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Show PROVISIONS OF \ NEW l\TEW l TEW BANKINGLAW BANKINGLAW BANKING BANKINGLAW LAW GO INTO EFFECT SOON SOONJust SOONJust Just before congre congre's congres ' s adjourned last lastJune lastJune lastJune June , it passed by nearly unammous unanimous unammousote unanimousote unanimous\ote unanimous ote \ , ote the banking bankmg act of 1933 , known taS gas taSthe gasthe iasthe the Glass-Steagall Glass Steagall - Bill Bm This bill was wasapproved wasapproved approved by the senate by unanimousvote unanimous unanimousvote unanimousvote vote ofthe and it received recelved the appro approi approval , al of the .house house .l1ouse l1ouse . . b by ' all but six sh . . membersThe membersThe members The banking bankmg act of 1933 gives glves the thepeople thepeople thepeople people of the United States the pro . tection tectlOn protection promised promlsed by the president last lastMarch lastMarch lastMarch March It provides iprovIdes for insurance msurance of ofbgn ofbank ofbank bgn\ bgn bank bgnoeposlts , \ . oeposits oeposlts oeposrts and places proper safegua safe- safe safegua safe-gua'as safe gua'as guaas - | bankingThe bankmgThe gua ' 0.5 05 as . and supervision on bankmg banking The emulations legulations regulations i included mcluded in the bank bank- bankmg banking banking - ing mg act were provided to make banking bankingsafe bankingsafe bankingsafe safe Among these regulations regulatlons are arerestrictlens arerestrictions arerestrictions restrictle-ns restrictle ns restrictions - upon payment of interest intereston on deposits depOSlts A safe hank bank must be op- op operated operated op operated - profitFor erated with safety and show a profit For this reason the new banking law lawhas has provided that no member bank of ofthe ofthe ofthe the l ' leaeral eaeral Reserve syst&m systm system syst & m shall , directly di- di directly di directly - rectly or irdirectly ll"directly lldirectly irdlrectly " , pay any interest interesL on onany onany onany any deposit v \ " ' vhich hlch hich is payable on de- de demand demand de demand - - mand and the law also provides tnat trial tnatthe trialthe tnatthe the Federal eral Reserve board shall shan llmlt limit llmltby limitby limitby by regulation the rate of mterest interest mterestwhIch interestwhich interestwhich whIch may be paid by member banks bankson bankson bankson on depositsThe deposltsThe time bme depositsThe deposits deposlts The Federal Reserve Rec.erve Recerve : . board has nro- nro pro- pro provided nrovlded uro-vided uro vided - vlded vided that no member bank shall pay interest payinterest 31,1933 311933 accruing after October 31 , 1933 , on any time tlme deposit , or any savings sav- sav savIngs sav savings - ings account , at a rate in excess of ofthree ofthree ofthree three per cent per annum compounded compoundedsemiannual1y compoundedsemiannually compoundedsemi-annually compoundedsemi annually semi-annual1y semi annual1y semi-annually annually - |