INTEREST-BEARING TRANSACTION ACCOUNTS AUTHORIZED.

SEC. 627. INTEREST-BEARING TRANSACTION ACCOUNTS AUTHORIZED.(a) Repeal of Prohibition on Payment of Interest on Demand Deposits.—(1) Federal reserve act.—Section 19(i) of the Federal Reserve Act (12 U.S.C. 371a) is amended to read as follows:“(i) [Repealed]” .(2) Home owners’ loan act.—The first sentence of section 5(b)(1)(B) of the Home Owners’ Loan Act (12 U.S.C. 1464(b)(1)(B)) is amended by striking “savings association may not—” and all that follows through “(ii) permit any” and inserting “savings association may not permit any”.(3) Federal deposit insurance act.—Section 18(g) of the Federal Deposit Insurance Act (12 U.S.C. 1828(g)) is amended to read as follows:“(g) [Repealed]” .(b) Effective Date.—The amendments made by subsection (a) shall take effect 1 year after the date of the enactment of this Act.