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Code · U.S. Code · Title 12 - BANKS AND BANKING · CHAPTER 18— BANK SERVICE COMPANIES · § 1865

§ 1865. Prior approval for investments in bank service companies

717 words·~3 min read·/usc/title-12/section-1865

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(a)Approval of Federal banking agency No insured depository institution shall invest in the capital stock of a bank service company that performs any service under authority of subsection (c), (d), or
(e)of section 1864 of this title without prior notice, as determined by the appropriate Federal banking agency for the insured depository institution.
(b)Approval of Board No insured depository institution shall invest in the capital stock of a bank service company that performs any service authorized only under authority of section 1864(f) of this title and no bank service company shall perform any activity authorized only under section 1864(f) of this title without the prior approval of the Board.
(c)Considerations in determining approval In determining whether to approve or deny any application for prior approval or whether to approve or disapprove any notice under this section, the Board or the appropriate Federal banking agency, as the case may be, is authorized to consider the financial and managerial resources and future prospects of any insured depository institution and bank service company involved, including the financial capability of the insured depository institution to make a proposed investment under this chapter, and possible adverse effects such as undue concentration of resources, unfair or decreased competition, conflicts of interest, or unsafe or unsound banking practices.
(d)Failure to act on application for approval In the event the Board or the appropriate Federal banking agency, as the case may be, fails to act on any application under this section within ninety days of the submission of a complete application to the agency, the application shall be deemed approved.
(Pub. L. 87–856, § 5, Oct. 23, 1962, 76 Stat. 1133; Pub. L. 95–630, title III, § 308, Nov. 10, 1978, 92 Stat. 3677; Pub. L. 97–320, title VII, § 709, Oct. 15, 1982, 96 Stat. 1542; Pub. L. 103–325, title III, § 323, Sept. 23, 1994, 108 Stat. 2227; Pub. L. 104–208, div. A, title II, § 2613(f), Sept. 30, 1996, 110 Stat. 3009–478; Pub. L. 109–351, title VI, § 602(b)(4), Oct. 13, 2006, 120 Stat. 1980.)
Connections17 cite this · traces to 3
Cited by 17 sections
21 references not yet in our index
  • Pub. L. 87–856, § 5
  • 76 Stat. 1133
  • Pub. L. 95–630, title III, § 308
  • 92 Stat. 3677
  • Pub. L. 97–320, title VII, § 709
  • 96 Stat. 1542
  • Pub. L. 103–325, title III, § 323
  • 108 Stat. 2227
  • Pub. L. 104–208, div. A, title II, § 2613(f)
  • 110 Stat. 3009–478
  • Pub. L. 109–351, title VI, § 602(b)(4)
  • 120 Stat. 1980
  • Pub. L. 109–351, § 602(b)(4)(A)
  • Pub. L. 109–351, § 602(b)(4)(B)
  • Pub. L. 109–351, § 602(b)(4)(C)
  • Pub. L. 104–208
  • Pub. L. 103–325, § 323(1)
  • Pub. L. 103–325, § 323(2)
  • Pub. L. 97–320
  • Pub. L. 95–630
  • section 2101 of Pub. L. 95–630
Citation graph
cites case law
§ 1865
Prior approval for investments in bank service companies
Fed. Reg.×8
Stat.×4
C.F.R.×2
Bills×1
Stat. Comp.×1
U.S.C.×1
Pub. L.Pub. L. 87–856, § 5
Stat.76 Stat. 1133
Pub. L.Pub. L. 95–630, title III, § 308
Stat.92 Stat. 3677
Pub. L.Pub. L. 97–320, title VII, § 709
Cites 24 · showing 8Cited by 17 across 6 sources
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