12 CFR 362.16 - Purpose and scope. | Title 12 - Banks and Banking | Code of Federal Regulations

prev | next

§ 362.16

Purpose and scope.

(a) This subpart, along with the notice and application procedures in subpart G of part 303 of this chapter, implements section 46 of the Federal Deposit Insurance Act (12 U.S.C. 1831w) and requires that an insured state nonmember bank certify certain facts and file a notice with the FDIC before the insured state nonmember bank may control or hold an interest in a financial subsidiary under section 46(a) of the Federal Deposit Insurance Act. This subpart also implements the statutory Community Reinvestment Act (CRA) (12 U.S.C. 2901 et seq.) requirement set forth in subsection (4)(l)(2) of the Bank Holding Company Act (12 U.S.C. 1843(l)(2) ), which is applicable to state nonmember banks that commence new activities through a financial subsidiary or directly or indirectly acquire control of a company engaged in an activity under section 46(a).

(b) This subpart does not cover activities conducted other than “as principal”. For purposes of this subpart, activities conducted other than “as principal” are defined as activities conducted as agent for a customer, conducted in a brokerage, custodial, advisory, or administrative capacity, or conducted as trustee, or in any substantially similar capacity. For example, this subpart does not cover acting solely as agent for the sale of insurance, securities, real estate, or travel services; nor does it cover acting as trustee, providing personal financial planning advice, or safekeeping services.

Title 12 published on 2012-01-01

The following are only the Rules published in the Federal Register after the published date of Title 12.

For a complete list of all Rules, Proposed Rules, and Notices view the Rulemaking tab.

2012-07-24; vol. 77 # 142 - Tuesday, July 24, 2012

77 FR 43151 - Permissible Investments for Federal and State Savings Associations: Corporate Debt Securities

GPO FDSys XML | Text

Additional Documents

type	regulations.gov
FR Doc.	2012-17860
RIN	3064-AD88

FEDERAL DEPOSIT INSURANCE CORPORATION

Final rule.

Effective Date: The final rule is effective on July 21, 2012.

12 CFR Part 362

Summary

This final rule amends FDIC regulations to prohibit any insured savings association from acquiring or retaining a corporate debt security unless it determines, prior to acquiring such security and periodically thereafter, that the issuer has adequate capacity to meet all financial commitments under the security for the projected life of the investment. An issuer would satisfy this requirement if, based on the assessment of the savings association, the issuer presents a low risk of default and is likely to make full and timely repayment of principal and interest. This final rule adopts the proposed creditworthiness standard with the clarifying revision described below. In the final rule, the phrase “projected life of the investment” has been revised to “projected life of the security” to more closely track the language in the Office of the Comptroller of the Currency's (“OCC”) final rule. 1 The clarifying revision addresses ambiguities in the proposed rule and harmonizes the final rule with the final rule adopted by the OCC regarding permissible investments for national banks. 2 1 77 FR 35253. (June 13, 2012). 2 Id. at 35257.

77 FR 43155 - Guidance on Due Diligence Requirements for Savings Associations in Determining Whether a Corporate Debt Security Is Eligible for Investment

GPO FDSys XML | Text

Additional Documents

type	regulations.gov
FR Doc.	2012-17854
RIN

FEDERAL DEPOSIT INSURANCE CORPORATION

Final guidance.

Effective Date: This guidance is effective July 21, 2012.

12 CFR Part 362

Summary

On December 15, 2011, the FDIC proposed guidance to assist savings associations in conducting due diligence to determine whether a corporate debt security is eligible for investment under the Proposed Rule. Today, the FDIC is finalizing the guidance. The final guidance document includes clarifying language adopted in the final rule, but otherwise, is being finalized as proposed.

This is a list of United States Code sections, Statutes at Large, Public Laws, and Presidential Documents, which provide rulemaking authority for this CFR Part.

This list is taken from the Parallel Table of Authorities and Rules provided by GPO [Government Printing Office].

It is not guaranteed to be accurate or up-to-date, though we do refresh the database weekly. More limitations on accuracy are described at the GPO site.

United States Code

USC : Title 12 - BANKS AND BANKING

§ 1816 - Factors to be considered

§ 1828a - Prudential safeguards

§ 1831a - Activities of insured State banks

§ 1831e - Activities of savings associations

§ 1831w - Safety and soundness firewalls applicable to financial subsidiaries of banks

§ 1843 - Interests in nonbanking organizations

Title 12 published on 2012-01-01

The following are ALL rules, proposed rules, and notices (chronologically) published in the Federal Register relating to 12 CFR 362 after this date.

2012-08-30; vol. 77 # 169 - Thursday, August 30, 2012

77 FR 52792 - Regulatory Capital Rules: Regulatory Capital, Implementation of Basel III, Minimum Regulatory Capital Ratios, Capital Adequacy, Transition Provisions, and Prompt Corrective Action

GPO FDSys XML | Text

Additional Documents

type	regulations.gov
FR Doc.	2012-16757
RIN	1557-AD46
Docket No.	ID OCC-2012-0008
Docket No.	R-1442

DEPARTMENT OF THE TREASURY, FEDERAL RESERVE SYSTEM, FEDERAL DEPOSIT INSURANCE CORPORATION, Office of the Comptroller of the Currency

Joint notice of proposed rulemaking.

Comments must be submitted on or before October 22, 2012.

12 CFR Parts 3, 5, 6, 165, and 167

Summary

The Office of the Comptroller of the Currency (OCC), Board of Governors of the Federal Reserve System (Board), and the Federal Deposit Insurance Corporation (FDIC) (collectively, the agencies) are seeking comment on three Notices of Proposed Rulemaking (NPR) that would revise and replace the agencies' current capital rules. In this NPR, the agencies are proposing to revise their risk-based and leverage capital requirements consistent with agreements reached by the Basel Committee on Banking Supervision (BCBS) in “Basel III: A Global Regulatory Framework for More Resilient Banks and Banking Systems” (Basel III). The proposed revisions would include implementation of a new common equity tier 1 minimum capital requirement, a higher minimum tier 1 capital requirement, and, for banking organizations subject to the advanced approaches capital rules, a supplementary leverage ratio that incorporates a broader set of exposures in the denominator measure. Additionally, consistent with Basel III, the agencies are proposing to apply limits on a banking organization's capital distributions and certain discretionary bonus payments if the banking organization does not hold a specified amount of common equity tier 1 capital in addition to the amount necessary to meet its minimum risk-based capital requirements. This NPR also would establish more conservative standards for including an instrument in regulatory capital. As discussed in the proposal, the revisions set forth in this NPR are consistent with section 171 of the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act), which requires the agencies to establish minimum risk-based and leverage capital requirements. In connection with the proposed changes to the agencies' capital rules in this NPR, the agencies are also seeking comment on the two related NPRs published elsewhere in today's Federal Register . The two related NPRs are discussed further in the SUPPLEMENTARY INFORMATION .

2012-07-24; vol. 77 # 142 - Tuesday, July 24, 2012

77 FR 43151 - Permissible Investments for Federal and State Savings Associations: Corporate Debt Securities

GPO FDSys XML | Text

Additional Documents

type	regulations.gov
FR Doc.	2012-17860
RIN	3064-AD88

FEDERAL DEPOSIT INSURANCE CORPORATION

Final rule.

Effective Date: The final rule is effective on July 21, 2012.

12 CFR Part 362

Summary

This final rule amends FDIC regulations to prohibit any insured savings association from acquiring or retaining a corporate debt security unless it determines, prior to acquiring such security and periodically thereafter, that the issuer has adequate capacity to meet all financial commitments under the security for the projected life of the investment. An issuer would satisfy this requirement if, based on the assessment of the savings association, the issuer presents a low risk of default and is likely to make full and timely repayment of principal and interest. This final rule adopts the proposed creditworthiness standard with the clarifying revision described below. In the final rule, the phrase “projected life of the investment” has been revised to “projected life of the security” to more closely track the language in the Office of the Comptroller of the Currency's (“OCC”) final rule. 1 The clarifying revision addresses ambiguities in the proposed rule and harmonizes the final rule with the final rule adopted by the OCC regarding permissible investments for national banks. 2 1 77 FR 35253. (June 13, 2012). 2 Id. at 35257.

77 FR 43155 - Guidance on Due Diligence Requirements for Savings Associations in Determining Whether a Corporate Debt Security Is Eligible for Investment

GPO FDSys XML | Text

Additional Documents

type	regulations.gov
FR Doc.	2012-17854
RIN

FEDERAL DEPOSIT INSURANCE CORPORATION

Final guidance.

Effective Date: This guidance is effective July 21, 2012.

12 CFR Part 362

Summary

On December 15, 2011, the FDIC proposed guidance to assist savings associations in conducting due diligence to determine whether a corporate debt security is eligible for investment under the Proposed Rule. Today, the FDIC is finalizing the guidance. The final guidance document includes clarifying language adopted in the final rule, but otherwise, is being finalized as proposed.

12 CFR 362.16 - Purpose and scope.

CFR Toolbox

Law about... Articles from Wex

Find a Lawyer

Get Involved