Test Interest [Banks & Banking] Law and Legal Definition
According to 12 CFR 330.1 [Title 12 -- Banks and Banking; Chapter III -- Federal Deposit Insurance Corporation; Subchapter B -- Regulations and Statements of General Policy; Part 330 -- Deposit Insurance Coverage], test interest means “he interest of a beneficiary in an irrevocable express trust (other than an employee benefit plan) created either by written trust instrument or by statute, but does not include any interest retained by the settlor.”
