By-Laws

By-Laws

For a complete copy of the By Laws of the Nova Scotia Credit Union Deposit Insurance Corporation, please contact our office.

Article II (B)

For the purposes of deposit insurance, “deposit” means with respect to a member the aggregate of:

  1. the unpaid balance of the moneys received by a credit union from the member in the ordinary course of business, other than as payment for shares, and for which the credit union has given or is obligated to give credit to the account of the member; or
  2. has issued or is obligated to issue to the member a receipt or certificate in respect of which the credit union is liable, if the credit union is obligated to repay the moneys;
  3. on a fixed date;
  4. on demand by the member; or
  5. within a specified period following demand by the member, and includes any interest or rebate of loan interest accrued or payable to the member; and funds deposited under a registered retirement savings plan or other registered investment vehicle approved by Revenue Canada by the member which pursuant to the direction of the member are in the custody of a credit union as an agent for the purposes of the plan.

Provided, however, that

  1. where a credit union is obligated to repay moneys to a member who is acting as trustee for another or as joint owner with another, the deposit of the member acting as trustee or as joint owner with another shall be deemed for the purposes of deposit insurance with the Corporation to be a deposit separate from any deposit of the member made with the credit union in the member’s own right for the member’s own use or acting in another joint or trust capacity, provided that the trusteeship or joint interest is disclosed upon the records of the credit union prior to payment by the Corporation of any claim in respect of the deposit;
  2. where a credit union is obligated to repay moneys to a member who is acting as trustee for a beneficiary, the interest of the beneficiary in the deposit shall be deemed for the purposes of deposit insurance with the Corporation to be a deposit separate from any deposit of the member made with the credit union in the member’s own right for the member’s own use, and separate from any interest of the beneficiary in respect of any other trust deposit of which the member is a beneficiary, provided that the trusteeship is disclosed upon the records of the credit union prior to payment by the Corporation of any claim in respect of the deposit;
  3. where a credit union is obligated to repay moneys to a member who is acting as trustee for two or more beneficiaries, the interest of each beneficiary in the deposit shall be deemed for the purposes of deposit insurance with the Corporation to be a separate deposit, provided that the interest of each beneficiary in the deposit is disclosed upon the records of the credit union prior to payment by the Corporation of any claim in respect of the deposit;
  4. where a credit union has custody of funds deposited under a registered retirement savings plan or other registered investment vehicle approved by Revenue Canada, the funds shall be deemed for the purposes of deposit insurance with the Corporation to be a deposit separate from any deposit of the member made with the credit union in the member’s own right for the member’s own use and separate from any funds which are in the custody of the credit union and which were deposited by the member under any other plan, whether a registered retirement savings plan or another registered investment vehicle approved by Revenue Canada; and
  5. the funds are in Canadian currency and are not invested in a term greater than five years.