Maryland § 9-1606.1
Full text of Maryland Maryland Code § 9-1606.1, with citation guidance and answers to common questions.
§ 9-1606.1.
(a) (1) In this section the following words have the meanings indicated.
(2) “Lender” means a financial institution that:
(i) Is eligible to make commercial loans;
(ii) Agrees to receive linked deposits under this subtitle; and
(iii) 1. Is a public depository of State funds insured by the Federal Deposit Insurance Corporation; or
2. Is an institution of the Farm Credit System organized under the Farm Credit Act of 1971, as amended.
(3) “Linked deposit” means a deposit or investment that is placed by the Administration with a lender and earns income below the prevailing market rate for equivalent deposits or investments made with the lender at the time of the deposit or investment.
(4) “Linked deposit loan” means a loan from a lender to a borrower that:
(i) Is used for the purposes of § 9-1605(d)(6) or § 9-1605.1(d)(7) of this subtitle; and
(ii) Is provided at an interest rate below the prevailing market rate to the same extent income earned on the linked deposit is below income paid on equivalent deposits.
(5) “Linked Deposit Program” means a program established by the Administration whereby a linked deposit is placed with a lender based on the agreement of the lender to provide a linked deposit loan to a borrower.
(b) (1) A borrower desiring to acquire a linked deposit loan shall apply to a lender.
(2) The Administration shall certify to a lender that a borrower is eligible for a linked deposit loan consistent with § 9-1605(d)(6) or § 9-1605.1(d)(7) of this subtitle.
(c) Upon approval of a linked deposit loan by the lender, the Administration and lender shall enter into an agreement under which the amount and term of, and schedule for payment of principal and interest on, the linked deposit shall be determined.
(d) On receiving a linked deposit from the Administration, the lender shall execute a loan commitment with the borrower.
(e) A linked deposit loan is not a debt of the State or a pledge of the credit of the State.
Frequently Asked Questions About Maryland § 9-1606.1
What does Maryland Code § 9-1606.1 cover?
Section 9-1606.1 is part of the Maryland Code, the codified statutory law of Maryland. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite Maryland § 9-1606.1?
A common citation format is "Maryland Code § 9-1606.1" (Maryland). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of Maryland law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the Maryland official source linked on this page or consult a licensed Maryland attorney.
How does Maryland § 9-1606.1 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Maryland can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in Maryland.