Small Business Checking Regulatory Relief Act of 2001

The Small Business Checking Regulatory Relief Act of 2001 proposed to repeal long-standing federal prohibitions that prevented banks and savings associations from paying interest on business checking accounts. By allowing these financial institutions to offer interest-bearing demand deposits, the bill aimed to help small business owners earn a return on their liquid operating funds. Additionally, the legislation sought to increase flexibility for all bank customers by quadrupling the number of allowed monthly transfers between certain interest-paying accounts and by adjusting the reserve requirements that banks must maintain.