South Dakota Administrative Code

20:07:06:02. Remittance. The semiannual fees shall be remitted by electronic transfer after notice from the Division. The Division will provide notice to each state-chartered bank 30 to 75 days after the June 30 and December 31 reports of condition and income dates. Source: SL 19…

Rule 20:07:06:03 Additional examination fee. 20:07:06:03. Additional examination and supervision fees. Any bank engaged in non-traditional banking services, including credit cards, rent-a-bin agreements, payday lending, or loan syndication, shall pay an additional semiannual fee …

Rule 20:07:08:01 Repealed. 20:07:08:01. Definitions.Repealed. Source: 2 SDR 26, effective October 13, 1975; repealed, 8 SDR 31, effective September 30, 1981.

Rule 20:07:08:02 State-chartered banks may act as trustee or custodian pursuant to SDCL 51A-5-2. 20:07:08:02. State-chartered banks may act as trustee or custodian pursuant to SDCL 51A-5-2. A state-chartered bank not presently authorized by its articles of incorporation and the c…

Rule 20:07:08:03 Repealed. 20:07:08:03. Investments solely in savings accounts or time deposits.Repealed. Source: 2 SDR 26, effective October 13, 1975; repealed, 8 SDR 31, effective September 30, 1981.

Rule 20:07:08:04 Repealed. 20:07:08:04. No commingled funds for purposes of investment.Repealed. Source: 2 SDR 26, effective October 13, 1975; repealed, 8 SDR 31, effective September 30, 1981.

Rule 20:07:08:05 Repealed. 20:07:08:05. Deposits of three years or more under $100,000.Repealed. Source: 2 SDR 26, effective October 13, 1975; repealed, 8 SDR 31, effective September 30, 1981.

Rule 20:07:10:01 Certified copies fee. 20:07:10:01. Certified copies fee. The director may furnish certified copies of any record or paper filed in the office of the director for a fee of 50 cents per page, paid in advance. Source: 8 SDR 31, effective September 30, 1981; 12 SDR 1…

Rule 20:07:10:02 Application fees. 20:07:10:02. Application fees. Applicants shall pay the following application fees: (1) With an application to move a main office or branch bank, $1,000; (2) With an application to establish a new bank, $7,500; (3) With an application to establi…

Rule 20:07:10:03 Application form required. 20:07:10:03. Application form required. An application must be filed on the forms prescribed by the director. Except as otherwise provided in this section, the application must be accompanied by a resolution of the bank or trust company…

Rule 20:07:10:04 Repealed. 20:07:10:04. New bank, branch, merger, and detached drive-in fee.Repealed. Source: 8 SDR 31, effective September 30, 1981; 12 SDR 151, 12 SDR 155, effective July 1, 1986; 14 SDR 46, effective September 28, 1987; repealed, 15 SDR 28, effective August 21,…

Rule 20:07:10:05 Conditions of approval. 20:07:10:05. Conditions of approval. The director shall condition the approval of new banks, branch banks, mobile branch banks, bank mergers, detached drive-in facilities, and moving an office on the requirements that prior to the acceptan…

Rule 20:07:10:06 Minimum capital requirement for a new bank. 20:07:10:06. Minimum capital requirement for a new bank. The minimum total capital that will be approved for a newly organized bank is $600,000. The commission may require additional capital if the commission projects t…

Rule 20:07:10:06.01 Exceptions to capital requirements. 20:07:10:06.01. Exceptions to capital requirements. The commission may exempt from capital requirements those newly organized banks created pursuant to an interim merger transaction and those created on an emergency basis. S…

Rule 20:07:10:07 Capital requirements for branch banks. 20:07:10:07. Capital requirements for branch banks. The minimum total capital required for operating branch banks is eight percent of the deposits of the entire bank. The director may not approve an application to establish …

Rule 20:07:12:01 Repealed. 20:07:12:01. Special purpose bank defined.Repealed. Source: 11 SDR 46, effective October 9, 1984; 12 SDR 151, 12 SDR 155, effective July 1, 1986; repealed, 14 SDR 46, effective September 28, 1987.

Rule 20:07:12:02 Repealed. 20:07:12:02. Moral turpitude defined.Repealed. Source: 11 SDR 46, effective October 9, 1984; 12 SDR 151, 12 SDR 155, effective July 1, 1986; repealed, 15 SDR 28, effective August 21, 1988.

Rule 20:07:12:03 Total capital defined -- Primary and secondary capital. 20:07:12:03. Total capital defined -- Primary and secondary capital. As used in this article the term, total capital, means the sum of primary and secondary capital. The term, primary capital, means the sum …

Rule 20:07:12:04 Impaired capital defined. 20:07:12:04. Impaired capital defined. A bank's capital is considered impaired when its total capital as defined by § 20:07:12:03 is four percent or less of the bank's total assets. Source: 11 SDR 46, effective October 9, 1984; 12 SDR 15…

Rule 20:07:14:01 Restrictions. 20:07:14:01. Restrictions. A loan production office may not receive deposits in any form. All disbursements of loan proceeds must originate at the main office or a branch of the bank. Source: 11 SDR 46, effective October 9, 1984; 12 SDR 151, 12 SDR …

Rule 20:07:14:02 Repealed. 20:07:14:02. Annual reporting requirements.Repealed. Source: 11 SDR 46, effective October 9, 1984; 12 SDR 151, 12 SDR 155, effective July 1, 1986; repealed, 25 SDR 39, effective September 23, 1998.

Rule 20:07:15:01 Emergency charters. 20:07:15:01. Emergency charters. The banking commission may, without further notice or hearing, grant a charter or branch authorization under the following circumstances: (1) Pursuant to SDCL 51A-15-18, the director has appointed the federal d…

Rule 20:07:16:01 Bank subsidiary defined. 20:07:16:01. Bank subsidiary defined. A bank subsidiary of a state-chartered bank is any company 25 percent or more of whose voting shares is directly or indirectly owned or controlled by the bank or is held by it with power to vote. Shar…

Rule 20:07:16:02 Exemption. 20:07:16:02. Exemption. Any subsidiary of a bank formed for the sole purpose of holding, receiving, or operating real or personal property repossessed by a bank through foreclosure proceedings or other proceedings in lieu of debts previously contracted…

Rule 20:07:16:03 Examination and supervision. 20:07:16:03. Examination and supervision. Any subsidiaries of banks as defined in § 20:07:16:01 are subject to examination and supervision by the division to the same extent and in the same manner as state-chartered banks. Source: 12 …

Rule 20:07:16:04 Conduct and practices. 20:07:16:04. Conduct and practices. A bank subsidiary as defined in § 20:07:16:01 shall at all times conduct its business and operations in a safe and sound manner, consistent with prudent business practices. A bank subsidiary shall also me…

Rule 20:07:16:05 Loans to subsidiaries. 20:07:16:05. Loans to subsidiaries. Loans to a subsidiary made in the normal course of business shall not be construed as a direct investment in that subsidiary. Maximum loan limitations for individual borrowers provided in SDCL 51A-12-2 ap…

Rule 20:07:16:06 When prior approval required. 20:07:16:06. When prior approval required. A bank may acquire, make an investment in, or organize a bank subsidiary without prior application to or the consent of the division. A bank acquiring, making an investment in, or organizing…

Rule 20:07:16:07 Definition of special bank subsidiary. 20:07:16:07. Definition of special bank subsidiary. A special bank subsidiary is any subsidiary of a bank which engages in one or more of the following businesses: insurance underwriting, real estate development, or acting a…

Rule 20:07:16:08 Investment in subsidiaries and bank capital. 20:07:16:08. Investment in subsidiaries and bank capital. For purpose of capital calculations, primary capital of a bank includes the bank's pro rata share of the shareholder's equity of all bank subsidiaries except th…

Rule 20:07:16:09 Investment in special bank subsidiaries. 20:07:16:09. Investment in special bank subsidiaries. No state-chartered bank may invest more than 10 percent of its total capital in any one special bank subsidiary or more than 20 percent of its total capital in all spec…

Rule 20:07:16:10 Requirement of special bank subsidiaries. 20:07:16:10. Requirement of special bank subsidiaries. A special bank subsidiary must meet the following requirements: (1) The subsidiary is adequately capitalized, as determined by the director; (2) The subsidiary is phy…

Rule 20:07:18:01 Key person defined. 20:07:18:01. Key person defined. A key person is an executive officer or member of the board of directors determined by the board of directors to be essential to the continued sound operation of the bank based on board review of the person's e…

Rule 20:07:18:02 Authority to purchase life insurance. 20:07:18:02. Authority to purchase life insurance. Banks may purchase and hold an interest in cash value life insurance policies on the life of its key persons and borrowers and may purchase cash value life insurance in conne…

Rule 20:07:18:03 Limitations on purchase of life insurance on key person. 20:07:18:03. Limitations on purchase of life insurance on key person. The purchase of cash value life insurance on a key person by a bank is subject to the following limitations: (1) A bank may not purchase…

Rule 20:07:18:04 Limitations on purchase of life insurance on borrowers. 20:07:18:04. Limitations on purchase of life insurance on borrowers. The purchase of cash value life insurance on borrowers by a bank is subject to the following limitations: (1) The face value of the life i…

Rule 20:07:18:05 Limitations on purchase of life insurance in connection with benefits. 20:07:18:05. Limitations on purchase of life insurance in connection with benefits. In purchasing cash value life insurance in connection with employee compensation and benefit plans and defer…

Rule 20:07:18:06 Financial information. 20:07:18:06. Financial information. Before purchasing a cash value life insurance policy, the board of directors shall evaluate the financial condition and rating, if any, of the insurance company based on current financial information. Thi…

Rule 20:07:18:07 Documentation. 20:07:18:07. Documentation. In purchasing cash value life insurance for key persons, the bank's board of directors shall document in its minutes the basis for the insurable interest and the basis for the amount of the insurance. The bank's board of…

Rule 20:07:18:08 Waiver. 20:07:18:08. Waiver. The director may waive any limitation in this chapter, except those in § 20:07:18:04, for policies purchased before September 5, 1993. Source: 20 SDR 33, effective September 5, 1993. General Authority:SDCL 51A-2-13, 51A-4-42. Law Impl…

Rule 20:07:19:01 Repealed. 20:07:19:01. Laws applicable to mortgage bankers. Repealed. Source: 21 SDR 194, effective May 18, 1995; repealed, 33 SDR 226, effective July 1, 2007.

Rule 20:07:19:02 Licensing fees. 20:07:19:02. Licensing fees. The original, non-refundable, license fee for a mortgage lender is seven hundred fifty dollars, the original, non-refundable, license fee for a mortgage broker or mortgage brokerage is five hundred dollars and the orig…

Rule 20:07:19:03 Renewal fees. 20:07:19:03. Renewal fees. The annual renewal fee for a mortgage lender is five hundred dollars, the annual renewal fee for a mortgage broker or mortgage brokerage is three hundred fifty dollars, and the annual renewal fee for a mortgage loan origin…

Rule 20:07:19:03.01 Nationwide mortgage licensing system and registry fees. 20:07:19:03.01. Nationwide mortgage licensing system and registry fees. An initial set-up fee of one hundred dollars for a company license, twenty dollars for each company branch location, and thirty doll…

Rule 20:07:19:04 Application -- Prescribed form and required information. 20:07:19:04. Application -- Prescribed form and required information. Any application for licensure or registration shall be provided by the division. An applicant must provide the following information as …

Rule 20:07:19:04.01 Change of control -- Application required. 20:07:19:04.01. Change of control -- Application required. If there is a change of control of a licensee, the individual or entity assuming control of the licensee shall file an application with the division, on forms…

Rule 20:07:19:05 Application -- Grounds for denial. 20:07:19:05. Application -- Grounds for denial. In addition to the grounds for denial contained in § 20:07:19:04, the division may deny an application if the applicant has been convicted of forgery, embezzlement, obtaining money…