S.L. 371.9 Art. 2Interpretation Cap. 371. Cap. 371. Cap. 460. Cap. 330. Cap. 330.

For the purposes of these regulations the following definitions shall apply: "available financial means" means cash, deposits and low-risk assets which can be used for the purposes laid down in regulation 33 and which can be liquidated within a period not exceeding that referred to in regulation 13(2) and payment commitments up to the limit set out in regulation 23(3); "branch" means a place of business in a Member State which forms a legally dependent part of a credit institution and which carries out directly all or some of the transactions inherent in the business of credit institutions; "compensation date" means the date on which:

(a) the competent authority has determined that in its view the member concerned appears to be unable for the time being, for reasons which are directly related to its financial circumstances, to repay the deposit and the member has no current prospect of being able to do so; or

(b) a judicial authority has made a ruling for reasons which are directly related to the member’s financial circumstances and which has the effect of suspending the rights of depositors to make claims against it; "competent authority" means the competent authority under the Banking Act;

"covered deposits" means the part of eligible deposits that does not exceed the coverage level laid down in regulation 10;

"credit institution" means a credit institution as defined in article

*see regulation 1(3) of these Regulations as originally promulgated. 2 of the Banking Act;

"deposit" means a credit balance, including, as the case may be, any interest accrued thereon, which results from funds left in an account or from temporary situations deriving from normal banking transactions and which a credit institution is required to repay under the legal and contractual conditions applicable, including a fixed-term deposit and a savings deposit, but excluding a credit balance where:

(a) its existence can only be proven by a financial instrument as defined in Article 4(17) of Directive 2004/39/EC, unless it is a savings product which is evidenced by a certificate of deposit made out to a named person and which existed in Malta on 2 July 2014; or

(b) its principal is not repayable at par; or

(c) its principal is only repayable at par under a particular guarantee or agreement provided by the credit institution or a third party; "deposit guarantee schemes" or "DGSs" means schemes referred to in Article 1(2) of the Directive, namely:

(a) statutory schemes, including the Depositor Compensation Scheme established under regulation 4;

(b) contractual schemes that are officially recognized as deposit guarantee schemes in accordance with Article 4(2) of the Directive;

(c) institutional protection schemes that are officially recognised as deposit guarantee schemes in accordance with Article 4(2) of the Directive;

"depositor" means the holder or, in the case of a joint account, each of the holders, of a deposit; and, in the case of a deceased depositor, the successor in title of such depositor such as an heir or a legatee of a deposit; "Directive" means Directive 2014/49/EU of the European Parliament and of the Council of 16 April 2014 on deposit guarantee schemes;

"deferred file" means a single, consistent view of a depositor’s eligible deposits with a member which contains the information set out in regulation 20(5) limited to accounts which:

(a) hold any funds to which the depositor is not absolutely entitled; or

(b) are not active; "dormant account" means a deposit account in relation to which there has been no transaction within the previous twenty-four months; "EBA" means the European Banking Authority established by Regulation (EU) No 1093/2010 of the European Parliament and of the Council; "EEA State" means a State which is a contracting party to the agreement on the European Economic Area signed at Oporto on the 2nd May 1992, as amended by the protocol signed at Brussels on 17th March 1993, and as amended by any subsequent acts;

"eligible deposits" means deposits that are not excluded from protection pursuant to regulation 9, and includes deposits held in an account entitled to compensation pursuant to regulation 12(5); "European Union" means the European Union as defined in article 2 of the European Union Act; "Financial Services Tribunal" means the tribunal established in terms of the Malta Financial Services Authority Act; "financial year" means the financial year of the Scheme which shall be an accounting period of twelve months ending on the thirty-first day of December of each year; "home Member State" means the Member State in which a credit institution has been granted authorisation; "host Member State" means the Member State in which a credit institution has a branch or in which it provides services, other than its home Member State;

"in default" describes the status of a member whose deposits are unavailable deposits; "institutional protection schemes" or "IPS" means institutional protection schemes as referred to in Article 113(7) of Regulation

(EU) No 575/2013;

"joint account" means an account opened in the name of two or more persons or over which two or more persons have rights that are exercised by means of the signature of one or more of those persons; "low-risk assets" means items falling into the first or second category referred to in Table 1 of Article 336 of Regulation (EU) No 575/2013 or any assets which are considered to be similarly safe and liquid by the competent authority; "Management Committee" means the Scheme’s Management Committee established under regulation 5; "management expenses" means expenses incurred, or expected to be incurred, by the Scheme in connection with its objective and functions under these regulations other than those incurred in paying compensation, financing the resolution of members pursuant to regulation 33(2), using its available financial means for alternative measures to prevent the failure of a member pursuant to regulation 33(3), or using its available financial means for alternative measures to preserve the access of depositors to covered deposits, including transfer of assets and liabilities and deposit book transfer, in the context of insolvency proceedings, pursuant to regulation 33(6); "member" means a credit institution participating in the Scheme; "Member State" means a Member State of the European Union and includes an EEA State; "not active account" means:

(a) it is uncertain whether a person is entitled to receive compensation, such as when:

(i) the account holder is deceased;

(ii) the deposit is a pledged account;

(iii) the deposit is held by a minor; or

(iv) the deposit is subject to usufruct or similar rights,

(b) the deposit is subject to legal dispute;

(c) the deposit is subject to restrictive measures imposed by national governments or international bodies;

(d) the depositor has been charged with an offence arising out of or in relation to money laundering as defined in Article 1(2) of Directive 2005/60/EC;

(e) the deposit is a dormant account; "passporting right" means the entitlement of a person to establish a branch or provide services in an EEA State other than that in which that person has its relevant office in accordance with the Treaty as applied in the European Economic Area; "payment commitments" means payment commitments of a member towards the Scheme in accordance with regulation 23(3), which are fully collateralised provided that the collateral:

(a) consists of low risk assets; and

(b) is unencumbered by any third-party rights and is at the disposal of the Scheme; "private residential property" means a dwelling house which was, is, or is intended to become the depositor’s only or principal residence; "Resolution Committee" means the committee established under the Malta Financial Services Authority Act; "Scheme" means the Depositor Compensation Scheme established under regulation 4; "SCV report" means the report specified in regulation 21 from a member’s board of directors confirming that the member’s SCV system satisfies the SCV requirements;

"SCV requirements" means the requirements on members set out in regulation 20;

"SCV system" means a member’s system for satisfying the SCV requirements;

"single customer view file" means a single, consistent view of depositors’ aggregate eligible deposits with a member which contains the information set out in regulation 20(5), but excludes from view those deposits included in the deferred file; "target level" means the amount of available financial means which the Scheme is required to reach in accordance with regulation 23(2), expressed as a percentage of covered deposits of its members;

"temporary high balance" means, in relation to a depositor who is an individual, that part of an eligible deposit in excess of EUR 100,000 which meets the additional criteria set out in regulation 11; "unavailable deposit" means a deposit that is due and payable but that has not been paid by a member under the legal or contractual conditions applicable thereto, where either:

(a) the competent authority has determined that in its view the member concerned appears to be unable for the time being, for reasons which are directly related to its financial circumstances, to repay the deposit and the member has no current prospect of being able to do so; or

(b) a judicial authority has made a ruling for reasons which are directly related to the member’s financial circumstances and which has the effect of suspending the rights of depositors to make claims against it.