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Canada Deposit Insurance Corporation Act (R.S.C., 1985, c. C-3)

Act current to 2019-11-19 and last amended on 2019-05-10. Previous Versions

Deposit Insurance (continued)

 [Repealed, R.S., 1985, c. 18 (3rd Supp.), s. 56]

Marginal note:Funds

 The Corporation shall maintain funds for the purpose of carrying out its objects.

  • R.S., 1985, c. C-3, s. 20
  • 2018, c. 27, s. 162

Marginal note:Assessment and collection of premiums

  •  (1) The Corporation shall, for each premium year, assess and collect from each member institution an annual premium in an amount equal to the lesser of

    • (a) the annual premium for that member institution determined under the by-laws, and

    • (b) the maximum annual premium.

  • Marginal note:By-laws re premiums

    (2) The Board may make by-laws respecting the determination of annual premiums for member institutions and, without restricting the generality of the foregoing, may make by-laws

    • (a) for the establishment of a system of classifying member institutions in different categories;

    • (b) respecting the criteria or factors to be taken into account or procedures to be followed by the Corporation in determining the category in which a member institution is classified; and

    • (c) fixing the amount of, or providing for the manner of determining the amount of, the annual premium applicable to each category.

  • Marginal note:When by-law not effective

    (3) A by-law made under subsection (2) is not effective unless it has been approved in writing by the Minister.

  • Marginal note:Maximum annual premium

    (4) In this section, maximum annual premium means, in respect of a member institution, the greater of

    • (a) $5,000, and

    • (b) one third of one per cent, or such smaller proportion of one per cent as may be fixed in respect of the premium year by the Governor in Council, of an amount equal to the sum of so much of the deposits as are considered to be insured by the Corporation and deposited with the member institution as of April 30 in the immediately preceding premium year.

  • Marginal note:Calculation of deposits

    (5) For the purposes of this section, a member institution may use any method approved by the Corporation for that premium year to determine or estimate the aggregate amount of its deposits that are considered to be insured by the Corporation.

  • R.S., 1985, c. C-3, s. 21
  • R.S., 1985, c. 18 (3rd Supp.), s. 57
  • 1996, c. 6, s. 27
  • 2007, c. 6, s. 406
  • 2018, c. 27, s. 163

Marginal note:Returns

  •  (1) The premium payable by a member institution shall be based on returns to be certified by the institution and submitted in such form and at such time as the Corporation may require.

  • Marginal note:Payable in instalments

    (2) One half of the premium payable by a member institution shall be paid to the Corporation on or before July 15 in the premium year for which the premium is payable and the remainder shall be paid to the Corporation, without interest, on or before December 15 in that premium year.

  • R.S., 1985, c. C-3, s. 22
  • 1996, c. 6, s. 28

Marginal note:Calculation of first premium

  •  (1) The premium payable by a member institution in respect of the premium year in which it becomes a member institution shall be the same proportion of the lesser of

    • (a) the annual premium for that member determined by by-law made under subsection 21(2) based on an amount equal to the sum of so much of the deposits as are considered to be insured by the Corporation and deposited with the member institution as of the end of the month in which it becomes a member institution, and

    • (b) the greater of

      • (i) $5,000, and

      • (ii) one third of one per cent, or such smaller proportion of one per cent as may be fixed in respect of the premium year by the Governor in Council, of an amount equal to the sum of so much of the deposits as are considered to be insured by the Corporation and deposited with the member institution as of the end of the month in which it becomes a member institution,

    as the number of days in which any of the deposits with that member institution are insured by the Corporation in that premium year is of 365.

  • Marginal note:Payment of first premium

    (2) Despite subsection 22(2), the premium payable by a member institution under subsection (1) must be paid to the Corporation, without interest, within 30 days after the end of the month in which the member institution becomes a member institution.

  • R.S., 1985, c. C-3, s. 23
  • R.S., 1985, c. 18 (3rd Supp.), s. 58
  • 1996, c. 6, s. 29
  • 2001, c. 9, s. 207
  • 2007, c. 6, s. 407

Marginal note:Where premiums payable

 All premiums payable shall be paid to the Corporation at its head office.

  • R.S., 1985, c. C-3, s. 24
  • R.S., 1985, c. 18 (3rd Supp.), s. 58
  • 2009, c. 2, s. 239

Marginal note:No set-off on premium payment

 No member institution shall, without the prior agreement of the Corporation, reduce or extinguish a premium payment, interest or other payment to be made to the Corporation by reason of a set-off or claim by the member institution against the Corporation.

  • 1996, c. 6, s. 30
  • 2001, c. 9, s. 208

Marginal note:Overdue charges

 Notwithstanding anything in sections 21 to 23, the Corporation may charge interest at a rate equal to the rate prescribed pursuant to subsection 161(1) of the Income Tax Act plus two per cent on the unpaid amount of any premium instalment not paid on or before the due date of that instalment.

  • R.S., 1985, c. C-3, s. 25
  • R.S., 1985, c. 18 (3rd Supp.), s. 58

Marginal note:Premium surcharge

  •  (1) Notwithstanding sections 21 to 25, where, in the opinion of the Corporation, a member institution is engaging in such practice as may be prescribed in the by-laws as warranting a premium surcharge, the Corporation, after

    • (a) consultation with the Superintendent or the provincial supervisor, as the case may be, and

    • (b) giving the member institution an opportunity to make written representations,

    may assess and collect from the member institution a premium surcharge in respect of the premium year or any part thereof.

  • Marginal note:Amount of premium surcharge

    (2) The amount of the premium surcharge that may be assessed against and collected from a member institution under subsection (1) in respect of any premium year shall be such amount as the Corporation may determine to be fair in the circumstances and in no case shall exceed an amount equal to one sixth of one per cent of so much of each deposit as is considered to be insured by the Corporation and deposited with the member institution as of April 30 in the immediately preceding premium year.

  • Marginal note:Application of sections 21 to 25

    (3) The provisions of sections 21 to 25 that are not inconsistent with subsections (1) and (2) apply, with such modifications as the circumstances require, in respect of any premium surcharge assessed under subsection (1).

  • R.S., 1985, c. 18 (2nd Supp.), s. 4, c. 18 (3rd Supp.), s. 59
  • 1996, c. 6, s. 31
  • 2007, c. 6, s. 408

Marginal note:Non-application to special premium

 Section 21, subsection 22(2), section 23 and subsection 37(5) do not apply to a special premium.

  • 2009, c. 2, s. 240

Marginal note:By-laws — special premium

  •  (1) In respect of each order made under subsection 7.1(1) or each direction given under subsection 11.1(1), the Board may make by-laws respecting the recovery from member institutions or any class of member institutions of the loss referred to in section 7.3 or 11.3, as the case may be, including by-laws

    • (a) fixing the special premium payable by member institutions or any class of member institutions or providing for the manner of fixing the special premium;

    • (b) establishing a system of classifying member institutions in different classes;

    • (c) establishing the criteria or factors to be taken into account or procedures to be followed by the Corporation in determining the class in which a member institution is classified; or

    • (d) respecting the time and manner in which a special premium shall be paid.

  • Marginal note:When by-law not effective

    (2) A by-law made under subsection (1) is not effective unless it has been approved in writing by the Minister.

  • 2009, c. 2, s. 240
 
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