Laws and Regulations Database of the Central Bank of the Republic of China(Taiwan)

 Article 18

(Assessment of Overdraft Interest)
18.Intraday overdrafts interest shall be assessed as the product of the amount
　 and number of minutes for which the financial institution's account is
　 overdrawn as follows:
　 (1) Interest on intraday overdrafts pledged by Classes 1 and 2 collateral is
　　　 payable at a rate of the Bank's rate of accommodation with collateral in
　　　 effect on that day.
　 (2) Interest on intraday overdrafts pledged by Class 3 collateral is payable
　　　 at a rate of 1.5 times of the Bank's rate of accommodation with collateral
　　　 in effect on that day.
　 For the first six months of the implement of these Directions, the intraday
　 overdrafts pledge by Classes 1 and 2 collateral shall be free from interest
　 charges, and the interest on intraday overdrafts pledged by Class 3 collateral
　 shall be payable at the Bank's rate of accommodations with collateral. After
　 six months, the Bank may adjust the interest rates according to the
　 effectiveness and its service needs.

 Article 20

(Assessment of Penalty Interest)
20.If a financial institution fails to repay any intraday overdrafts by deadline
　 , the Bank, besides keeping the original pledge, may on the following business
　 day impose an penalty interest in the following manner, until the unpaid
　 overdrafts is paid in full:
　 (1) The penalty interest on overdrafts pledged by classes 1 and 2 collateral 
　　　 is payable at a rate of 1.2 times of the Bank's rate of accommodations
　　　 without collateral in effect on that day.
　 (2) The penalty interest on overdrafts pledged by classes 3 collateral is
　　　 payable at a rate of 1.5 times of the Bank's rate of accommodations
　　　 without collateral in effect on that day.
　 If a financial institution fails to repay any intraday overdrafts for two
　 consecutive business days after the deadline, the penalty interest for
　 the second business day shall be imposed in the following manner, until the
　 unpaid overdrafts is paid in full, and the Bank may suspend the qualification
　 of intraday overdrafts starting on the third business day:
　 (1) The penalty interest on overdrafts pledged by classes 1 and 2 collateral
　　　 is payable at a rate of 2.4 times of the Bank's rate of accommodations
　　　 without collateral in effect on that day.
　 (2) The penalty interest on overdrafts pledged by classes 3 collateral is
　　　 payable at a rate of 3 times of the Bank's rate of accommodations
　　　 without collateral in effect on that day.