Chapter 412 — Chapter 412

§412:5A-206 Acceptance of deposits and reserves. An international banking corporation may only accept deposits subject to the provisions of this article. Whenever an international banking corporation receives deposits in the United States, as may be authorized by this section, it…

§412:5A-207 Deposit of corporate funds. No international banking corporation shall deposit its funds with another financial institution except in a federal reserve bank, unless the other financial institution has been designated a depository by the board of directors of the inter…

§412:5A-208 Limitation on investments. An international banking corporation may not invest its funds in the United States, except to the extent permitted by this part. [L 1993, c 350, pt of §1]

§412:5A-211 Prohibited corporate activities. No international banking corporation shall directly or indirectly: Any violation of this section shall subject the international banking corporation to the revocation of its approval, and to such penalties and administrative fines pres…

§412:5A-212 Improper discounting of loans. No officer, director, agent or employee of an international banking corporation shall directly or indirectly, as an individual, purchase any loan or other obligation at a discount, or make any loan using a receivable as collateral, when …

§412:5A-214 Misrepresentation of state liability for bonds. Any person connected in any capacity with an international banking corporation who represents in any way that the State is liable for the payment of any bond or other obligation, or the interest thereon, issued or incurr…

PART III. FOREIGN BANK OFFICES AND AGENCIES--REPEALED §§412:5A-300 to 412:5A-316 REPEALED. L 1996, c 155, §6.

ARTICLE 6. SAVINGS BANKS PART I. GENERAL PROVISIONS §412:6-100 Definition. In this article, "savings bank" means a corporation which has the authority to operate as a savings bank under this chapter. [L 1993, c 350, pt of §1]

§412:6-101 Necessity for savings bank charter. Except as expressly permitted by federal law or this chapter, no person shall engage in any activity for which a charter to operate as a savings bank is required by this chapter, including without limitation the solicitation, accepta…

PART II. POWERS OF SAVINGS BANKS §412:6-200 General powers. (a) Except as expressly prohibited or limited by this chapter, a savings bank shall have the power to solicit, accept and hold deposits, engage in other activities which are usual or incidental to the business of a savin…

§412:6-203 Service corporations. (a) "Service corporation" means a corporation whose stock is owned entirely by one or more state or federally chartered savings banks or savings and loan associations. (b) Subject to the approval of the commissioner, a savings bank may form and ow…

§412:6-204 Operating subsidiaries. (a) "Operating subsidiary" means a corporation other than a corporation referred to in section 412:6-306(g)(2) to (7) of which more than fifty per cent of the voting securities is held by a savings bank. (b) An operating subsidiary may engage in…

PART III. LOANS AND INVESTMENTS §412:6-300 Applicability of part. This part sets forth the requirements and restrictions for lending and investments by all savings banks. A savings bank may make loans and extensions of credit and may invest its assets as may be permitted by this …

§412:6-304 Loans and extensions of credit to executive officers, directors, principal shareholders and affiliates. No savings bank shall make any loan or extension of credit in violation of section 18(j) of the Federal Deposit Insurance Act, 12 U.S.C. §1828(j). [L 1993, c 350, pt…

§412:6-307 Deposits made by savings banks. A savings bank may deposit any of its funds with (1) a federal reserve bank or a federal home loan bank in any amount, or (2) another depository institution, provided that the net deposits in any one depository institution does not excee…

ARTICLE 7. SAVINGS AND LOAN ASSOCIATIONS PART I. GENERAL PROVISIONS §412:7-100 Definition. In this article, "savings and loan association" means a corporation that has the authority to operate as a savings and loan association under this chapter. [L 1993, c 350, pt of §1; am L 20…

§412:7-101 Necessity for savings and loan association charter. Except as expressly permitted by federal law or this chapter, no person shall engage in any activity for which a charter to operate as a savings and loan association is required by this chapter, including without limi…

PART II. POWERS OF SAVINGS AND LOAN ASSOCIATIONS §412:7-200 General powers. (a) Except as expressly prohibited or limited by this chapter, a savings and loan association shall have the power to solicit, accept and hold deposits, engage in other activities which are usual or incid…

§412:7-203 Service corporations. (a) "Service corporation" means a corporation whose stock is owned entirely by one or more state or federally chartered savings and loan associations or savings banks. (b) Subject to the approval of the commissioner, a savings and loan association…

§412:7-204 Operating subsidiaries. (a) "Operating subsidiary" means a corporation other than a corporation referred to in section 412:7-306(g)(2) to (7) of which more than fifty per cent of the voting securities is held by a savings and loan association. (b) An operating subsidia…

PART III. LOANS AND INVESTMENTS §412:7-300 Applicability of part. This part sets forth the requirements and restrictions for lending and investments by all savings and loan associations. A savings and loan association may make loans and extensions of credit and may invest its ass…

§412:7-302 Requirements and limits for certain loans. (a) Not less than sixty per cent of the amount of loans and extensions of credit made by a savings and loan association shall be in loans and extensions of credit secured by real estate. (b) The aggregate amount loaned by any …

PART IV. MANAGEMENT OF MUTUAL SAVINGS AND LOAN ASSOCIATIONS--REPEALED §§412:7-400 to 412:7-408 REPEALED. L 2006, c 228, §50.

ARTICLE 8. TRUST COMPANIES PART I. GENERAL PROVISIONS §412:8-100 Applicability of article. This article shall apply to all financial institutions chartered under this article as trust companies or otherwise authorized to engage in the trust business under this chapter, whether th…

§412:8-101 Definitions. In this article: "Client" means a customer of a trust company, including without limitation a settlor or beneficiary with a vested interest, the grantor of a power, or the principal in an agency relationship. When context permits, both the settlor and the …

§412:8-103 Authority to serve as trustee. Unless chartered as a trust company under this chapter or otherwise specifically authorized by the laws of this State, no person shall hold itself out to the general public as being available to serve as a trustee or trust company, whethe…

PART II. POWERS OF TRUST COMPANIES §412:8-200 General powers. (a) Except as expressly prohibited or limited by this chapter, a trust company shall have the fiduciary powers specified in section 412:8-201, such powers as are granted to trustees generally by law, such other powers …

§412:8-201 Fiduciary powers. Every trust company shall have the power and authority to serve as a trustee, personal representative, conservator, assignee for the benefit of others, or receiver, subject to the duties imposed by the instrument or by law. As used herein, the term "i…

§412:8-202 Acting as agent. (a) A trust company may act as an agent on behalf of a principal in the transaction of any business or in the management of any property, real, personal or mixed, with such powers as the trust company may exercise under sections 412:8-200, 412:8-201, a…

PART III. INVESTMENT OF TRUST COMPANY ASSETS §412:8-300 Applicability of part. This part sets forth the requirements and restrictions for investments made by all trust companies. No trust company shall invest its assets except as may be permitted by this part and as may be provid…

§412:8-302 Deposits made by trust companies. A trust company may deposit any of its funds with a depository institution. [L 1993, c 350, pt of §1]

PART IV. INVESTMENT OF FIDUCIARY ASSETS §412:8-400 General requirements. Within the limits of the standard of a prudent investor, a trust company as fiduciary, custodian, agent, personal representative, or otherwise may acquire and retain every kind of property, real, personal, o…

§412:8-402 Common trust fund investments. (a) As used in this chapter the term "common trust funds" shall have the same meaning as under section 584 of the Internal Revenue Code of 1986, as the same may be hereafter amended, and shall also include any other type of collective inv…

§412:8-403 Disclosure of fees. All fees and commissions charged by a trust company to its clients or the manner by which fees and commissions shall be determined shall be disclosed in writing prior to rendering the services for which the fees or commissions are charged. [L 1993, …

ARTICLE 9. FINANCIAL SERVICES LOAN COMPANIES PART I. GENERAL PROVISIONS §412:9-100 Definitions. In this article: "Consumer loan" means a loan made to a natural person primarily for personal, family, or household purposes: "Depository financial services loan company" means a finan…

§412:9-101 Necessity for financial services loan company license. Except as expressly permitted by federal law or this chapter, no person shall engage in any activity for which a license to operate as a financial services loan company is required by this chapter, including withou…

§412:9-102 REPEALED. L 2013, c 172, §§25, 28.

PART II. POWERS OF FINANCIAL SERVICES LOAN COMPANIES §412:9-200 General powers. Except as expressly prohibited or limited by this chapter, a financial services loan company shall have the power to make loans where the interest charged, contracted for, or received is in excess of …

§412:9-201 Powers that require regulatory approval. (a) A financial services loan company may sell or refer the following products and services and collect premiums or fees for the sale or referral thereof only after obtaining the approval of the commissioner: (b) In approving an…

§412:9-202 Prohibitions. Except as otherwise expressly authorized by this chapter, a financial services loan company shall not:

PART III. LOANS AND EXTENSIONS OF CREDIT §412:9-300 General requirements for loans and extensions of credit. A financial services loan company shall make loans and extensions of credit that are consistent with prudent lending practices, and in compliance with all applicable feder…

§412:9-301 Interest computation methods. A financial services loan company may charge, contract for, and receive interest on loans on a precomputed basis or a simple interest basis.

§412:9-303 Effect of excessive interest. If a greater rate of interest than that permitted under this article is contracted for in any loan under this article, the loan shall not, by reason thereof, be void. But, if in any action on the loan, proof is made that a greater rate of …

§412:9-304 Consumer loan charges. Unless specifically authorized in this article or by rule adopted by the commissioner, a financial services loan company shall only have the right to charge, contract for, and receive in advance or otherwise, the following charges in addition to …

§412:9-305 Open-end consumer loans. (a) Open-end consumer loans made under the authority of this article shall be subject to the following special restrictions: (b) A financial services loan company may impose charges on an open-end consumer loan for:

§412:9-306 Refunds on prepayment of a precomputed loan. (a) A borrower shall be entitled to a refund of the unearned interest that has been paid in advance when a precomputed loan is paid in full or refinanced prior to maturity, or on which judgment has been obtained: (b) No refu…

§412:9-307 Fraction of a month. In computing interest, late charges, or refunds for precomputed loans under sections 412:9-302, 412:9-304 and 412:9-306 any fraction of a month may be considered as a whole month. [L 1993, c 350, pt of §1]

§412:9-308 Repayment terms. Nothing in this article shall prohibit loans with a demand feature, including but not limited to a single payment demand loan. [L 1993, c 350, pt of §1]

§412:9-309 Assignments, sale or pledge of loans. Any loan made under this article may be assigned, sold, or pledged in whole or in part to any person. That person may charge, contract for, and receive interest on, and enforce the terms of, the loan to the same extent permitted ex…

PART IV. DEPOSITORY FINANCIAL SERVICES LOAN COMPANIES §412:9-400 Special powers of a depository financial services loan company. In addition to the powers granted in parts II and III of this article, depository financial services loan companies, but not nondepository financial se…