BANKING ACT 1959
Part V—Interest rates

 

BANKING ACT 1959 - SECT 50  -  Control of interest rates

(1)     The Reserve Bank may, with the approval of the Treasurer, make regulations:

(a)      making provision for or in relation to the control of rates of interest payable to or by ADIs, or to or by other persons in the course of any banking business carried on by them;

(b)      making provision for or in relation to the control of rates of discount chargeable by ADIs, or by other persons in the course of any banking business carried on by them;

(c)      providing that interest shall not be payable in respect of an amount deposited with an ADI, or with another person in the course of banking business carried on by the person, and repayable on demand or after the end of a period specified in the regulations; and

(d)      prescribing penalties, for offences against the regulations, not exceeding:
(i)        if the offender is a natural person—a fine of $5,000; or

          (ii)        if the offender is a body corporate—a fine of $25,000.