(b) Whenever the person receiving money so deposited or advanced shall
deposit such money in a banking organization, such person shall
thereupon notify in writing each of the persons making such security
deposit or advance, giving the name and address of the banking
organization in which the deposit of security money is made, and the
amount of such deposit. Deposits in a banking organization pursuant to
the provisions of this subdivision shall be made in a banking
organization having a place of business within the state. If the person
depositing such security money in a banking organization shall deposit
same in an interest bearing account, he shall be entitled to receive, as
administration expenses, a sum equivalent to one percent per annum upon
the security money so deposited, which shall be in lieu of all other
administrative and custodial expenses. The balances of the interest paid
by the banking organization shall be the money of the person making the
deposit or advance and shall either be held in trust by the person with
whom such deposit or advance shall be made, until repaid or applied for
the use or rental of the leased premises, or annually paid to the person
making the deposit of security money.