# Md. Code, Financial Institutions § 3-206: –206

> Maryland · Statutes · In force

URL: https://www.frixlaw.com/law-library/statutes/STATE_MD_Agfi_T3_S2_S3-206

## Section

- **Citation:** Md. Code, Financial Institutions § 3-206
- **Heading:** –206
- **Jurisdiction:** Maryland
- **Kind:** Statutes
- **Status:** In force
- **Text as of:** August 14, 2026
- **Source:** Compiled text
- **Location:** MD Code / Article gfi / Title 3 / Subtitle 2 / Section 3-206

## Text

(a) Except as otherwise provided in this article, a commercial bank has all of the general powers granted to Maryland corporations under the Maryland General Corporation Law.

(b) In addition to the powers set forth elsewhere in this article, a commercial bank may:

(1) Receive deposits of money on which interest may be paid;

(2) Buy and sell coin and bullion;

(3) Buy and sell foreign and domestic exchange;

(4) Subject to § 3-604 of this title, accept drafts drawn on it;

(5) Issue letters of credit that authorize the holder to draw drafts on it or on its correspondents payable at sight or at a time not exceeding 1 year;

(6) Issue its debt instruments for money that is borrowed or received on deposit or for investment;

(7) Lend money on personal security or on real or personal property;

(8) Subject to § 3-605 of this title, become owner and lessor of personal property;

(9) Subject to § 5-503 of this article, buy, hold, lease, and convey real property;

(10) Pledge collateral to secure deposits of:

(i) The federal government or its agencies; or

(ii) Any state or its political subdivisions;

(11) Pledge securities to secure the money of an estate administered under the federal bankruptcy laws;

(12) Without being deemed a branch of a depository institution affiliate, act in accordance with § 101(d) of the Riegle-Neal Interstate Banking and Branching Efficiency Act of 1994, as agent of any depository institution affiliate in:

(i) Receiving deposits;

(ii) Renewing time deposits;

(iii) Closing loans;

(iv) Servicing loans; or

(v) Receiving payments on loans and other obligations; and

(13) Exercise all of the powers usual in carrying on a banking business.

## Nearby sections

- [Md. Code, Financial Institutions § 3-201 §3–201.](https://www.frixlaw.com/law-library/statutes/STATE_MD_Agfi_T3_S2_S3-201.md)
- [Md. Code, Financial Institutions § 3-202 §3–202.](https://www.frixlaw.com/law-library/statutes/STATE_MD_Agfi_T3_S2_S3-202.md)
- [Md. Code, Financial Institutions § 3-203 §3–203.](https://www.frixlaw.com/law-library/statutes/STATE_MD_Agfi_T3_S2_S3-203.md)
- [Md. Code, Financial Institutions § 3-203.1 §3–203.](https://www.frixlaw.com/law-library/statutes/STATE_MD_Agfi_T3_S2_S3-203.1.md)
- [Md. Code, Financial Institutions § 3-204 §3–204.](https://www.frixlaw.com/law-library/statutes/STATE_MD_Agfi_T3_S2_S3-204.md)
- [Md. Code, Financial Institutions § 3-205 §3–205.](https://www.frixlaw.com/law-library/statutes/STATE_MD_Agfi_T3_S2_S3-205.md)
- [Md. Code, Financial Institutions § 3-206 §3–206.](https://www.frixlaw.com/law-library/statutes/STATE_MD_Agfi_T3_S2_S3-206.md)
- [Md. Code, Financial Institutions § 3-207 §3–207.](https://www.frixlaw.com/law-library/statutes/STATE_MD_Agfi_T3_S2_S3-207.md)
- [Md. Code, Financial Institutions § 3-208 §3–208.](https://www.frixlaw.com/law-library/statutes/STATE_MD_Agfi_T3_S2_S3-208.md)
- [Md. Code, Financial Institutions § 3-209 §3–209.](https://www.frixlaw.com/law-library/statutes/STATE_MD_Agfi_T3_S2_S3-209.md)
- [Md. Code, Financial Institutions § 3-211 §3–211.](https://www.frixlaw.com/law-library/statutes/STATE_MD_Agfi_T3_S2_S3-211.md)
- [Md. Code, Financial Institutions § 3-211.1 §3–211.](https://www.frixlaw.com/law-library/statutes/STATE_MD_Agfi_T3_S2_S3-211.1.md)
- [Md. Code, Financial Institutions § 3-212 §3–212.](https://www.frixlaw.com/law-library/statutes/STATE_MD_Agfi_T3_S2_S3-212.md)
- [Md. Code, Financial Institutions § 3-213 §3–213.](https://www.frixlaw.com/law-library/statutes/STATE_MD_Agfi_T3_S2_S3-213.md)

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Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/STATE_MD_Agfi_T3_S2_S3-206. Check the current official text before relying on it. Not legal advice.