Georgia Administrative Code

(1) A bank or bank holding company chartered by the Department or a subsidiary of such bank or bank holding company may establish and maintain representative offices upon registering such locations with the Department. (2) A representative office shall be staffed and accessible t…

(1) A state bank may contract with another financial institution or a third party service provider to provide certain services in a principal-agent relationship, provided both parties comply with the applicable rules and regulations of the Department. (2) Agency relationships sha…

(1) Each third party service provider that enters into a bank service contract with a state-chartered bank shall be subject to examination and regulation by the department as if the entity were a state financial institution, as authorized by O.C.G.A. § 7-1-72. (2) In the event th…

(1) If a state-chartered bank is required to disclose a bank service contract to the Federal Deposit Insurance Corporation or the Board of Governors of the Federal Reserve System, a duplicate of such disclosure will simultaneously be submitted to the Department. (2) A state-chart…

(1) State chartered banks may offer Debt Cancellation Contracts and Debt Suspension Agreements to customers, subject to this rule and policies and procedures of the Department. Policies of the Department include requirements for disclosures and certain prohibited practices. Banks…

(1) Each bank must maintain for each business day a Daily Statement properly supported by a General Ledger showing daily activity to each asset, liability, and capital account. A "business day" shall be any day during which the main office of the bank shall be open for the purpos…

Retention of records by state chartered banks shall be in accordance with the provisions of Regulation 80-10-1.

Pursuant to 15 USC § 6801 et seq., 12 CFR Part 364, and 12 CFR Part 208, banks are required to develop and implement a response program that will be utilized in the event unauthorized access to customer information has taken place. Customer information is any record containing no…

Pursuant to 12 C.F.R. Part 304 and 12 CFR Part 225 banks and bank holding companies are required to notify the appropriate federal regulator no later than 36 hours after the financial institution determinates that a computer security incident, which rises to the level of a notifi…

(1) The Board of Directors of each bank shall review the fidelity insurance coverage annually in order to ascertain its adequacy in relation to the exposure to theft, defalcation, or other similar actions by officers, directors, and employees and to any minimum requirements that …

Subject to such further restrictions and approvals as its board of directors may set forth in its investment policy, a bank may purchase, sell, and hold securities, as set forth in the following: (1) Debt Obligations. (a) Obligations of the United States Government or Agencies of…

(1) A bank with statutory capital base of less than $20,000,000: (a) Shall not underwrite or otherwise participate as principal in the marketing of securities except to the extent authorized by law or regulation and except for the account of and upon specific instructions from it…

(1) Investment securities transactions shall be accounted for in accordance with generally accepted accounting principles. (2) Banks shall maintain documentation sufficient to identify adequately the nature of all securities owned. For all securities other than direct investment …

(1) Securities may be held in physical or book entry form. (2) Physical possession of securities shall be maintained: (a) In the vault of the investing bank; (b) In safekeeping at any: 1. FDIC-insured, correspondent bank or trust company; 2. Federal Reserve Bank or Federal Home L…

(1) "Indirect" loans as used in Code Section 7-1-285 shall mean loans made for the substantial benefit of a third party where repayment of the loan is dependent on activities of the third party rather than solely dependent on the resources of the borrower and subject to the provi…

(1) A real estate loan (including a leasehold) within the meaning of Part 365 of the Federal Deposit Insurance Corporation's rules and regulations, including 12 CFR 365.1 and 365.2 and the Interagency Guidelines for Real Estate Lending Policies in Appendix A, and 12 C.F.R. 208.51…

(1) In order that commodity loans and advances may be exempt from the twenty-five (25) percent legal loan limitation of the lending bank, strict compliance with the following requirements must be met. (a) The commodity must have a market value with ready sale in the open market. …

(1) That portion of a loan which is sold by the originating bank to another bank must conform to all laws and regulations applicable to that category of loan to the same extent as if the purchasing bank had itself originated the loan; i.e., collateral documentation, maturity, loa…

(1) Purchases of dealer paper, with or without recourse, may generally be made without limitation; however, where the aggregate amount of such paper outstanding exceeds twenty-five (25) percent of the bank's statutory capital base and the paper has been taken with recourse or pur…

No bank may lend upon the capital securities of any corporation which is registered as a bank holding company for such lender bank, unless such securities have an established market for resale and market prices for such securities are regularly quoted by an established exchange o…

(1) The definition and commentary contained in Federal Reserve Regulation "O" shall be applied to effect the intent of Code Section 7-1-491. (2) The Department may use its discretion in applying the non-preferential loan prohibition, and in particular may find a violation where i…

(1) A bank which does not issue its own credit card but acts as an agent for a correspondent bank may guarantee obligations of established customers in the form of revolving lender credit card accounts at another bank provided the guaranteeing bank establishes a maximum limit for…

(1) A bank may become the owner and lessor of real property under certain circumstances described in O.C.G.A. § 7-1-282. (2) A bank that desires to lease real property under the conditions in O.C.G.A. § 7-1-282 must make a letter application to the Department to conduct the activ…

(a) General Rule. Pursuant to Code Section 7-1-285, loans or extensions of credit to one person will be attributed to another person and each person will be deemed a borrower: (1) When proceeds of a loan or extension of credit are to be used for the direct benefit of the other pe…

(1) Prior to June 1, 2017, the definition of statutory capital base meant the "sum of the capital stock, paid-in capital, appropriated retained earnings, and capital debt of a bank or trust company less any amount of good will, core deposit intangibles, or other intangible assets…

Every bank shall within ten (10) days after knowledge thereof report: (a) The election of any new chief executive officer or president; (b) The resignation or removal of the chief executive officer, president, or any director, giving the reason for such action; and (c) The transf…

(1) On or before the date of the annual stockholders' meeting of any bank, the shareholders of the bank, regardless of class or voting rights, shall each be provided with the following schedules for the last fiscal year on a comparative basis with the preceding fiscal year: (a) S…

Each director of a bank or trust company shall maintain on file with the chief executive officer of the bank or trust company for which he/she serves as a director a financial statement on forms prescribed by the Department. Such financial statement shall be revised annually, but…

(1) Legal Reserve: (a) Lawful money of the United States in the office and vaults of the financial institution. (b) Moneys on deposit subject to immediate call with other federally insured financial institutions such as approved by the Department of Banking and Finance pursuant t…

Where reserves are required pursuant to Rule , each financial institution shall maintain, for a period of not less than two calendar years, a record of its biweekly calculations of reserve requirements and reserves maintained. Such record shall be subject to review during examina…

(1) Every financial institution shall maintain a minimum of the legal reserves required to be maintained pursuant to the federal "Monetary Control Act of 1980" and other applicable federal requirements. The reserve requirement is the minimum acceptable for a financial institution…

(1) Dormant accounts are hereby defined as follows: (a) Demand Deposit Accounts are deemed to be dormant when the depositor, which for the purposes of this rule shall include a member in the case of credit unions and a shareholder in the case of savings and loan associations, has…