Wis. Admin. Code Department of Financial Institutions § DFI-Bkg 4.02 - Financial activity

Current through March 28, 2022

For the purposes of this chapter, the following activities shall be considered to be financial in nature:

(1) Lending, exchanging, transferring, investing for others, or safeguarding money or securities.
(2) Engaging as agent or broker in any state for purposes of insuring, guaranteeing, or indemnifying against loss, harm, damage, illness, disability, death, or defects in title, or providing annuities as agent or broker.
(3) Issuing or selling instruments representing interests in pools of assets permissible for a bank to hold directly.
(4) Underwriting, dealing in, or making a market in securities.
(5) Extending credit and servicing loans, including making, acquiring, brokering, or servicing loans or other extensions of credit (such as factoring, issuing letters of credit, and accepting drafts) for the financial subsidiary's account or for the account of others.
(6) Engaging in any of the following activities related to extending credit:
(a) Appraising real estate and personal property.
(b) Arranging commercial and real estate equity financing.
(c) Providing check guaranty services.
(d) Providing collection agency services.
(e) Providing credit bureau services.
(f) Engaging in asset management, servicing, and collection activities.
(g) Acquiring a debt in default.
(h) Servicing real estate settlements.
(7) Operating nonbank depository institutions, including owning, controlling, or operating an industrial bank or a savings association.
(8) Engaging in trust company functions, including activities of a fiduciary, agency, or custodial nature.
(9) Providing financial and investment advisory services, including any of the following:
(a) Serving as investment adviser to a company registered under 15 USC 80a-1 et seq.
(b) Furnishing general economic information and advice.
(c) Providing advice in connection with mergers, acquisitions, and other similar transactions, and conducting financial feasibility studies.
(d) Providing information, statistical forecasting, and advice concerning any transaction in foreign exchange or derivatives.
(e) Providing educational courses to consumers on individual financial management matters.
(f) Providing tax planning and tax preparation services to any person.
(10) Providing agency transactional services for customer investment, including any of the following:
(a) Providing securities brokerage services.
(b) Acting as riskless-principal in secondary market transactions.
(c) Acting as agent for private placement of securities.
(d) Acting as a futures commission merchant.
(11) Engaging in investment transactions as principal, including any of the following:
(a) Underwriting and dealing in bank-eligible securities.
(b) Engaging as principal in foreign exchange and derivative instruments.
(c) Buying and selling bullion.
(12) Providing management consulting and counseling on any matter to unaffiliated depository institutions and on financial matters to any other company, and providing employee benefits counseling and career counseling services for employees in the financial industry.
(13) Providing support services, including any of the following:
(a) Providing courier services between financial institutions.
(b) Printing and selling magnetic ink character recognition-encoded items.
(c) In connection with offering banking services, providing notary public services, selling postage stamps and postage-paid envelopes, providing vehicle registration services, and selling public transportation tickets and tokens.
(14) Engaging in community development activities.
(15) Issuing money orders, savings bonds, and traveler's checks.
(16) Providing administrative and other services to mutual funds.
(17) Owning shares of a securities exchange.
(18) Acting as a certification authority for digital signatures.
(19) Providing employment histories to third parties for use in making credit decisions and to depository institutions and their affiliates for use in the ordinary course of business.
(20) Providing check cashing and wire transmission services.
(21) Engaging in real estate title abstracting.
(22) Operating a travel agency.
(23) Organizing, sponsoring, and managing a mutual fund.
(24) Providing insurance, providing and issuing annuities, and acting as principal, agent, or broker for purposes of providing insurance or annuities.
(25) Engaging in merchant banking activities.
(26) Engaging through an insurance company affiliate in insurance company investment activities.
(27) Providing services to or for the bank or its affiliates, including accounting, auditing appraising, advertising and public relations, and financial advice and consulting.
(28) Providing data processing, data warehousing and data transmission products, services, and related activities and facilities, including associated equipment and technology, for the bank or its affiliates.
(29) Acting as investment adviser (including an adviser with investment discretion) or financial adviser or counselor to governmental entities or instrumentalities, businesses, or individuals, including advising registered investment companies and mortgage or real estate investment trusts, furnishing economic forecasts or other economic information, providing investment advice related to futures and options on futures, and providing consumer financial counseling.
(30) Providing financial and transactional advice and assistance, including advice and assistance for customers in structuring, arranging, and executing mergers and acquisitions, divestitures, joint ventures, leveraged buyouts, swaps, foreign exchange, derivative transactions, coin and bullion, and capital restructurings.
(31) Underwriting credit related insurance to the extent permitted under 15 USC 6712.
(32) Leasing of real or personal property, and acting as an agent or adviser in leases for others.
(33) Providing securities brokerage or acting as a futures commission merchant, and providing related credit and other related services.
(34) Reinsuring mortgage insurance on loans originated, purchased, or serviced by the bank, its subsidiaries, or its affiliates, provided that if the subsidiary enters into a quota share agreement, the subsidiary assumes less than 50% of the aggregate insured risk covered by the quota share agreement. A "quota share agreement" is an agreement under which the reinsurer is liable to the primary insurance underwriter for an agreed upon percentage of every claim arising out of the covered book of business ceded by the primary insurance underwriter to the reinsurer.
(35) Acting as a finder pursuant to 12 CFR 7.1002.
(36) Offering debt cancellation or debt suspension agreements.
(37) Acting as a transfer or fiscal agent.
(38) Providing or selling public transportation tickets, event and attraction tickets, gift certificates, prepaid phone cards, promotional and advertising material, postage stamps, and Electronic Benefits Transfer (EBT) script, and similar media, to the extent permitted by published Office of the Comptroller of the Currency precedent, subject to the terms and conditions contained in that precedent.


Wis. Admin. Code Department of Financial Institutions § DFI-Bkg 4.02
CR Register, October, 2000, No. 538, eff. 11-1-00.

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