Title XIII, COMMERCE (Ch. 505 - 554I)

1. An officer or employee may be removed by the board of directors whenever in its judgment the best interests of the state bank shall be served by such removal, but the removal shall be without prejudice to the contract rights, if any, of the officer or employee so removed. Elec…

A state bank shall promptly notify the superintendent of any change in the individuals holding the offices of chief executive officer or president. [C97, §1889; S13, §1889; C24, 27, 31, 35, 39, § 9255, 9257; C46, 50, 54, 58, 62, 66, §528.47, 528.49; C71, 73, 75, 77, 79, 81, §524.…

The officers and employees of a state bank shall make all records of the state bank available to the superintendent for the purpose of examination or for any other reasonable purpose. [C24, 27, 31, 35, 39, § 9147; C46, 50, 54, 58, 62, 66, §524.20; C71, 73, 75, 77, 79, 81, §524.70…

An officer or employee of a state bank shall not do any of the following: 1. Receive anything of value, other than compensation as authorized by section 524.703 , for procuring, or attempting to procure, any loan or extension of credit, as defined in section 524.904 , for the sta…

1. A state bank, unless otherwise stated in its articles of incorporation, shall have power: a. To sue and be sued, complain and defend, in its corporate or organizational name. b. To have a corporate seal which may be altered at pleasure, and to use the same by causing it, or a …

A state bank shall have in addition to other powers granted by this chapter , and subject to the limitations and restrictions contained in this chapter , the power to do all of the following: 1. Become an insured bank pursuant to the Federal Deposit Insurance Act and to take acti…

1. A state bank may conduct in electronic form any activities that are expressly authorized for state banks under any provision of this chapter , including in sections 524.801 , 524.802 , and 524.804 , and activities that are the functional equivalent of any activities expressly …

1. A state bank shall have power to do all of the following: a. Acquire and hold, or lease as lessee, such personal property as is used, or is to be used, in its operations. b. Subject to the prior approval of the superintendent, acquire and hold, or lease as lessee, only such re…

A state bank which owns or leases equipment to perform such bank services as check and deposit sorting and posting, computation and posting of interest and other credits and charges, preparation and mailing of checks, statements, notices, and similar items, or other clerical, boo…

1. A state bank may receive money for deposit and may provide, by resolution of the board of directors, for the payment of interest on such deposit and shall repay the deposit in accordance with the terms and conditions of its acceptance. 2. The terms and conditions attending an …

When a deposit is made in any state bank in the names of two or more individuals, payable to any one or more of them, or payable to the survivor or survivors, the deposit, including interest, or any part thereof, may be paid to any one or more of the individuals whether the other…

When any deposit shall be made by any individual in trust for another, and no other or further notice of the existence and terms of a legal and valid trust shall have been given to the state bank, in the event of the death of the trustee, the same or any part thereof, together wi…

1. A state bank shall not be required, in the absence of a court order or indemnity required by this section , to recognize any claim to, or any claim of authority to exercise control over, a deposit account made by a person or persons other than: a. The customer in whose name th…

1. A state bank may lease safe deposit boxes for the storage of property on terms and conditions prescribed by the state bank. The terms and conditions shall not bind a customer or the customer’s successors or legal representatives to whom the state bank does not give notice of s…

1. A bank shall permit a person named in and authorized by a court order to open, examine, and remove the contents of a safe deposit box located at the bank. If a court order has not been delivered to the bank, the following persons may access and remove any or all contents of a …

1. A state bank shall not be required, in the absence of a court order or indemnity required by this section , to recognize any claim to, or claim of authority to exercise control over, property held in safe deposit or property held for safekeeping pursuant to section 524.813 mad…

1. A state bank shall have a lien upon the contents of a safe deposit box for past due rentals and any expense incurred in opening the safe deposit box, replacement of the locks thereon, and of any sale made pursuant to this section . If the rental of any safe deposit box is not …

1. A state bank may accept property for safekeeping if, except in the case of night depositories, it issues a receipt therefor. A state bank accepting property for safekeeping shall purchase and maintain reasonable insurance coverage to insure against loss incurred in connection …

Pursuant to a resolution of its board of directors, a state bank may lend or pledge its assets for the following purposes, and for no other purposes: 1. To secure deposits of the state bank or a bank that is an affiliate of the state bank when a customer is required to obtain suc…

A state bank may deposit its funds in a depository which is selected by, or in a manner authorized by, the directors of a state bank and which is authorized by law to receive deposits and is subject to supervision by banking authorities of the United States or of any state, and, …

A state bank organized under this chapter shall be an insured bank and shall acquire and maintain insurance from the federal deposit insurance corporation, or its successor, to protect each depositor against loss of funds held on account by the state bank to the extent the federa…

A state bank may borrow money or otherwise contract indebtedness for necessary expenses in managing and transacting its business, to maintain proper cash reserves, and for other corporate purposes, provided, however, the superintendent may prohibit or place restrictions upon mone…

Checks drawn on a state bank shall be cleared at par by the state bank on which they are drawn. This section shall not be applicable where checks are received by a state bank as special collection items. [C46, 50, 54, 58, 62, 66, §528.63; C71, 73, 75, 77, 79, 81, §524.819 ] 2022 …

1. A state bank shall have power to receive money for transmission. Upon receiving money for transmission, a state bank shall give the customer a receipt setting forth the date of receipt of the money, the amount of the money in dollars and cents, and if the money is to be transm…

1. A state bank may engage in any transaction incidental to the conduct of the business of banking and otherwise permitted by applicable law, by means of either the direct transmission of electronic impulses to or from customers and banks or the recording of electronic impulses o…

1. Subject to the prior approval of the superintendent and as authorized by rules adopted by the superintendent pursuant to chapter 17A , a state bank or a subsidiary of a state bank organized or acquired pursuant to section 524.802, subsection 12 , may engage in directly, or may…

1. For purposes of this section , unless the context otherwise requires: a. “Investment securities” means marketable obligations in the form of bonds, notes, or debentures which have been publicly offered, are of sound value, or are secured so as to be readily marketable at a fai…

1. A state bank may, subject to any applicable restrictions under other provisions of this chapter , loan money, extend credit and discount or purchase evidences of indebtedness and agreements for the payment of money. 2. Nothing in this chapter is deemed to permit a state bank t…

1. A state bank shall have power to accept drafts drawn upon it having not more than six months after sight to run, exclusive of days of grace: a. Which grow out of transactions involving the importation or exportation of goods. b. Which grow out of transactions involving the dom…

1. For purposes of this section , “loans and extensions of credit” means a state bank’s direct or indirect advance of funds to a borrower based on an obligation of that borrower to repay the funds or repayable from specific property pledged by the borrower and shall include: a. A…

1. Rules for loans. A state bank may make permanent loans, construction loans, or combined construction and permanent loans, secured by liens on real property, as authorized by rules adopted by the superintendent under chapter 17A . The rules shall include provisions as necessary…

A state bank may purchase and may sell, subject to the provisions of sections 524.901 , 524.904 , and 524.905 , and to such regulations as the superintendent may prescribe, participations in one or more evidences of indebtedness and agreements for the payment of money, and pools …

A state bank may make leases as authorized by rules adopted by the superintendent under chapter 17A . [C71, 73, 75, 77, 79, 81, §524.908 ] 95 Acts, ch 148, §91

No loan or investment shall be made from the funds of any state bank, directly or indirectly, except by an officer of the state bank who is authorized to do so by the board of directors. [C97, §1869; S13, §1869; C24, 27, §9220; C31, 35, §9220, 9221-c3; C39, § 9220, 9221.3; C46, 5…

A state bank may acquire property of any kind to secure, protect, or satisfy a loan or investment previously made in good faith. Property acquired pursuant to this section shall be held and disposed of subject to the following conditions and limitations: 1. Shares in a corporatio…

A state bank shall have the power to issue, advise, and confirm letters of credit authorizing a beneficiary thereof to draw on or demand payment of the state bank or its correspondent banks. [C71, 73, 75, 77, 79, 81, §524.911 ] 2016 Acts, ch 1011, §101

In any case in which any kind of insurance is required by the state bank as a condition for lending money or in connection with any other transaction, the customer shall be free to obtain such insurance from a source of the customer’s selection. In the case of a sale of shares of…

1. The provisions of the Iowa consumer credit code, chapter 537 , shall apply to consumer loans made by a bank, and provisions of that code shall supersede any conflicting provision of this chapter with respect to consumer loans. 2. This section shall not apply to a consumer loan…

1. As used in this section , unless the context otherwise requires: a. “Consumer report” means the same as defined in the federal Fair Credit Reporting Act , 15 U.S.C. §1681a . b. “Financial institution” means the same as defined in section 527.2 , and includes a mortgage broker …

The general assembly declares as its purpose in adopting this chapter to provide: 1. That electronic funds transfer systems should provide reliable service to the consumer with full protection of privacy of personal financial information. 2. That electronic funds transfer systems…

1. A satellite terminal, data processing center, or central routing unit shall not be operated in any manner to permit any person to obtain information concerning the account of any person with a financial institution, unless such information is essential to complete or prevent t…

The administrator shall have the power to adopt and promulgate rules pursuant to chapter 17A as in the administrator’s opinion will be necessary to properly and effectively carry out and enforce the provisions of this chapter . [C77, 79, 81, §527.11 ] Referred to in §527.2

Whenever the administrator determines, upon notice and hearing pursuant to chapter 17A , that a satellite facility or data processing center or central routing unit is being operated in violation of this chapter , the administrator may revoke the approval to operate that facility…

As used in this chapter , the following definitions shall apply unless the context otherwise requires: 1. “Access device” means a card, code, or other mechanism, or any combination thereof, that may be used by a customer for the purpose of initiating a transaction by means of a s…

1. For purposes of this chapter the superintendent of banking only has the power to issue rules applicable to, to accept and approve or disapprove applications or informational statements from, to conduct hearings and revoke any approvals relating to, and to exercise all other su…

1. A satellite terminal shall not be established within this state except by a financial institution. 2. A financial institution may establish a satellite terminal at any location within this state. This subsection does not amend, modify, or supersede any provision of chapter 524…