New York Laws
Article 10 - Savings and Loan Associations
390 - Withdrawal of Unpledged Shares; Provisions for Dividends.

§ 390. Withdrawal of unpledged shares; provisions for dividends. 1.
The accumulations upon shares of any savings and loan association which
are not pledged to the association to secure a loan, whether or not such
shares are matured, may be withdrawn subject to the provisions of this
chapter and of the by-laws and regulations of the association made in
accordance therewith. In addition to his rights as a shareholder of an
association, a shareholder shall be a creditor of the association to the
extent of all dues and dividends credited to him. An association may by
regulation adopted by resolution of its board of directors require a
written notice of thirty days before paying withdrawals, in which event
no withdrawal shall be paid until thirty days after notice of intention
to make the withdrawal shall have been filed. It shall on the day such
regulation is made effective notify the superintendent by telephone or
telegraph that such regulation has been made and shall thereafter
number, date and file in the order of actual receipt every notice of
intention to make a withdrawal. Except as provided in section three
hundred seventy-eight-a of this chapter, no savings and loan association
shall hereafter agree with any of its shareholders in advance to waive
the said thirty days' notice. Except in the case of special savings
shares, if the by-laws so provide, a special dividend may be credited on
shares withdrawn between regular dividend dates at the rate of the last
dividend, computing from the last dividend period to the first day of
the month in which such withdrawal is made.

1-a. A savings and loan association may permit a shareholder to
withdraw the accumulations upon his shares of the association which are
not pledged to the association to secure a loan, whether or not such
shares are matured, through a disbursing savings and loan association
that is a member of the federal deposit insurance corporation if the
office of the disbursing association through which payment of such
withdrawal is made is located more than fifty miles from the principal
dwelling place of such shareholder. The association may authorize
payment by the disbursing association only upon receiving a specific
telephonic withdrawal request, which may be oral or electronic, from
such shareholder, and the amount so paid shall be immediately withdrawn
from the shareholder's account at such association. A savings and loan
association providing withdrawal services pursuant to this subdivision
one-a may, but is not required to: (a) charge a fee to shareholders
making such withdrawals, (b) place a limitation upon the amount of such
withdrawal requests, and (c) pay a fee to the disbursing association. A
savings and loan association may also act as the disbursing association
in a similar withdrawal transaction from such accumulations on shares in
another association that is a member of the federal deposit insurance
corporation, and may collect a fee for its services. This subdivision
one-a shall not apply to time deposits received by an association
pursuant to section three hundred seventy-eight-a of this chapter.

2. If a member shall not apply for the withdrawal within fifteen days
after the expiration of the thirty days' notice of intention no
withdrawal shall be payable under such notice or by reason thereof.
While any withdrawal application made pursuant to the required notice of
intention remains in effect and unpaid, no withdrawal application made
pursuant to a notice of intention subsequently filed shall be paid and
no loan may be made secured by transfer or pledge of shares, nor shall
shares be retired or applied by the association, or by the member toward
the payment of fines and obligations due to the association, nor shall
dividends be declared or paid.

3. Upon the withdrawal of instalment or accumulative prepaid shares
prior to their maturity, or upon the withdrawal of income shares issued
for a fixed term prior to the expiration of such fixed term, a portion

of the dividends credited to such shares may be retained by the
association as its own property, in accordance with a schedule, clearly
and fully set forth in the by-laws. Such schedule shall make proper
provision with respect to each class of share, and in the case of
instalment shares shall take into account the period such shares have
been in force, provided, however, that the portion of such dividends
that may be retained by the association upon the withdrawal of a share
shall in no case exceed forty per centum of the dividends apportioned
and credited upon such share.

4. The board of directors may permit a member to withdraw part of the
accumulations on his shares, other than instalment shares issued in
series, without reducing the number of shares held by him.

5. Subject to any regulations and restrictions prescribed by the
superintendent of financial services, a savings and loan association may
accept deposits, including demand deposits, without the issuance of a
passbook in connection therewith, and may issue such other evidences of
its obligation to repay such deposits as may be appropriate to safeguard
the interests of the depositors and of the savings and loan association.

6. In case of conflict between this section and any other provision of
law, this section shall control.

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