News Release Archive

  Legislation allowing the use of credit unions and trust
  companies, in addition to banks, for the depositing of funds
  was introduced in the Legislature today by Housing and
  Consumer Affairs Minister Eleanor Norrie.
  The minister said there are many examples in provincial
  statutes of requirements for depositing funds, including
  trust funds held by law firms, real estate companies,
  insurance agencies and funeral directors; reserve funds held
  by municipalities; and, payments into the court.
  "The amendments to the Interpretation Act will give those
  responsible for depositing these funds the option of using
  credit unions and trust companies in addition to the banks,"
  Mrs. Norrie said.
  "We are responding to requests from credit unions to broaden
  the provisions of the statutes concerning the depositing of
  funds," she said.
  Deposits in Nova Scotia credit unions are now insured on a
  similar basis to deposits in trust companies and banks.
  Deposit insurance was extended to credit unions in
  legislation that became effective Jan.1, 1995, with the
  establishment of the Nova Scotia Credit Union Insurance
  "These amendments will put all deposit taking financial
  institutions in Nova Scotia on a level playing field, when
  considering ability to hold deposits under the provision of
  the statutes," Mrs. Norrie said. 
  The minister said that instead of amending each act that
  includes provisions for depositing funds in a bank, it is
  more efficient to amend the definition of the word "bank" in
  the Interpretation Act.
  Unless the word "bank" is specifically defined in a statute,
  the amendments extend the meaning of "bank" to include
  credit unions, subject to the Credit Union Act, and trust
  and loan companies, licensed under the Trust and Loan
  Companies Act, she said.
  Contact: Laurel Russell 902-424-4988
  trp                       Nov. 07, 1995