§ 1-403. Authorization to operate; authorized transactions; failure to meet requirements

   (a) In general. -- Subject to this section, a banking institution or credit union may have an automated teller machine at a location other than the principal office or a branch of a banking institution or credit union.

(b) Written notice. --

   (1) Except as provided in paragraph (2) of this subsection, at least 15 business days before commencing the installation of an automated teller machine, a banking institution or credit union shall submit to the Commissioner written notice of its intent to install the automated teller machine.

   (2) No written notice of intent to install an automated teller machine is required if the automated teller machine is to be located at the principal office or a branch of a banking institution or credit union.

(c) Authorized transactions. --

   (1) An automated teller machine may receive and dispense money as instructed by a customer.

   (2) A banking institution or credit union may verify by direct wire transmission or otherwise any transaction that is made by means of an automated teller machine.

   (3) The Commissioner may adopt rules and regulations that are substantially similar to those rules and regulations of the Comptroller of the Currency for the operation and shared use of automated teller machines by national banking associations.

(d) Failure to meet requirements. --

   (1) If, after the Commissioner receives the notice required under subsection (b)(1) of this section or the automated teller machine is installed, any requirement of this section is not being met, or if the Commissioner determines that the operation of the automated teller machine is not consistent with safety and soundness and the security of the transactions, the Commissioner shall give the banking institution or credit union notice of the deficiency.

   (2) On notice of deficiency, a banking institution or credit union shall stop using the automated teller machine.

   (3) If the Commissioner determines that the deficiency has been corrected, the banking institution or credit union may resume use of the automated teller machine.

(e) Machine is not a branch. -- For purposes of this article, an automated teller machine is not a branch of a banking institution or credit union.

HISTORY: 1999, ch. 603; 2000, ch. 61, § 1; 2001, ch. 147, § 1; ch. 148, § 1; 2008, ch. 89.