by written ruling of the bank commissioner) at par value the maturity of which shall not exceed 5 years. The board of trust company incorporation created under RSA 392 may vary the amount of reserve required, provided, however, that said board shall not increase the amount of reserves required for any bank to an amount in excess of that which is required by the Federal Reserve System of similar banks located in this state which are members of the Federal Reserve System. No new loan or investment shall be made by such corporation when its reserve is not in accordance with the requirements of this section. The required reserve must be maintained on a daily basis. The method of computation and the reserve computation period for determining compliance with this section shall be established by the commissioner. Any deficiency in the reserve established pursuant to this section may be subject to a penalty of up to $100 per day.

Source. 1915, 109:27. PL 264:6. 1941, 61:1. RL 312:6. RSA 390:6. 1967, 23:1. 1979, 107:1, eff. July 15, 1979; 428:2, eff. July 16, 1979.