Canada Deposit Insurance Corporation Act

Marginal note:Effect of termination or cancellation

• 34 (1) Where the deposit insurance of a member institution is terminated or cancelled by the Corporation, the deposits with the institution on the day the termination or cancellation takes effect, less any withdrawals from those deposits, continue to be insured under the terminated or cancelled deposit insurance for a period of two years or, in the case of a term deposit with a remaining term exceeding two years, to the maturity thereof.

• Marginal note:Non-application of continued coverage

  (2) Subsection (1) does not apply in respect of a deposit with

  • (a) a member institution if the deposit has been assumed by another member institution; or

  • (b) a former member institution that has received authorization to accept deposits payable in Canada without being a member institution and the policy of deposit insurance of which has been cancelled.

• Marginal note:Corporations not member institutions

  (3) A corporation is not considered to be a member institution by reason only that its deposits continue to be insured under subsection (1).

• Marginal note:Continuing obligations

  (4) Termination or cancellation of a policy of deposit insurance does not relieve a former member institution from obligations and liabilities to the Corporation that have accrued before the termination or cancellation.