CHAPTER 98. FOREIGN FINANCIAL INSTITUTIONS
FINANCE CODE
TITLE 3. FINANCIAL INSTITUTIONS AND BUSINESSES
SUBTITLE C. SAVINGS BANKS
CHAPTER 98. FOREIGN FINANCIAL INSTITUTIONS
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 98.001. LIMITATION ON RIGHT TO DO BUSINESS AS SAVINGS BANK.
(a) A person may not do business as a savings bank in this
state or maintain an office in this state for the purpose of
doing business in this state unless the person is a:
(1) domestic savings bank;
(2) federal savings bank; or
(3) foreign savings bank that holds a certificate of authority
issued under Subchapter I, Chapter 92, or Section 61, Chapter 61,
General Laws, Acts of the 41st Legislature, 2nd Called Session,
1929 (Article 881a-60, Vernon's Texas Civil Statutes).
(b) Subsection (a) does not prohibit activity that is not
considered to be transacting business in this state under Section
B, Article 8.01, Texas Business Corporation Act.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
Sec. 98.002. APPLICATION OF LAW AND RULES. This subtitle and
each rule adopted under this subtitle apply to the operations in
this state of a foreign savings bank and may be enforced by the
commissioner.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
Sec. 98.003. CONTRACTS CONSTRUED UNDER LAW OF THIS STATE. A
contract between a foreign savings bank and a resident of this
state is governed by the laws of this state.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
Sec. 98.004. FEDERAL SAVINGS BANK. A federal savings bank is
not a foreign corporation or foreign savings bank for purposes of
this subtitle.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
Sec. 98.005. AUTHORIZATION TO RETAIN OFFICES. A federal savings
bank that has been merged, consolidated, or converted into a
domestic or foreign savings bank or association is entitled to
retain any authorized office under the terms provided for a
foreign savings bank under Subchapter I, Chapter 92.
Added by Acts 1999, 76th Leg., ch. 62, Sec. 7.35(a), eff. Sept.
1, 1999.
SUBCHAPTER B. POWERS OF FOREIGN SAVINGS BANK; ELIGIBILITY OF
ACCOUNTS FOR INVESTMENT
Sec. 98.101. POWERS OF FOREIGN SAVINGS BANK; ELIGIBILITY OF
ACCOUNTS FOR INVESTMENT. (a) A foreign savings bank operating
under a certificate of authority issued under Subchapter I,
Chapter 92, has the rights and privileges of a savings bank
created under this subtitle. The savings bank's deposit accounts
are eligible for investment to the same extent as those of a
domestic savings bank.
(b) A foreign savings bank may not be considered a savings bank
organized under the laws of this state.
(c) A foreign savings bank operating in this state under this
chapter may not exercise a power, perform a function, or offer a
service that a domestic savings bank may not exercise, perform,
or offer.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
SUBCHAPTER C. CERTIFICATE OF AUTHORITY
Sec. 98.201. RENEWAL OF CERTIFICATE. A foreign savings bank may
renew a certificate of authority issued under Subchapter I,
Chapter 92, by paying a renewal fee in January of each year. The
finance commission by resolution shall set the fee annually.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
Sec. 98.202. REVOCATION OF CERTIFICATE. (a) The commissioner
may revoke a foreign savings bank's certificate of authority on
the failure or refusal of the savings bank to comply with a final
order of the commissioner.
(b) On revocation under Subsection (a), an agent of the savings
bank may not transact business in this state except to:
(1) receive a payment to apply to an active loan contract; or
(2) pay a withdrawal request.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
SUBCHAPTER D. EXAMINATION AND REGULATION
Sec. 98.301. FREQUENCY OF EXAMINATION. A foreign savings bank
holding a certificate of authority issued under Subchapter I,
Chapter 92, may be examined not more than once each year.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
Sec. 98.302. EXAMINATION CHARGES. A foreign savings bank
holding a certificate of authority issued under Subchapter I,
Chapter 92, shall pay:
(1) an examination fee in the amount set for a domestic savings
bank under Section 91.007;
(2) all travel expenses of the examination; and
(3) the amount of the examination expense that exceeds the
amount of the examination fee, if any.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
Sec. 98.303. AGREEMENT WITH REGULATORY AUTHORITY OF OTHER STATE.
(a) The commissioner, in exercising the supervisory and
regulatory authority granted under Chapter 96, may enter into a
cooperative agreement with a regulatory authority of another
state to facilitate the regulation of foreign savings banks doing
business in this state.
(b) The commissioner may accept a report of an examination and
other records from the regulatory authority of the other state
instead of conducting an examination outside this state.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
Sec. 98.304. COMMISSIONER'S AUTHORITY TO ISSUE ORDERS. The
commissioner may issue an order against a foreign savings bank
holding a certificate of authority in the same manner provided by
Chapter 96 for issuance of an order against a domestic savings
bank.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.