# N.Y. STF Law § 221: Liability; early repayment and withdrawal

> New York · Statutes · In force

URL: https://www.frixlaw.com/law-library/statutes/STATE_NY_ASTF_A15_S221

## Section

- **Citation:** N.Y. STF Law § 221
- **Heading:** Liability; early repayment and withdrawal
- **Jurisdiction:** New York
- **Kind:** Statutes
- **Status:** In force
- **Text as of:** August 14, 2026
- **Source:** Compiled text
- **Location:** New York Code / Act STF / Article 15 / Section 221

## Text

§ 221. Liability; early repayment and withdrawal. Nothing contained in\nthis article shall impose liability on the state or any of its\ndepartments or employees for payment or delays in payment of the\nprincipal or interest of a linked loan. Any delay in payments or any\ndefault on a linked loan shall in no way affect the linked deposit\nagreement between the lender and the authorized depositor. However, in\nthe event the interest rate of the linked loan shall be increased as a\nconsequence of default or renegotiation, or the loan shall be charged\noff, the lender shall give the authorized depositor prompt notice of\nsuch event, and the authorized depositor shall thereafter withdraw the\nlinked deposit upon not less than seven days' prior written notice to\nthe lender. Upon early repayment of a linked loan, the lender shall\nwithin thirty days give the authorized depositor notice of such early\nrepayment, and the authorized depositor shall thereafter withdraw the\nlinked deposit upon not less than seven days' prior written notice to\nthe lender, and the interest rate payable on the linked deposit from the\ndate of early repayment of the linked loan to the date of withdrawal of\nthe linked deposit shall be the interest rate upon which the linked\ndeposit interest rate was calculated without regard to the applicable\nbasis point reduction.\n

## Nearby sections

- [N.Y. STF Law § 212 Short title](https://www.frixlaw.com/law-library/statutes/STATE_NY_ASTF_A15_S212.md)
- [N.Y. STF Law § 213 Definitions](https://www.frixlaw.com/law-library/statutes/STATE_NY_ASTF_A15_S213.md)
- [N.Y. STF Law § 214 Establishment and purpose; linked deposit program authorization](https://www.frixlaw.com/law-library/statutes/STATE_NY_ASTF_A15_S214.md)
- [N.Y. STF Law § 215 Responsibilities of commissioner of economic development, comptroller, commissioner of taxation and finance and superintendent of financi...](https://www.frixlaw.com/law-library/statutes/STATE_NY_ASTF_A15_S215.md)
- [N.Y. STF Law § 216 Term of program](https://www.frixlaw.com/law-library/statutes/STATE_NY_ASTF_A15_S216.md)
- [N.Y. STF Law § 217 Linked loans](https://www.frixlaw.com/law-library/statutes/STATE_NY_ASTF_A15_S217.md)
- [N.Y. STF Law § 218 Interest rate for linked loans; no lender's fees](https://www.frixlaw.com/law-library/statutes/STATE_NY_ASTF_A15_S218.md)
- [N.Y. STF Law § 219 Application procedure](https://www.frixlaw.com/law-library/statutes/STATE_NY_ASTF_A15_S219.md)
- [N.Y. STF Law § 220 Renewal of linked deposit](https://www.frixlaw.com/law-library/statutes/STATE_NY_ASTF_A15_S220.md)
- [N.Y. STF Law § 221 Liability; early repayment and withdrawal](https://www.frixlaw.com/law-library/statutes/STATE_NY_ASTF_A15_S221.md)
- [N.Y. STF Law § 222 Monitoring and report](https://www.frixlaw.com/law-library/statutes/STATE_NY_ASTF_A15_S222.md)
- [N.Y. STF Law § 223 Promotion of program](https://www.frixlaw.com/law-library/statutes/STATE_NY_ASTF_A15_S223.md)
- [N.Y. STF Law § 224 Rules and regulations](https://www.frixlaw.com/law-library/statutes/STATE_NY_ASTF_A15_S224.md)

---

Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/STATE_NY_ASTF_A15_S221. Check the current official text before relying on it. Not legal advice.