§ 3–306
Statutes in effect as of October 1, 2026.
Md. Code Ann., Fin. Inst. § 3-306 (2026)
Title 3. Banking Institutions -- Commercial Banks
Subtitle 3. Capital Stock; Surplus Requirements; Stockholders
§ 3–306LinkCopy Citation
(a)
If the surplus of a commercial bank at any time is less than 100 percent of its capital stock, then, until the surplus is 100 percent of the capital stock, the commercial bank:
(1)
Shall transfer to its surplus annually at least 10 percent of its net earnings; and
(2)
May not declare or pay any cash dividends that exceed 90 percent of its net earnings.
(b)
Any losses of a commercial bank that exceed its undivided profits may be charged to its surplus.