single experience factor, if the amount of the deductions computed exceeds the amount of the demand deposits, the excess may be deducted from time and savings deposits.

(3) When it is impracticable to segregate the amounts of unposted credits or debits outstanding in a "branch clearings" account or similar account or to segregate the unposted credits or debits into demand deposits and time and savings deposits in computing a factor or factors under this paragraph, the bank may apply to the Corporation for permission to compute the amounts by other methods.

(f) Experience factors for newly insured banks. A newly insured bank may determine and use its experience factors as provided in paragraph (e) of this section, except that in preparing its first report of condition for assessment purposes it shall determine the total actual amounts of unposted credits, debits, and deposits on a day designated by the Corporation, instead of on the first business day of February or August.

(g) Mergers, consolidations, deposit assumptions, and conversions. In a merger, consolidation or deposit assumption transaction involving one or more banks which used an experience factor, the continuing or resulting bank shall use new experience factors based on the combined experience of the participating banks for the twoyear period prior to such transaction or may establish a new factor or factors in accordance with paragraph (e) of this section. A bank resulting from the conversion of a bank shall continue to use the experience factors of the converted bank.

(h) Bank establishing new experience factors. A bank may apply to the Corporation for permission to establish new permanent factors in the manner provided in paragraphs (e) (1) and (2) of this section. Until the new permanent factors have been determined and approved in writing by the Corporation, the bank shall continue to use its existing factors.

(i) Corporation requiring new experience factors. The Corporation at any time may require a bank to establish new factors, and for this purpose may designate a day or days and a period

or periods, other than those specified, for the determination of deposits and the total actual amounts of unposted credits or unposted debits, or both. After the new factors have been computed by the bank or the Corporation and have been approved in writing by the Corporation, the bank shall use the new factors for all subsequent reports of condition.

(j) Notice to Corporation of changes in accounting methods. If a bank changes its accounting procedures from those used when its experience factors were established and this causes an increase or decrease in the amount of unposted credits or unposted debits, it shall promptly give written notice to the Corporation of the change.

§ 327.03 Classification of deposits.

(a) The deposits that are required to be reported in the reports of condition under Section 7 of the Federal Deposit Insurance Act (12 U.S.C. 1817) shall be segregated into demand deposits and time and savings deposits.

(b) For the purpose of the reports of condition and for the computation of assessments as provided in subsection (b) of Section 7 of the Act (12 U.S.C. 18171), the terms "time deposits", "savings deposits", and "demand deposits" shall have the same meaning as those provided in § 329.1, except that deposits accumulated for the payment of personal loans, which represent actual loan payments received by the bank from borrowers and accumulated by the bank in hypothecated deposit accounts for payment of the loans at maturity, shall not be reported as deposits on the report of condition. The deposit amounts covered by the exception are to be deducted from the loan amounts for which these deposits have been accumulated and assigned or pledged to effectuate payment. Time and savings deposits that are pledged as collateral to secure loans are not deposits accumulated for the payment of personal loans and are to be reported in the same manner as if they were not securing a loan.

§ 327.04 Payment of assessments by banks whose insured status has terminated. (a) Liability for assumed deposits. When the deposit liabilities of an insured bank are assumed by another insured bank, the assumed deposits, for assessment purposes, shall be deposit liabilities of the assuming bank and shall cease to be deposit liabilities of the bank whose deposits are assumed. (b) Payment of assessments by bank whose deposits are assumed. When the deposit liabilities of an insured bank are assumed by another insured bank, the insured bank whose deposits are assumed shall file a final certified statement as provided in § 304.3(u) and shall pay to the Corporation the normal assessment on the deposits. If the deposits of the terminating bank are assumed by a newly insured bank, the terminating bank is not required to file certified statements or pay any assessment upon the deposits assumed after the semiannual period in which the assumption occurs.

(c) Payment of assessments by assuming bank on assumed deposits. When the deposit liabilities of an insured bank are assumed by another insured bank and the assuming bank agrees to file the certified statement which the terminating bank is required to file, the filing of the certified statement and the payment of the assessment on the deposits by the assuming bank shall satisfy the terminating bank's obligations in this regard if (1) the requisite notice of assumption, as provided in Part 307 of this chapter, is given to the depositors of the terminating bank, and (2) the certified statement is filed separately from that required to be filed by the assuming bank.

(d) Resumption of insured status before insurance of deposits ceases. If a bank whose insured status has been terminated under Section 8(a) of the Federal Deposit Insurance Act is permitted by the Corporation to continue or resume its status as an insured bank before the insurance of its deposits has ceased, the bank will be deemed, for assessment purposes, to continue as an insured bank and must thereafter furnish certified statements and pay assessments as though its insured status had not been terminated. The

procedure for applying for the continuance or resumption of insured status is set forth in § 303.7 of this chapter.

(e) Payment of assessments by bank whose deposits are not assumed. (1) When the deposit liabilities of an insured bank are not assumed by another insured bank, the terminating bank shall continue to file certified statements and pay assessments for the period its deposits are insured as provided by the Federal Deposit Insurance Act. It shall not be required to file further certified statements or to pay further assessments after the bank has paid in full its deposit liabilities and the assessment to the Corporation required to be paid for the semiannual period in which its deposit liabilities are paid in full, and after it, under applicable law, has ceased to have authority to transact a banking business and to have existence, except for the purpose of, and to the extent permitted by law for, winding up its affairs.

(2) When the deposit liabilities of the bank have been paid in full, the bank shall certify to the Corporation that the deposit liabilities have been paid in full and give the date of the final payment. When the bank has unclaimed

deposits, the certification shall further state the amount of the unclaimed deposits and the disposition made of the funds to be held to meet the claims. For assessment purposes, the following will be considered as payment of the unclaimed deposits:

(i) The transfer of cash funds in an amount sufficient to pay the unclaimed and unpaid deposits to the public official authorized by law to receive the same; or

(ii) If no law provides for the transfer of funds to a public official, the transfer of cash funds or compensatory assets to an insured bank in an amount sufficient to pay the unclaimed and unpaid deposits in consideration for the assumption of the deposit obligations by the insured bank. The terminating bank shall give sufficient advance notice of the intended transfer to the owners of the unclaimed deposits to enable the depositors to obtain their deposits prior to

the transfer. The notice shall be mailed to each depositor and shall be published in a local newspaper of general circulation. The notice shall advise the depositors of the liquidation of the bank, request them to call for and accept payment of their deposits, and state the disposition to be made of their deposits if they fail to promptly claim the deposits. If the unclaimed and unpaid deposits are disposed of as provided in paragraph (e)(2)(i) of this section, a certified copy of the public official's receipt issued for the funds shall be furnished to the Corporation. If the unclaimed and unpaid depostis are disposed of as provided in paragraph (e)(2)(ii) of this section, an affidavit of the publication and of the mailing of the notice to the depositors, together with a copy of the notice, and a certified copy of the contract of assumption shall be furnished to the Corporation.

(3) The terminating bank shall advise the Corporation of the date on which the authority or right of the bank to do a banking business has terminated and the method whereby the termination has been effected (i.e., whether the termination has been effected by the surrender of the charter, the cancellation of its authority or license to do a banking business by the supervisory authority, or otherwise).

§ 327.05 Time of payment.

Each insured bank shall pay to the Corporation the amount of the semiannual assessment due to the Corporation, as shown on its certified statement, at the time the statement is required to be filed under Section 7(c) of the Federal Deposit Insurance Act. Certified statements shall be considered to have been filed in a timely manner if they are postmarked on or before the last day of the first month of the semiannual period for which the certified statements are being filed. Accordingly, certified statements that are based on the deposits in the September 30 and December 31 reports of condition must be postmarked no later than January 31 and certified statements based on the deposits in the March 31 and June 30 reports of

condition must be postmarked no later than July 31.

delin

§ 327.06 Payment of interest on quent assessment payments and assessment overpayments.

(a) Each insured bank shall pay to the Corporation interest on delinquent assessment payments. All assessments will be considered delinquent if they are postmarked after the time for payment specified in § 327.05, including late payments caused by bank errors in the Certified Statement, unless the delay has been caused by a bank's good faith reliance on a specific FDIC rule, regulation or approval. The interest rate will be the United States Treasury Department's current value of funds rate which is issued under the Treasury Fiscal Requirements Manual (TFRM rate) and published quarterly in the FEDERAL REGISTER. The interest rate will be determined as follows:

(1) Current year. (i) For delinquent days occurring on or prior to March 31, the rate will be the TFRM rate that is published in the preceding December.

(ii) For the delinquent days occurring from April 1 to June 30, the rate will be the TFRM rate that is published in March for the second quarter of the year.

(iii) For delinquencies days occurring from July 1 to September 30, the rate will be the TFRM rate that is published in June for the third quarter.

(iv) For delinquent days occurring from October 1 to December 31, the rate will be the TFRM rate that is published in September for the fourth quarter.

(2) Prior years. The interest will be calculated quarterly and compounded annually at the rates applicable for each quarter as issued under the TFRM. For the initial year, the rate will be applied to the gross amount of the delinquent payment. For each additional year or portion thereof the rate will be applied to the net amount of the delinquent payment after it has been reduced by the assessment credit for the year.

The regulation contained in this part prescribes the requirements with regard to the official sign insured banks must display and the requirements with regard to the official advertising statement insured banks must include in their advertisements. It also prescribes an approved short title which insured banks may use at their option. It imposes no limitations on other proper advertising of insurance of deposits by insured banks and does not apply to advertisements published in foreign countries by insured banks which maintain offices in such foreign countries in which offices the deposits are not insured. For purposes of this Part 328, the term "insured bank" includes a foreign bank having an insured branch.

[32 FR 10189, July 11, 1967, as amended at 46 FR 37876, July 23, 1981]

§ 328.1 Mandatory requirements with regard to the official sign and its display.

(a) Insured banks to display official sign. Each insured bank shall continuously display an official sign as prescribed below at each station or window where insured deposits are usually and normally received in its principal place of business and in all its branches, except on automatic service facilities including automated teller machines, cash dispensing machines, point-of-sale terminals, and other electronic facilities where deposits are received. However, no bank becoming an insured bank shall be required to display such official sign until twenty-one (21) days after its first day of operation as an insured bank. The official sign may be displayed by any insured bank prior to the date display is required. Additional signs in other sizes, colors or materials, incorporating the basic design of the official sign, may be displayed in other locations within an insured bank. An insured bank may display the official sign at a remote service facility, Provided, That if there are any noninsured banks or institutions which share in the remote service facility, any insured bank which displays the sign must clearly show that the official sign refers only to a designated insured bank or banks.

(b) Official sign. The official sign referred to in paragraph (a) of this section shall be 7′′ by 3′′ and of the following design:

The "symbol" of the Corporation shall be that portion of the official sign represented by the letters and the Corporation seal contained upon the sign.

(1) Any insured bank may procure official signs with black letters on a gold background from the Corporation for official use at no charge. The Corporation shall furnish to banks an order blank for use in procuring the official signs. Any bank which promptly, after receipt of the order blank, fills it in, executes it, and properly directs and forwards it to the Federal Deposit Insurance Corporation, Washington, D.C. 20429, shall not be deemed to have violated this regulation on account of not displaying an official sign, or signs, unless the bank shall omit to display such official sign or signs after receipt thereof.

(2) Official signs reflecting variations in color and materials and additional signs reflecting variations in size, color, and materials may be procured by insured banks from commercial suppliers.

(c) Receipt of deposits at same teller's station or window as noninsured bank or institution. An insured bank is forbidden to receive deposits at any teller's station or window, except a remote service facility as defined in paragraph (a) of § 303.14, where any noninsured bank or institution receives deposits or similar liabilities.

(d) Required changes in official sign. The Corporation may require any insured bank, upon at least 30 days' written notice, to change the wording of its official signs in a manner

regard to the official advertising statement and manner of use.

(a) Insured banks to include official advertising statement in all advertisements except as provided in paragraph (c) of this section. Each insured bank shall include the official advertising statement, prescribed in paragraph (b) of this section, in all of its advertisements except as provided in paragraph (c) of this section.

(1) An insured bank is not required to include the official advertising statement in its advertisements until thirty (30) days after its first day of operation as an insured bank.

(2) In cases where the Board of Directors of the Federal Deposit Insurance Corporation shall find the application to be meritorious, that there has been no neglect or willful violation in the observance of the section and that undue hardship will result by reason of its requirements, the Board of Directors may grant a temporary exemption from its provision to a particular bank upon its written application setting forth the facts. For the procedure to be followed in making such application see § 303.8 of this chapter.