65-7105. Same; administration of accounts by financial institutions; duties.
65-7105
65-7105. Same; administration of accounts byfinancial institutions; duties.(a) Financial institutions seeking to administer individualdevelopment accounts approved by the institute shallbepermitted to establish individual development accounts pursuant toK.S.A. 65-7101 through 65-7107, and amendments thereto. Thefinancial institution shall certify tothe institute, on formsprescribed by the institute and accompanied by any documentation required bythe institute, that such accounts have been established pursuant to this actand that deposits have been made on behalf of the account holder.
(b) A financial institution establishing an individual development accountshall:
(1) Keep the account in the name of the account holder;
(2) permit deposits to be made in the account by the following, subject tothe indicated conditions:
(A) The account holder; or
(B) a community-based organization on behalf of the account holder. Such adeposit may include moneys to match the account holder's deposits, up to afive to one match rate;
(3) require the account to earn at least the market rate of interest; and
(4) permit the account holder to withdraw moneysupon approval of a community-based organizationfrom the account forthe purpose as provided in K.S.A. 65-7104, and amendmentsthereto.
(c) The total of all deposits by the account holder into an individualdevelopmentaccount in a calendar year shall not exceed $5,000. The total balance in anindividual development account at any time shall not exceed $50,000.
History: L. 2001, ch. 176, § 5; July 1.