Branches of domestic CRR credit institutions in another state of the European Economic Area

(1) A deposit guarantee scheme protects the deposits of a branch, in another state of the European Economic Area, of a CRR credit institution belonging to it. To carry out the compensation of depositors, which is conducted by the deposit guarantee scheme of the host Member State in the name and in accordance with the instructions of the domestic deposit guarantee scheme, the domestic deposit guarantee scheme must provide the deposit guarantee scheme of the host Member State with the funds necessary for the compensation of depositors before pay-out, and must reimburse it for the costs incurred in the compensation procedure. The reimbursement may be deferred in accordance with section 15(2).
(2) The domestic deposit guarantee scheme must provide the deposit guarantee scheme of the host Member State with the information necessary to prepare a compensation of depositors and to conduct stress tests. The domestic deposit guarantee scheme must ensure, through suitable procedures, that information can be effectively exchanged on a cross-border basis with other deposit guarantee schemes, the CRR credit institutions belonging to them, supervisory authorities and, where applicable, other bodies.
(3) To facilitate effective cooperation between deposit guarantee schemes under subsections (1) and (2), domestic deposit guarantee schemes must conclude a cooperation agreement with the deposit guarantee scheme of the host Member State. Domestic deposit guarantee schemes must notify BaFin of the existence and content of the agreements. BaFin notifies the European Banking Authority of this.