diff --git a/t/Makefile.am b/t/Makefile.am
index 2a50f316..6e9cdbf6 100644
--- a/t/Makefile.am
+++ b/t/Makefile.am
@@ -43,6 +43,7 @@ TESTSCRIPTS = \
 	t1041-view-jobs-by-project.t \
 	t1042-issue508.t \
 	t1043-view-jobs-by-bank.t \
+	t1044-issue553.t \
 	t5000-valgrind.t \
 	python/t1000-example.py \
 	python/t1001_db.py \
diff --git a/t/t1044-issue553.t b/t/t1044-issue553.t
new file mode 100755
index 00000000..c226f7d2
--- /dev/null
+++ b/t/t1044-issue553.t
@@ -0,0 +1,73 @@
+#!/bin/bash
+
+test_description='test configuring max-preempt-after values for banks'
+
+. `dirname $0`/sharness.sh
+DB_PATH=$(pwd)/FluxAccountingTest.db
+
+export TEST_UNDER_FLUX_NO_JOB_EXEC=y
+export TEST_UNDER_FLUX_SCHED_SIMPLE_MODE="limited=1"
+test_under_flux 1 job
+
+flux setattr log-stderr-level 1
+
+test_expect_success 'create flux-accounting DB' '
+	flux account -p ${DB_PATH} create-db
+'
+
+test_expect_success 'start flux-accounting service' '
+	flux account-service -p ${DB_PATH} -t
+'
+
+test_expect_success 'add root bank to the DB' '
+	flux account add-bank root 1
+'
+
+test_expect_success 'add a sub bank with max-preempt in seconds' '
+	flux account add-bank --parent-bank=root --max-preempt-after=60s A 1 &&
+	flux account view-bank A > A.test &&
+	grep "60.0" A.test
+'
+
+test_expect_success 'add a sub bank with max-preempt in hours' '
+	flux account add-bank --parent-bank=root --max-preempt-after=1h B 1 &&
+	flux account view-bank B > B.test &&
+	grep "3600.0" B.test
+'
+
+test_expect_success 'add a sub bank with max-preempt in days' '
+	flux account add-bank --parent-bank=root --max-preempt-after=1d C 1 &&
+	flux account view-bank C > C.test &&
+	grep "86400.0" C.test
+'
+
+test_expect_success 'add a sub bank with no max-preempt specified' '
+	flux account add-bank --parent-bank=root D 1 &&
+	flux account view-bank D > D.test &&
+	grep "None" D.test
+'
+
+test_expect_success 'trying to add a sub bank with a bad FSD will raise an error' '
+	test_must_fail flux account add-bank \
+		--parent-bank=root \
+		--max-preempt-after=foo E 1 > error.out 2>&1 &&
+	grep "error in add_bank: invalid Flux standard duration" error.out
+'
+
+test_expect_success 'edit max-preempt-after for a bank' '
+	flux account edit-bank A --max-preempt-after=200s &&
+	flux account view-bank A > A_edited.test &&
+	grep "200.0" A_edited.test
+'
+
+test_expect_success 'clear max-preempt-after for a bank' '
+	flux account edit-bank A --max-preempt-after=-1 &&
+	flux account view-bank A > A_cleared.test &&
+	grep "None" A_cleared.test
+'
+
+test_expect_success 'shut down flux-accounting service' '
+	flux python -c "import flux; flux.Flux().rpc(\"accounting.shutdown_service\").get()"
+'
+
+test_done