12 USC 1464a - Election to operate as a covered savings association

U.S Code last checked for updates: Nov 22, 2024

§ 1464a.

Election to operate as a covered savings association

(a)

Definition

(b)

Election

(1)

In general

(2)

Approval

(c)

Rights and duties

Notwithstanding any other provision of law, and except as otherwise provided in this section, a covered savings association shall—

(1)

have the same rights and privileges as a national bank that has the main office of the national bank situated in the same location as the home office of the covered savings association; and

(2)

be subject to the same duties, restrictions, penalties, liabilities, conditions, and limitations that would apply to a national bank described in paragraph (1).

(d)

Treatment of covered savings associations

A covered savings association shall be treated as a Federal savings association for the purposes—

(1)

of governance of the covered savings association, including incorporation, bylaws, boards of directors, shareholders, and distribution of dividends;

(2)

of consolidation, merger, dissolution, conversion (including conversion to a stock bank or to another charter), conservatorship, and receivership; and

(3)

determined by regulation of the Comptroller.

(e)

Existing branches

(f)

Rule making

The Comptroller shall issue rules to carry out this section—

(1)

that establish streamlined standards and procedures that clearly identify required documentation and timelines for an election under subsection (b);

(2)

that require a Federal savings association that makes an election under subsection (b) to identify specific assets and subsidiaries that—

(A)

do not conform to the requirements for assets and subsidiaries of a national bank; and

(B)

are held by the Federal savings association on the date on which the Federal savings association submits a notice of the election;

(3)

that establish—

(A)

a transition process for bringing the assets and subsidiaries described in paragraph (2) into conformance with the requirements for a national bank; and

(B)

procedures for allowing the Federal savings association to submit to the Comptroller an application to continue to hold assets and subsidiaries described in paragraph (2) after electing to operate as a covered savings association;

(4)

that establish standards and procedures to allow a covered savings association to—

(A)

terminate an election under subsection (b) after an appropriate period of time; and

(B)

make a subsequent election under subsection (b) after terminating an election under subparagraph (A);

(5)

that clarify requirements for the treatment of covered savings associations, including the provisions of law that apply to covered savings associations; and

(6)

as the Comptroller determines necessary in the interests of safety and soundness.

(g)

Grandfathered covered savings associations

(June 13, 1933, ch. 64, § 5A, as added Pub. L. 115–174, title II, § 206, May 24, 2018, 132 Stat. 1310.)

cite as: 12 USC 1464a