Banking — Guaranty Fund — Interest-bearing Deposit.
The deposit of money in a state bank on certificate of deposit bearing interest till maturity and not thereafter, did not become unsecured and non-interest-bearing, nor entitled, as such, to payment out of the guaranty fund, though more than three months before the bank failed and was closed by the Banking Commissioner the certificate had matured and thenceforth was not drawing interest. There was no new contract, and the character of the deposit continued unaltered, interest to maturity furnishing a consideration. (P. 168.)
PER CURIAM:
The deposit in this case in its inception was an interest bearing deposit, and while by the expiration of time it may have ceased to bear interest for such additional time as the money was left in the bank, yet the interest agreed upon for the specified time was compensation for such time as the money was left in the bank under the contract. The character of the contract was never changed. The certificate was not subsequent to the time it ceased to bear interest presented to the bank and a new deposit contract created. It is clear, therefore, that the deposit was not a non-interest-bearing deposit. The writ of error is accordingly refused.