Sec. 206. DEFINITION OF IDENTIFIED BANKING PRODUCT
430 words·~2 min read·
/statute-compilations/comps-272/sec-206A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
## SEC. 206 DEFINITION OF IDENTIFIED BANKING PRODUCT **[**[15 U.S.C. 78c](/us/usc/t15/s78c)**]** ###
(a)Definition of Identified Banking Product Except as provided in subsection (e), for purposes of paragraphs
(4)and
(5)of section 3(a) of the Securities Exchange Act of 1934 (15 U.S.C. 78c(a) (4), (5)), the term “**identified banking product**” means— ####
(1)a deposit account, savings account, certificate of deposit, or other deposit instrument issued by a bank; ####
(2)a banker's acceptance; ####
(3)a letter of credit issued or loan made by a bank; ####
(4)a debit account at a bank arising from a credit card or similar arrangement; ####
(5)a participation in a loan which the bank or an affiliate of the bank (other than a broker or dealer) funds, participates in, or owns that is sold— #####
(A)to qualified investors; or #####
(B)to other persons that— ######
(i)have the opportunity to review and assess any material information, including information regarding the borrower's creditworthiness; and ######
(ii)based on such factors as financial sophistication, net worth, and knowledge and experience in financial matters, have the capability to evaluate the information available, as determined under generally applicable banking standards or guidelines; or ####
(6)any swap agreement, including credit and equity swaps, except that an equity swap that is sold directly to any person other than a qualified investor (as defined in section 3(a)(54) of the Securities Act of 1934) shall not be treated as an identified banking product. ###
(b)Definition of Swap Agreement For purposes of subsection (a)(6), the term “**swap agreement**” means any individually negotiated contract, agreement, warrant, note, or option that is based, in whole or in part, on the value of, any interest in, or any quantitative measure or the occurrence of any event relating to, one or more commodities, securities, currencies, interest or other rates, indices, or other assets, but does not include any other identified banking product, as defined in paragraphs
(1)through
(5)of subsection (a). ###
(c)Classification Limited Classification of a particular product as an identified banking product pursuant to this section shall not be construed as finding or implying that such product is or is not a security for any purpose under the securities laws, or is or is not an account, agreement, contract, or transaction for any purpose under the Commodity Exchange Act. ###
(d)Incorporated Definitions For purposes of this section, the terms “**bank**” and “qualified investor” have the same meanings as given in section 3(a) of the Securities Exchange Act of 1934, as amended by this Act.
Connectionstraces to 1
Traces to 1 document
U.S. Code
Citation graph
cites case law
Sec. 206
DEFINITION OF IDENTIFIED BANKING PRODUCT
Cites 1Cited by 0 across 0 sources