S.C. Code Ann. § 34-26-1110 — SC Code / Title 34 / Chapter 26 / Article 11 / Section 34-26-1110
SECTION 34-26-1110. Permissible use of reserve; effect of liquidation of credit union.
Status: in_force

The regular reserve shall belong to the credit union and shall be used to meet contingencies or losses in its business. The regular reserve shall not be distributed except on liquidation of the credit union, or in accordance with a plan approved by the Board of Financial Institutions.
S.C. Code Ann. § 34-1-110 — SC Code / Title 34 / Chapter 1 / Section 34-1-110
SECTION 34-1-110. Authority for state-chartered banks, savings and loan associations, and credit unions, and licensed consumer finance companies to engage in certain activities.
Status: in_force

(A) Notwithstanding any other provision of law and in addition to all of the powers granted under Chapters 1 through 31, Title 34 and Chapter 3, Title 37, the State Board of Financial Institutions, by regulation or by issuing operational instructions, may permit: (1) state-chartered banks to engage in any activity authorized for national banks by federal law or regulation of the Comptroller of the Currency or for state-chartered savings and loan associations by this title or regulation or operational instruction of the State Board of Financial Institutions; (2) state-chartered savings and loan associations to engage in any activity authorized for federally chartered savings and loan associations by federal law or regulation of the Office of Thrift Supervision or for state-chartered banks by this title or regulation or operational instruction of the State Board of Financial Institutions; (3) cooperative credit unions to engage in any activity authorized for federally chartered credit unions by federal law or by regulation of the National Credit Union Administration; (4) consumer finance companies operating pursuant to a license to make supervised loans as provided in Part 5, Chapter 3, Title 37, to engage in any lending activity authorized for supervised financial organizations by law or by regulation of an agency given supervisory authority over those institutions, except where otherwise restricted by statute; and (5) mortgage lenders and loan originators operating pursuant to a license to make mortgage loans as provided in Chapter 22, Title 37, to engage in a mortgage lending activity authorized for licensed mortgage lenders and loan originators by law or by regulation of an agency given supervisory authority over those institutions, except where otherwise restricted by statute. (B) For the purpose of this section, the term "activity" includes the terms and conditions under which the activity may be exercised, as well as the authority to make a particular type of loan or investment or otherwise to engage in an approved activity. Effect of Amendment The 1999 amendment provided that the State Board of Financial Institutions may permit certain activities by operational instruction as well as by regulation. The 2009 amendment added subparagraph (A)(5) relating to mortgage lenders and loan originators.
S.C. Code Ann. § 34-30-1360 — SC Code / Title 34 / Chapter 30 / Article 7 / Section 34-30-1360
SECTION 34-30-1360. Investments in stock of federal government sponsored enterprises.
Status: in_force

A state savings bank may invest in stock or other evidences of indebtedness or obligations of the Federal National Mortgage Association, the Federal Home Loan Mortgage Corporation, or other federal government sponsored enterprise, or its successor.
S.C. Code Ann. § 34-30-410 — SC Code / Title 34 / Chapter 30 / Article 3 / Section 34-30-410
SECTION 34-30-410. Short form merger, consolidation, conversion, or combination merger and conversion.
Status: in_force

Notwithstanding another provision of this chapter, to protect the public, including members, depositors, or stockholders of a state savings bank, the board, upon making a finding that a state savings bank is unable to operate in a safe and sound manner, may authorize or require a short form merger, consolidation, conversion, or combination merger and conversion of the state savings bank, or another transaction.
S.C. Code Ann. § 34-13-140 — SC Code / Title 34 / Chapter 13 / Section 34-13-140
SECTION 34-13-140. Restrictions on loan on or purchase of bank's own stock.
Status: in_force

(A) It is unlawful for any banking institution to make any loan or discount on the security of the shares of its own capital stock or to be the purchaser or holder of any such shares unless such security or purchase is necessary to prevent loss upon a debt previously contracted in good faith, unless the purchase is approved by the board, or except as permitted in subsection (B). (B) Subject to the approval of the board, a South Carolina state-chartered banking association may acquire its own outstanding shares and hold them as treasury stock in the same manner as a corporation pursuant to Title 33. Effect of Amendment 2021 Act No. 30, SECTION 13, inserted the (A) designator; in (A), substituted "It is unlawful" for "It shall be unlawful", "banking institution" for "banking association", and "is necessary" for "shall be necessary", and inserted ", unless the purchase is approved by the board, or except as permitted in subsection (B)"; and added (B).
S.C. Code Ann. § 34-28-910 — SC Code / Title 34 / Chapter 28 / Article 10 / Section 34-28-910
SECTION 34-28-910. Effect on existing associations.
Status: in_force

The name, rights, powers, privileges, and immunities of associations heretofore incorporated in this State are governed, controlled, construed, extended, limited, and determined by the provisions of this chapter to the same extent and effect as if the association had been incorporated pursuant thereto. The articles of incorporation, certificate of incorporation, charter, bylaws, constitution, and other rules of these associations heretofore made or existing are hereby modified, altered, and amended to conform to the provisions of this chapter, with or without the issuance or approval by the Board of conformed copies of these documents, and the same are declared void to the extent that they are inconsistent with the provisions of this chapter. Notwithstanding the above provisions of this subsection, the obligations of any existing association whether between the association and its members or stockholders or other persons, or any valid contract between the members or stockholders of any association or between the associations and any other person existing on the effective date of this chapter, is not impaired by the provisions of this chapter. With this exception, these associations shall possess the rights, powers, privileges, and immunities and are subject to the duties, liabilities, disabilities, and restrictions conferred and imposed by this chapter, notwithstanding anything to the contrary in its articles, certificate of incorporation, bylaws, constitution, or rules.
S.C. Code Ann. § 34-28-120 — SC Code / Title 34 / Chapter 28 / Article 2 / Section 34-28-120
SECTION 34-28-120. Capital stock of state stock associations; power and limitations on sale and issuance of stock; loans, characteristics, and restrictions.
Status: in_force

(1) A stock owned association may issue the shares of stock authorized by its articles of incorporation and none other. Capital stock shall have the par value stated in the articles of incorporation and, with the prior approval of the Board, may consist of common stock and preferred stock which may be divided into classes and classes may be divided into series. Each kind, class, and series may have those distinguishing characteristics, including designations, preferences, or restrictions as regards dividends, redemption, voting powers, or restrictions or qualifications of voting powers, as are imposed in the articles of incorporation. The provisions of the articles of incorporation shall control in any case in which any vote or consent of stockholders is now or hereafter required by statute unless the statute shall expressly provide to the contrary. (2) The consideration for the issuance of shares must be paid in full before their issuance and must not be less than the par value. The consideration for the shares must be paid in cash. Upon payment, the shares are considered to be fully paid and nonassessable. (3) The total of the par values of all outstanding shares of common and preferred capital stock is the permanent capital of the association and any amount received as consideration for outstanding shares in excess of the par values must be credited to capital surplus. No association shall reduce its permanent capital or distribute any of its capital surplus to shareholders without first obtaining the consent of the Board. Except in supervisory cases, this consent must be withheld if the reduction will cause the permanent capital to be less than the minimum required by the Board at the time of the distribution to capitalize a new stock association. (4) Unless otherwise provided by the articles of incorporation, no shareholder in a state stock association shall have the preemptive right to acquire unissued shares, or securities convertible or carrying a right to subscribe to or acquire shares, of the association. In the case of any capital stock association in existence prior to the effective date of this chapter, stockholders of this association shall continue to have the preemptive rights in this association which they had immediately prior to this date, unless and until the articles of incorporation are amended to alter or terminate stockholders' preemptive rights. (5) An association shall not make a loan secured by the pledge of its capital stock. (6) No subscriber to the stock of a proposed stock-owned association shall own or control as principal more than ten percent of any class of voting shares of the association without prior approval of the Board. No mutual association shall own or control as principal, directly or indirectly, any stock of any association, bank, bank holding company, as defined in 12 U.S.C. Section 1841(a)(1) as amended, or savings and loan holding company, as defined in the Federal Savings and Loan Holding Company Act, 12 U.S.C. Section 1730a(a)(1) (D) as amended, or any other depository financial institution. No association, bank, bank holding company, savings and loan holding company, or other depository financial institution shall own or control as principal, directly or indirectly, ten percent or more of any class of the outstanding voting shares of any stock-owned association without prior approval of the Board, and no stock-owned association shall own or control as principal, directly or indirectly, ten percent or more of any class of the outstanding voting shares of any association, bank, bank holding company, savings and loan holding company, or other depository institution without prior approval of the Board; provided, that no stock-owned association or holding company owning any of the stock of the association, which desires to own stock in any bank doing business in this State or any bank holding company owning any of the stock of the bank, shall own as principal more stock in that bank or bank holding company than that bank or bank holding company is permitted to own in a stock-owned association or holding company owning any of the stock of the association. The prohibitions of this section do not apply to a savings and loan holding company's owning all of the outstanding stock of a stock-owned association. Any stock of a stock-owned association which is used as loan collateral and which is acquired by a financial institution by loan default or is acquired as a result of a bankruptcy does not constitute a violation of this restriction if the acquiring institution divests itself of this stock within five years of acquisition or that longer period as may be approved by the Board. The restriction in Section 34-28-540(3) against an association's owning five percent or more of any class of voting stock in any corporation, other than a service corporation or a subsidiary in which it owns all of the voting shares, is not applicable to the stock ownership permitted by this subsection.
S.C. Code Ann. § 34-3-110 — SC Code / Title 34 / Chapter 3 / Article 1 / Section 34-3-110
SECTION 34-3-110. Crimes against a federally chartered or insured financial institution.
Status: in_force

(A) A person knowingly may not execute, or attempt to execute, a scheme or artifice to: (1) defraud a federally chartered or insured financial institution; or (2) obtain monies, funds, credits, assets, securities, or other property owned by or under the custody or control of a federally chartered or insured financial institution by means of false or fraudulent pretenses, representations, or promises. (B) A person who violates the provisions of subsection (A) is guilty of a felony and, upon conviction, must be fined not more than ten thousand dollars or imprisoned for not more than five years, or both. (C) As used in this section, "federally chartered or insured financial institution" means: (1) a bank with deposits insured by the Federal Deposit Insurance Corporation; (2) an institution with accounts insured by the Federal Savings and Loan Insurance Corporation; (3) a credit union with accounts insured by the National Credit Union Administration Board; (4) a federal home loan bank or a member, as defined in Section 2 of the Federal Home Loan Bank Act, 12 U.S.C. Section 1422, of the federal home loan bank system; or (5) a bank, banking association, land bank, intermediate credit bank, bank for cooperatives, production credit association, land bank association, mortgage association, trust company, savings bank, or other banking or financial institution organized or operating under the laws of the United States. (D) The provisions of this section do not affect the provisions of Section 34-11-70.
S.C. Code Ann. § 34-36-50 — SC Code / Title 34 / Chapter 36 / Section 34-36-50
SECTION 34-36-50. Investigations and examinations to determine violations; obtaining evidence; witnesses and subpoenas; confidentiality; injunctions and other means of enforcement; cooperation with other enforcement agencies.
Status: in_force

(A) The department may make investigations and examinations upon reasonable suspicion within or outside of this State as it considers necessary to determine whether a person has violated or will violate any provision of this chapter or any regulation promulgated hereunder. (B) The department may gather evidence regarding any broker if the department has reasonable suspicion the loan broker has violated or will violate any provision of this chapter or any regulation promulgated under it. The department may administer oaths, examine witnesses, and issue subpoenas. (C) The department may issue subpoenas for witnesses whose evidence is deemed material to any investigation or examination commanding the witnesses to be or appear before the department at a time and place named and to bring those books, records, and documents as may be specified or to submit the books, records, and documents for inspection. The subpoenas may be served by an authorized representative of the department. (D) In the event of substantial noncompliance with a subpoena or subpoena duces tecum issued by the department, the department may petition the circuit court of the county in which the person subpoenaed resides or has its principal place of business for an order requiring the person to appear and fully comply with the subpoena. The court may also grant injunctive relief restraining a violation of this chapter and may grant that other relief, including, but not limited to, the restraint, by injunction or appointment of a receiver, of any transfer, pledge, assignment, or other disposition of the person's assets or any concealment, alteration, destruction, or other disposition of subpoenaed books, records, or documents, as the court deems appropriate until the person has fully complied with the subpoena or subpoena duces tecum and the department has completed its investigation or examination. Costs incurred by the department to obtain an order granting, in whole or in part, the petition for enforcement of a subpoena or subpoena duces tecum must be taxed against the subpoenaed person, and failure to comply with the order is a contempt of court. (E) Witnesses are entitled to the same fees and mileage as they may be entitled by law for attending as witnesses in the circuit court, except where the examination or investigation is held at the place of business or residence of the witness. (F) The material compiled by the department in an investigation or examination under this chapter is confidential until the investigation or examination is complete or final action by the department is otherwise taken. The investigation or examination is not deemed complete if the department has submitted the material or any part of it to any law enforcement agency or other regulatory agency for further investigation or for the filing of a criminal or civil prosecution and the investigation and prosecution have not been completed or become inactive. This confidentiality provision shall not prohibit: (1) the disclosure of investigative material in investigations that are otherwise final if the material submitted to the other law enforcement agency is not directly related to loan brokering business; or (2) the disclosure of such material as is public information after civil or criminal prosecution is filed. (G) The department shall cooperate with and assist other state or federal agencies in enforcing applicable regulation of loan brokers to the extent such cooperation and assistance does not violate this chapter or the public policy of this State. The department may authorize such state or federal agencies to represent it for the purpose of administering oaths, examining witnesses, or issuing subpoenas under this chapter.
S.C. Code Ann. § 34-3-620 — SC Code / Title 34 / Chapter 3 / Article 9 / Section 34-3-620
SECTION 34-3-620. Relationship with Federal Deposit Insurance Corporation generally.
Status: in_force

Any banking institution organized under the laws of this State may, on the authority of its board of directors and upon approval of the State Board of Bank Control, enter into such contracts, incur such obligations and generally do and perform any and all such acts and things whatsoever as may be necessary or appropriate in order to take advantage of any and all memberships, loans, subscriptions, contracts, grants, rights or privileges which may at any time be available or inure to banking institutions or to their depositors, creditors, stockholders, conservators, receivers or liquidators by virtue of those provisions of Section 8 of the Federal "Banking Act of 1933" (Section 12B of the Federal Reserve Act, as amended) which establish the Federal Deposit Insurance Corporation and provide for the insurance of deposits or of any other provisions of that or of any other act or resolution of Congress to aid, regulate or safeguard banking institutions and their depositors including any amendments of such provisions or any substitutions therefor. And any such banking institution may also, upon approval of the State Board of Bank Control subscribe for and acquire any stock, debentures, bonds or other types of securities of the Federal Deposit Insurance Corporation and comply with the lawful regulations and requirements from time to time issued or made by such corporation.
S.C. Code Ann. § 34-26-720 — SC Code / Title 34 / Chapter 26 / Article 7 / Section 34-26-720
SECTION 34-26-720. Deposits.
Status: in_force

A credit union may accept deposits from members, other credit unions, and governmental units subject to the terms, rates, and conditions established by the board of directors.
S.C. Code Ann. § 34-21-380 — SC Code / Title 34 / Chapter 21 / Article 3 / Section 34-21-380
SECTION 34-21-380. Annual audit of fund; financial report.
Status: in_force

(1) A trust institution administering a common trust fund shall at least once during each period of twelve months cause an adequate audit to be made of the common trust fund by auditors responsible only to the board of directors of the bank. In the event that such audit is performed by independent public accountants, the reasonable expenses of such audit may be charged to the common trust fund. (2) A trust institution administering a common trust fund shall at least once during each period of twelve months prepare a financial report of the fund which shall be filed with the Comptroller of the Currency in the case of national banks and with the State Board of Bank Control in the case of State banks. This report, based upon the above audit, shall contain a list of the investments in the fund showing the cost and the market value of each investment; a statement for the period since the previous report showing purchases, with cost; sales, with profit or loss, and any other investment changes; income and disbursements; and an appropriate notation as to any investments in default. (3) The financial report may include a description of the fund's value on previous dates as well as its income and disbursements during previous accounting periods. The report shall make no reference to the performance of funds other than those administered by the bank and no predictions or representations as to future results. (4) A copy of the financial report shall be furnished, or notice shall be given that a copy of such report is available and will be furnished without charge upon request, to each person to whom a regular periodic accounting would ordinarily be rendered with respect to each participating account. In addition, a full report shall be furnished to any person, and the fact of the availability of such material may be given publicity solely in connection with the promotion of the fiduciary services of the trust institution. Except as herein provided, the trust institution shall not advertise or publicize its common trust fund(s). The cost of printing and distribution of the report shall be borne by the trust institution.
S.C. Code Ann. § 34-30-1070 — SC Code / Title 34 / Chapter 30 / Article 6 / Section 34-30-1070
SECTION 34-30-1070. Special meetings; notice.
Status: in_force

(A) Special meetings of members or stockholders of a state savings bank may be called by the president or the board of directors or by other officers or persons as provided for in the articles of incorporation or bylaws of the savings bank. Special meetings must be held for such purpose as specified by the board of directors. (B) Notice of a special meeting of members or stockholders must be given in the same manner as an annual meeting as provided by Section 34-30-1060.
S.C. Code Ann. § 34-26-1390 — SC Code / Title 34 / Chapter 26 / Article 13 / Section 34-26-1390
SECTION 34-26-1390. Annual audit and report.
Status: in_force

(1) The supervisory committee of the corporate credit union shall cause an annual opinion audit to be made by an independent certified public accountant and shall submit the annual audit report to the board of directors. A summary of the audit report shall be submitted to the membership at the next annual meeting. (2) A copy of the audit report shall be submitted to the Board of Financial Institutions within thirty days after receipt by the board of directors.
S.C. Code Ann. § 34-25-30 — SC Code / Title 34 / Chapter 25 / Article 1 / Section 34-25-30
SECTION 34-25-30. Board approval.
Status: in_force

(a) Except as otherwise expressly permitted by federal law, no company may acquire a South Carolina bank holding company or a South Carolina state bank without the prior approval of the board. (b) The prohibition in subsection (a) shall not apply where the acquisition is made: (1) solely for the purpose of facilitating an acquisition otherwise permitted under this article; (2) in a transaction arranged by the board or another bank supervisory agency to prevent the insolvency or closing of the acquired bank; (3) in a transaction in which a bank forms its own bank holding company, if the ownership rights of the former bank shareholders are substantially similar to those of the shareholders of the new bank holding company; or (4) in a transaction in which a bank sells stock to a company organized for the purpose of acquiring such bank, if the acquiring company is not, and is not expected to become, a subsidiary of any other company. (c) In a transaction for which the board's approval is not required under this section, the parties shall give written notice to the board at least fifteen days before the effective date of the acquisition, unless a shorter period of notice is required under applicable federal law.
S.C. Code Ann. § 34-29-163 — SC Code / Title 34 / Chapter 29 / Section 34-29-163
SECTION 34-29-163. Effect of misrepresentation by insured.
Status: in_force

A policy or certificate may not be declared void and the insurer may not avoid liability based upon a misrepresentation made by the insured, with respect to information provided regarding medical conditions or health history required in furnishing evidence of insurability, that is not causally related to the contingency or event by which the policy claim arises.
S.C. Code Ann. § 34-26-250 — SC Code / Title 34 / Chapter 26 / Article 2 / Section 34-26-250
SECTION 34-26-250. Duty of credit union to maintain books, records, accounting systems, and procedures.
Status: in_force

(1) A credit union shall maintain all books, records, accounting systems, and procedures in accordance with such regulations as the board from time to time prescribes. (2) A credit union is not liable for destroying records after the expiration of the record retention time prescribed by regulation, except for any records involved in an official investigation or examination about which the credit union has received notice. (3) Reproduction of any credit union records shall be admissible as evidence of transactions with the credit union as provided in Section 34-3-540.
S.C. Code Ann. § 34-11-10 — SC Code / Title 34 / Chapter 11 / Section 34-11-10
SECTION 34-11-10. Payment of deposits made in name of two or more persons.
Status: in_force

Subject to the provisions of Sections 62-6-101, et seq., of the South Carolina Probate Code: (a) when a deposit has been made in a bank, banking institution, or depository transacting business in this State in the names of two or more persons, payable to any of the depositors or payable to any of the depositors or the survivor or survivors, the deposit or any part thereof may be paid to any of the persons, whether the other or others are living or not and the receipt or acquittance of the person or persons paid is a valid and sufficient release and discharge for any or all payments made. (b) The pledge or hypothecation to any bank, banking institution, or other depository transacting business in this State of all or part of a deposit account in the names of two or more persons, payable to any of the depositors or payable to any of the depositors or the survivor or survivors, by any depositor or depositors, whether minor or adult, upon whose signature or signatures withdrawals may be made from the account is, unless the terms of the deposit account provide specifically to the contrary, a valid pledge and transfer to the institution of that portion of the account pledged or hypothecated. For purposes of this section the term "deposit" includes a certificate of deposit. Effect of Amendment The 1990 amendment added "Subject to the provisions of Sections 62-6-101 et seq. of the South Carolina Probate Code," at the beginning of the section.
S.C. Code Ann. § 34-29-220 — SC Code / Title 34 / Chapter 29 / Section 34-29-220
SECTION 34-29-220. Foreign loans.
Status: in_force

No loan made outside this State in the amount of or of the value of seventy-five hundred dollars or less for which a greater rate of interest, consideration, or charge than is permitted by Section 34-29-140 has been charged, contracted for or received, shall be enforced in this State and every person in any way participating therein in this State shall be subject to the provisions of this chapter, but this section shall not apply to loans legally made in any state under and in accordance with a regulatory consumer finance law similar in principles to this chapter.
S.C. Code Ann. § 34-26-230 — SC Code / Title 34 / Chapter 26 / Article 2 / Section 34-26-230
SECTION 34-26-230. Appointment of conservator of credit union assets by board or board designee; remedy of credit union to regain possession and control of assets.
Status: in_force

(1) The board may, at the board's sole discretion and without advance notice, self appoint or appoint an insuring organization or any other person as conservator to immediately take possession and control of the business and assets of any credit union in any case in which the board determines that such action is necessary to conserve the assets of the credit union or to protect the interests of the members of such credit union. (2) Not later than fifteen days after the date on which the board or a designee takes possession and control of the business and assets of a credit union pursuant to subsection (1), such credit union may apply to the appropriate court for the judicial circuit in which the principal office of credit union is located for an order requiring the board to show cause why the board or the designee should not be enjoined from continuing such possession and control. (3) Except as provided in subsection (2), the board or a designee may maintain possession and control of the business and assets of such credit union and may operate such credit union until such time: (a) as the board shall permit such credit union to continue business subject to such terms and conditions as the board imposes; or (b) as such credit union is merged or liquidated. (4) The board may appoint such agents as considered necessary in order to assist in carrying out the duties of the conservator under this section. (5) All expenses incurred by the board in exercising the authority of that office under this section with respect to any credit union shall be paid out of the assets of such credit union, except that the board may waive the charging of all or a part of such expenses. (6) The authority granted by this section is in addition to all other authority granted to the board under this chapter.
S.C. Code Ann. § 34-9-40 — SC Code / Title 34 / Chapter 9 / Section 34-9-40
SECTION 34-9-40. Minimum capital requirements.
Status: in_force

Every banking company or corporation hereafter organized shall have a minimum capital in the amount required by the State Board of Financial Institutions. In determining the minimum amount the State Board of Financial Institutions shall give due consideration to the location of the proposed bank, the proposed bank's business plan, and the economic environment in which the proposed bank will operate. Effect of Amendment 2021 Act No. 30, SECTION 11, rewrote the section.
S.C. Code Ann. § 34-28-200 — SC Code / Title 34 / Chapter 28 / Article 3 / Section 34-28-200
SECTION 34-28-200. Conversion of state-chartered associations into federal associations without change of business form.
Status: in_force

(1) At an annual meeting or at any special meeting of the members or stockholders called to consider the action, any state-chartered association may convert itself into a federal savings association, federal savings and loan association, or federal savings bank, hereinafter called "federal association", in accordance with the laws of the United States, as now or hereafter amended, upon a vote of a majority or more of the total number of votes of the members or stockholders eligible to cast votes at the meeting. A copy of the minutes of the proceedings of the meeting of the members or stockholders, verified by the affidavit of the secretary or an assistant secretary, must be filed with the Board within ten days after the date of the meeting. A sworn copy of the proceedings of the meeting, when so filed, is presumptive evidence of the holding and action of the meeting. Within three months after the date of the meeting, the association shall commence that action in the manner prescribed and authorized by the laws of the United States as shall make it a federal association. There must be filed with the Board a copy of the charter issued to the federal association by the Federal Home Loan Bank Board or a certificate showing the organization of the association as a federal association, certified by the secretary or assistant secretary of the Federal Home Loan Bank Board. A similar copy of the charter, or of the certificate, must be filed by the association with the Secretary of State. No failure to file any of these instruments with either the Board or the Secretary of State shall affect the validity of the conversion. Upon the grant to any association of a charter by the Federal Home Loan Bank Board, the association receiving the charter shall cease to be an association incorporated under this chapter and is no longer subject to the supervision and control of the Board. Upon the conversion of any association into a federal association, the corporate existence of the association shall not terminate, but the federal association is considered to be a continuation of the entity of the association so converted, and all property of the converted association, including its right, title, and interest in all and to all property of whatever kind, whether real, personal, or mixed, and things in action, and every right, privilege, interest, and asset of any conceivable value or benefit then existing, pertaining to it, or which would inure to it, shall immediately by operation of law and without any conveyance or transfer and without any further act or deed remain and be vested in and continue to be the property of the federal association into which the state association has converted itself, and the federal association shall have, hold, and enjoy the same in its own right as fully and to the same extent as if the same were possessed, held, and enjoyed by the converting association. The federal association as of the time of the taking effect of the conversion shall continue to have and succeed to all the rights, obligations, and relations of the converting association. All pending actions and other judicial proceedings to which the converting state association is a party are not considered to have abated or to have discontinued by reason of the conversion, but may be prosecuted to final judgment, order, or decree in the same manner as if the conversion into the federal association had not been made, and the federal association resulting from the conversion may continue those actions in its corporate name as a federal association; and any judgment, order, or decree may be rendered for or against it which might have been rendered for or against the converting state association involved in the judicial proceedings. (2) Any association or corporation which has converted itself into a federal association under the provisions of the laws of the United States and has received a charter from the Federal Home Loan Bank Board is thereafter recognized as a federal association, and its federal charter must be given full recognition by the courts of this State to the same extent as if the conversion had taken place under the provisions of this section; provided, there must have been compliance with the foregoing requirements with respect to the filing with the Board of a copy of the federal charter or a certificate showing the organization of the association as a federal association. All these conversions are hereby ratified and confirmed, and all the obligations of an association which has so converted shall continue as valid and subsisting obligations of the federal association, and the title to all of the property of the association is considered to have continued and vested, as of the date of issuance of the federal charter, in the federal association as fully and completely as if the conversion had taken place pursuant to this section since the effective date of this chapter.
S.C. Code Ann. § 34-39-240 — SC Code / Title 34 / Chapter 39 / Section 34-39-240
SECTION 34-39-240. Wilful violations; referral for criminal prosecution.
Status: in_force

The board, upon a determination that a violation of Section 34-39-130 is wilful, may refer the violation to the Attorney General or to the appropriate circuit solicitor for criminal prosecution. A wilful violation of Section 34-39-130 is a Class B misdemeanor, and each transaction involving unlawful deferred presentment constitutes a separate offense.
S.C. Code Ann. § 34-21-270 — SC Code / Title 34 / Chapter 21 / Article 3 / Section 34-21-270
SECTION 34-21-270. Limitation on investment in obligations of any one person, firm, or corporation.
Status: in_force

Except in the case of collective investment funds described in Section 34-21-220(2), no investment for a collective investment fund shall be made in stocks, bonds or other obligations of any one person, firm or corporation if as a result of such investment the total amount invested in stocks, bonds or other obligations issued or guaranteed by such person, firm or corporation would aggregate in excess of ten percent of the then market value of the fund. Provided, that this limitation shall not apply to investments in direct obligations of the United States or other obligations fully guaranteed by the United States as to principal and interest.
S.C. Code Ann. § 34-25-220 — SC Code / Title 34 / Chapter 25 / Article 3 / Section 34-25-220
SECTION 34-25-220. Definitions.
Status: in_force

For purposes of this article: (1) "Bank" has the meaning set forth in 12 U.S.C. Section 1813. However, the term "bank" shall not include any "foreign bank" as defined in 12 U.S.C. Section 3101(7), except that this term shall include any foreign bank organized under the laws of a territory of the United States, Puerto Rico, Guam, American Samoa or the Virgin Islands, the deposits of which are insured by the Federal Deposit Insurance Corporation. (2) "Bank holding company" has the meaning set forth in 12 U.S.C. Section 1841(a)(1). (3) "Bank supervisory agency" means: (a) any agency of another state with primary responsibility for chartering and supervising banks; and (b) the Office of the Comptroller of the Currency, the Federal Deposit Insurance Corporation, the Board of Governors of the Federal Reserve System, and any successor to these agencies. (4) "Branch" means any office at which a bank accepts deposits. The term "branch" does not include, however, the following: (a) unmanned automatic teller or loan machines, point of sale terminals, or other similar unmanned electronic banking facilities; (b) offices located outside the United States; or (c) loan production offices, representative offices, or other offices at which deposits are not accepted. (5) "Board" means the Board of Financial Institutions. (6) "Control" means and shall be construed consistently with the provisions of 12 U.S.C. Section 1841(a)(2). (7) "Deposit" has the meaning set forth in 12 U.S.C. Section 1813(1). (8) "Home state" means: (a) with respect to a state bank, the state by which the bank is chartered; (b) with respect to a national bank, the state in which the main office of the bank is located; (c) with respect to a foreign bank, the state determined to be the home state of such foreign bank under 12 U.S.C. Section 3103(c). (9) "Home state regulator" means, with respect to an out-of-state bank, the bank supervisory agency of the state in which such bank is chartered. (10) "Host state" means a state, other than the home state of a bank, in which the bank maintains, or seeks to establish and maintain a branch. (11) "Insured depository institution" has the meaning set forth in 12 U.S.C. Section 1813(h). (12) "Interstate merger transaction" means: (a) the merger or consolidation of banks with different home states, and the conversion of branches of any bank involved in the merger or consolidation into branches of the resulting bank; or (b) the purchase of all or substantially all of the assets (including all or substantially all of the branches) of a bank whose home state is different from the home state of the acquiring bank. (13) "Out-of-state bank" means a bank whose home state is a state other than South Carolina. (14) "Out-of-state state bank" means a bank chartered under the laws of any state other than South Carolina. (15) "Resulting bank" means a bank that has resulted from an interstate merger transaction under this article. (16) "State" means any state of the United States, the District of Columbia, any territory of the United States, Puerto Rico, Guam, American Samoa, the Trust Territory of the Pacific Islands, the Virgin Islands, and the Northern Mariana Islands. (17) "South Carolina bank" means a bank whose home state is South Carolina. (18) "South Carolina state bank" means a bank chartered under the laws of South Carolina.
S.C. Code Ann. § 34-26-1310 — SC Code / Title 34 / Chapter 26 / Article 13 / Section 34-26-1310
SECTION 34-26-1310. Purposes of corporate credit union.
Status: in_force

The purposes of the corporate credit union are to: (a) accumulate and prudently manage the liquidity of its member credit unions through interlending and investment services; (b) act as an intermediary for credit union funds between members and other corporate credit unions; (c) obtain liquid funds from other credit union organizations, financial intermediaries, and other sources; (d) foster and promote in cooperation with other state, regional, and national corporate credit unions and credit union organizations or associations the economic security, growth, and development of member credit unions; (e) provide payment systems and correspondent services to its members; and (f) perform such other services of benefit to its members which are authorized by the Board of Financial Institutions.
S.C. Code Ann. § 34-30-110 — SC Code / Title 34 / Chapter 30 / Article 2 / Section 34-30-110
SECTION 34-30-110. Incomplete applications; time for approval or rejection of completed applications.
Status: in_force

(A) If the board does not receive a completed application within one hundred twenty days of the filing of the preliminary application, the application must be returned to the applicants. (B) When the board has completed the examination and investigation of the facts relevant to the establishment of the proposed state savings bank, the board shall approve or reject an application within one hundred twenty days of the submission of the completed application.
S.C. Code Ann. § 34-28-340 — SC Code / Title 34 / Chapter 28 / Article 4 / Section 34-28-340
SECTION 34-28-340. Applications to the board for approval.
Status: in_force

(a) The Board may not approve any proposed transactions set forth in Section 34-28-310: (1) Which would result in a monopoly, or which would be in furtherance of any combination or conspiracy to monopolize or to attempt to monopolize the savings and loan business in this State; or (2) The effect of which in this State may be substantially to lessen competition, or to tend to create a monopoly, or which in any other manner would be in restraint of trade, unless it finds that the anticompetitive effects of the proposed transaction are clearly outweighed in the public interest by the probable effect of the acquisition in meeting the convenience and needs of the community to be served; and (3) Which does not meet the requirements set forth in subsection (b) of this section, if applicable. In every case the Board shall take into consideration the financial and managerial resources and future prospects of the savings and loan holding company and the association involved, and the convenience and needs of the communities to be served. Whenever the transaction must be approved by one or more regulatory agencies of the United States Government under criteria substantially similar to the criteria in this subsection, the Board shall delay its determination until after receipt of the ruling by the applicable federal regulatory agencies and if the proposed transaction is approved, then the approval is conclusive on the Board with respect to the criteria unless the Board finds that the determination made by the federal regulatory agency is not supported by evidence that is substantial when viewed in light of the whole record considered by the federal agency. In the event the Board denies the application under this subsection, it shall issue a ruling stating the specific reasons why it disagrees with the approval determination made by the applicable federal regulatory agency. (b) Whenever an application is filed as is required under Section 34-28-310 or if approval of the Board pursuant to this subsection (b) is required under Section 34-28-320, the Board shall approve the transaction if it is otherwise approved as required by applicable laws and if in addition: (1) The laws of the state in which the Southern Region association or Southern Region savings and loan holding company, as applicable, filing the application has its principal place of business, permit South Carolina associations and South Carolina savings and loan holding companies, as applicable, to acquire associations and savings and loan holding companies in that state; (2) Under the laws of the state where it has its principal place of business the Southern Region association or Southern Region savings and loan holding company filing the application could be acquired by the South Carolina association or South Carolina savings and loan holding company, as applicable; (3) Any conditions, restrictions, and requirements (other than regulations or requirements relating to the procedural steps necessary for approval of acquisitions) that would apply to the acquisition by a South Carolina association or a South Carolina savings and loan holding company of a Southern Region association or Southern Region savings and loan holding company in the state where it has its principal place of business, which would not apply to acquisitions by Southern Region associations or Southern Region savings and loan holding companies of a South Carolina association or a South Carolina savings and loan holding company, as applicable, must be applicable to the transaction proposed by the Southern Region association or Southern Region savings and loan holding company filing the application; (4) Each South Carolina association sought to be acquired directly or indirectly in the proposed transaction has been in existence and continuously operated as an association for a period of five years or more prior to the date the application for approval of the transaction was filed with the Board. This requirement does not prohibit a Southern Region association or Southern Region savings and loan holding company from acquiring all or substantially all of the ownership of a South Carolina association organized solely for the purpose of facilitating the acquisition of a South Carolina association that has been in existence and continuously operated as an association for the requisite five-year period. (c) The Board shall rule on any application requiring approval under this section not later than ninety days following the date of submission of a completed application seeking approval of the proposed transaction. If the Board fails to rule on the application within the requisite ninety-day period, the proposed transaction is approved. Whenever the Board is required to delay its ruling until after a ruling on the approval of the application by one or more federal regulatory agencies pursuant to subsection (a), the Board shall rule on the application within thirty days following receipt of the federal ruling, and if the Board fails to rule on the application within this thirty-day period, the proposed transaction is approved. (d) The applicant is entitled to notice and a hearing contesting the denial by the Board of any application.
S.C. Code Ann. § 34-30-140 — SC Code / Title 34 / Chapter 30 / Article 2 / Section 34-30-140
SECTION 34-30-140. Commencement of business; failure to commence within time limit, extension of time; forfeiture of corporate existence; certificate of authorization.
Status: in_force

A newly chartered state savings bank must commence business within one year after corporate existence begins. A state savings bank that does not commence business within this time, forfeits its corporate existence, unless the board, before the expiration of the one-year period, approves an extension of the time within which the state savings bank may commence business, upon a written request stating the reasons for the request. Upon forfeiture, the articles of incorporation expire and action taken in connection with the incorporation and chartering of the state savings bank, with the exception of fees paid to the board, becomes null and void. The board shall determine if a state savings bank has failed to commence business within one year, without extension as provided in this section, and shall notify the Secretary of State and the register of deeds in the county in which the state savings bank is located that the articles of incorporation have expired. If the board finds that the state savings bank has in good faith complied with all the requirements of law and all conditions imposed, and that the state savings bank's deposit accounts are properly insured, it shall promptly issue a certificate of authorization to transact a general state savings bank business.
S.C. Code Ann. § 34-21-20 — SC Code / Title 34 / Chapter 21 / Article 1 / Section 34-21-20
SECTION 34-21-20. Examination; rules and regulations.
Status: in_force

All state chartered banks, building and loan associations, savings associations, savings and loan associations, savings banks, trust companies, and fiduciary corporations authorized to conduct a trust business in this State are subject to examination by the State Board of Financial Institutions and are further subject to rules and regulations promulgated by the Board.
S.C. Code Ann. § 34-28-810 — SC Code / Title 34 / Chapter 28 / Article 9 / Section 34-28-810
SECTION 34-28-810. Federal savings and loan associations.
Status: in_force

Federal savings and loan associations, which are incorporated pursuant to the laws of the United States and the principal place of business of which is located within this State, are not foreign corporations or foreign associations. Unless federal laws or regulations provide otherwise, these federal associations and the members or stockholders thereof shall possess all of the rights, powers, privileges, benefits, immunities, and exemptions that are provided by the laws of this State for associations organized under the laws of this State and for the members or stockholders thereof. This provision is additional and supplemental to any provision which, by specific reference, is applicable to federal associations and the members or stockholders thereof.
S.C. Code Ann. § 34-29-210 — SC Code / Title 34 / Chapter 29 / Section 34-29-210
SECTION 34-29-210. Appointment of Director as agent for service of process.
Status: in_force

Every person prior to being licensed under this chapter shall appoint, in writing, the Director and his successors in office to be its true and lawful attorney upon whom all legal process in any action or proceeding against it may be served and in such writing shall agree that any lawful process against it which is served upon such attorney shall be of the same legal force and validity as if served upon the company and that the authority shall continue in force so long as any liability remains outstanding in the State. Copies of such appointment certified by the Director, shall be deemed sufficient evidence thereof and shall be admitted in evidence with the same force and effect as the original thereof might be admitted.
S.C. Code Ann. § 34-28-650 — SC Code / Title 34 / Chapter 28 / Article 7 / Section 34-28-650
SECTION 34-28-650. Adverse claim to deposit account.
Status: in_force

Notice to any association of an adverse claim to a deposit account on the books of the association to the credit of any person does not cause the association to recognize the adverse claimant unless the adverse claimant also either: (1) procures a restraining order, injunction, or other appropriate process against the association from a court in a case therein instituted by him wherein the person to whose credit the account stands is made a party and served with process; or (2) execute to the association, in a form and amount and with sureties acceptable to it, a bond indemnifying the association from any and against all liability, loss, damage, costs, and expenses, for and on account of the payment of the adverse claim or the dishonor of any draft or other order by the person to whose credit the account stands on the books of the association.
S.C. Code Ann. § 34-30-1730 — SC Code / Title 34 / Chapter 30 / Article 8 / Section 34-30-1730
SECTION 34-30-1730. Authorization of board and officers to borrow money.
Status: in_force

A state savings bank, in its articles of incorporation or in its bylaws, may authorize the board of directors to borrow money, and the board of directors, by resolution adopted by a vote of at least two-thirds of the entire board duly recorded in the minutes, may authorize the officers of the savings bank to borrow money for the savings bank on terms and conditions as the board considers proper.
S.C. Code Ann. § 34-41-100 — SC Code / Title 34 / Chapter 41 / Section 34-41-100
SECTION 34-41-100. Orders to cease and desist violations; hearing.
Status: in_force

If the board determines that a person required to be licensed pursuant to this chapter has violated this chapter or regulations promulgated pursuant to this chapter, the board, upon notice and opportunity for hearing in accordance with the Administrative Procedures Act, may order the person to cease and desist from the violations and to comply with this chapter. The board may designate a hearing officer or hearing panel to conduct hearings or take other action as necessary pursuant to this section and may seek the assistance of the Attorney General or the Department of Consumer Affairs in enforcing compliance with this chapter. The board may enforce compliance with an order issued pursuant to this section by the imposition and collection of civil penalties authorized pursuant to this chapter.
S.C. Code Ann. § 34-3-210 — SC Code / Title 34 / Chapter 3 / Article 3 / Section 34-3-210
SECTION 34-3-210. General powers of banking corporation.
Status: in_force

Every banking corporation may: (1) Receive and pay out the lawful currency of the country; (2) Deal in exchange, gold and silver coin, bullion, uncurrent paper, public and other securities and stocks of other corporations; (3) Purchase and hold such real estate and personal property as (a) may be conveyed to it to secure debts to the corporation, (b) may be sold under execution to satisfy debts due in whole or in part to the corporation or (c) may be deemed necessary or convenient for the transaction of its business, and sell and dispose of such real estate and personal property at pleasure; (4) Discount notes, bills of exchange, bonds and other evidences of debt and lend money on such terms as may be agreed on, subject to the usury laws of the State; (5) Receive on deposit moneys on such terms as may be agreed on with the depositor and issue certificates therefor, negotiable or assignable in such way as may be stipulated in the certificates; (6) Sue and be sued and plead and be impleaded in any court of this State; (7) Adopt and use a corporate seal and alter it at its pleasure; and (8) Adopt all such bylaws for the general management and direction of the business and affairs of the corporation, not inconsistent with the laws of the United States and of this State, as may be deemed proper, and add to, alter or amend them from time to time as may be desired; And shall have generally all the rights, powers and privileges in law incident or appertaining to such corporations.
S.C. Code Ann. § 34-28-380 — SC Code / Title 34 / Chapter 28 / Article 4 / Section 34-28-380
SECTION 34-28-380. Registration of association; reports; regulations.
Status: in_force

(a) Each South Carolina association, South Carolina savings and loan holding company, Southern Region association controlling a South Carolina association, and Southern Region savings and loan holding company controlling a South Carolina association that engages in a transaction which requires approval of the Board pursuant to Section 34-28-310, shall, within thirty days after approval of the transaction, initially register and file annually with the Board on forms prescribed by the Board which shall include information with respect to the financial condition and operations, management, and relations between applicable associations and savings and loan holding companies, and related matters, as the Board may consider necessary or appropriate to carry out the purposes of these sections. (b) The Board may require reports under oath to keep it informed as to whether the provisions of these sections and the regulations and orders issued under these provisions have been complied with, and the Board may, to the extent authorized by law, make examinations of each association or savings and loan holding company required to be registered pursuant to subsection (a) of this section and any service corporation or subsidiary of the association, the cost of which must be assessed against and paid by the association. (c) The Board may enter into cooperative and reciprocal agreements with the association and savings and loan holding company regulatory authorities of any state or of the United States for the periodic examination of associations and savings and loan holding companies that are required to be registered under the provisions of subsection (a) of this section and may accept reports of examinations and other records from the authorities in lieu of conducting its own examinations. The Board may enter into joint actions with other regulatory bodies having concurrent jurisdiction or may enter into the actions independently to carry out its responsibilities under these sections and assure compliance with the laws of this State. (d) Any association or savings and loan holding company required to be registered under this act that is not qualified to do business in this State shall advise the Board of the name and address of its registered agent located in South Carolina who is authorized to accept service of process on its behalf and shall also promptly advise the Board of any changes in the office and service of process agent it has filed with the Board. (e) The Board may establish regulations to carry out the purposes of Sections 34-28-310 through 34-28-390.
S.C. Code Ann. § 34-26-340 — SC Code / Title 34 / Chapter 26 / Article 3 / Section 34-26-340
SECTION 34-26-340. Name requirements of credit unions.
Status: in_force

(1) The name of every credit union organized under this chapter shall include the phrase "credit union". No credit union may adopt a name either identical to the name of any other credit union doing business in this State or so similar to the name of any other credit union doing business in this State as to be misleading or to cause confusion. (2) No person, other than a credit union incorporated under this chapter, the Federal Credit Union Act, or a credit union authorized to do business in this State under Section 34-26-370, an association of credit unions, or an organization, corporation, or association, whose membership or ownership is primarily limited to credit unions or credit union organizations, may use a name or title containing the phrase "credit union" or any derivation thereof, or represent itself as a credit union or conduct business as a credit union. (3) The board may petition a court of competent jurisdiction to enjoin a violation of this section.
S.C. Code Ann. § 34-30-80 — SC Code / Title 34 / Chapter 30 / Article 2 / Section 34-30-80
SECTION 34-30-80. Proposed mutual state savings banks, proposed stock state savings banks; articles of incorporation.
Status: in_force

(A) The articles of incorporation of a proposed mutual state savings bank must include: (1) the name of the state savings bank, which must not so closely resemble the name of an existing depository institution doing business under the laws of this State as to be likely to mislead the public; (2) the county and city or town where its principal office is located in this State, and the name of its registered agent and the address of its registered office, including county and city or town, and street and number; (3) the period of duration, which may be perpetual. When the articles of incorporation fail to state the period of duration, it is considered perpetual; (4) the purposes for which the state savings bank is organized, limited to purposes permitted under the laws of this State for state savings banks; (5) the minimum amount on deposit in deposit accounts, not less than four million dollars, before the commencement of business; (6) a provision not inconsistent with this chapter and the proper operation of a state savings bank in which the incorporators provide for the regulation of the internal affairs of the state savings bank; (7) the number of directors, not less than five, constituting the initial board of directors, and the name and address of each person who is to serve as a director until the first meeting of members, or until a successor is elected and qualified; (8) the names and addresses of the incorporators. (B) The articles of incorporation of a proposed stock state savings bank must include: (1) the name of the state savings bank, which must not so closely resemble the name of an existing depository institution doing business under the laws of this State as to be likely to mislead the public; (2) the county and city or town where its principal office is located in this State, and the name of its registered agent and the address of its registered office, including county and city or town, and street and number; (3) the period of duration, which may be perpetual. When the articles of incorporation fail to state the period of duration, it is considered perpetual; (4) the purposes for which the state savings bank is organized, limited to purposes permitted under the laws of this State for state savings bank; (5) with respect to the shares of stock which the state savings bank has authority to issue, if the stock is to: (a) have a par value, the number of shares of stock and the par value of each; (b) be without par value, the number of shares of stock; or (c) be divided into classes, or into series within a class of preferred or special shares of stock, the articles of incorporation must also designate each class and each series within a class, and provide a statement of the preferences, limitations, and relative rights of the stock of each class or series; (6) the minimum amount of consideration to be received for its shares of stock before the commencement of business; (7) a statement as to whether stockholders have preemptive rights to acquire additional or treasury shares of the state savings bank; (8) a provision not inconsistent with this chapter or the proper operation of a state savings bank, in which the incorporators provide for the regulation of the internal affairs of the state savings bank; (9) the number of directors, not less than five, constituting the initial board of directors, and the name and address of each person who is to serve as a director until the first meeting of the stockholders, or until a successor is elected and qualified; and (10) the names and addresses of the incorporators. (C) The articles of incorporation may include other provisions authorized or permitted to be in the articles of incorporation of a corporation by Chapters 1 to 25 of Title 33.
S.C. Code Ann. § 34-5-60 — SC Code / Title 34 / Chapter 5 / Section 34-5-60
SECTION 34-5-60. Expenses of conservator; attorney.
Status: in_force

All expenses of any such conservatorship shall be paid out of the assets of such bank and shall be a lien thereon which shall be prior to any other lien. The conservator shall receive as salary an amount to be fixed by the Board. The conservator may employ an attorney or attorneys at such reasonable compensation as may be agreed upon; provided, that such employment shall be subject to the written approval of the Board.
S.C. Code Ann. § 34-11-70 — SC Code / Title 34 / Chapter 11 / Section 34-11-70
SECTION 34-11-70. Prima facie evidence of fraudulent intent in drawing check, draft, or other written order, reasonable and probable cause for prosecution.
Status: in_force

(a) When a check, a draft, or other written order is not paid by the drawee because the maker or drawer did not have an account with or sufficient funds on deposit with the bank or the person upon which it was drawn when presented or the draft, check, or other written order has an incorrect or insufficient signature on it, and the maker or drawer does not pay the amount due on it, together with a service charge of thirty dollars, within ten days after written notice has been sent by certified mail to the address printed on the check or given at the time it is tendered or provided on a check-cashing identification card stating that payment was refused upon the instrument, then it constitutes prima facie evidence of fraudulent intent against the maker. Service charges collected pursuant to this section must be paid to the payee of the instrument. (1) For purposes of subsection (a), notice must be given by mailing the notice with postage prepaid addressed to the person at the address as printed or written on the instrument. The giving of notice by mail is complete upon the expiration of ten days after the deposit of the notice in the mail. A certificate by the payee that the notice has been sent as required by this section is presumptive proof that the requirements as to notice have been met, regardless of the fact that the notice actually might not have been received by the addressee. The form of notice must be substantially as follows: "You are notified that a check or instrument, numbered ___, issued by you on ___ (date), drawn upon ___ (name of bank), and payable to ___, has been dishonored. Pursuant to South Carolina law, you have ten days from the date this notice was mailed to tender payment of the full amount of the check or instrument plus a service charge of thirty dollars, the total amount due being ___ dollars and ___ cents. Unless this amount is paid in full within the specified time above, the holder of the check or instrument may turn over the dishonored check or instrument and all other available information relating to this incident to the solicitor or other appropriate officer for criminal prosecution." (2) When a person instituting prosecution gives notice in substantially similar form provided in item (1) to the person upon which the instrument was drawn and waits ten days from the date notice is mailed before instituting the criminal proceedings, there arises a presumption that the prosecution was instituted for reasonable and probable cause, and the person instituting prosecution is immune from civil liability for the giving of the notice. (3) A service charge of not more thirty dollars is payable by the drawer of a draft, a check, or other written order to the payee of the instrument when the draft, check, or other written order is presented for payment in whole or in part of a then existing debt including, but not limited to, consumer credit transactions, and is dishonored. This service charge is solely to compensate the payee of the instrument for incurred expenses in processing the dishonored instrument and is not related to a presumption of fraud so that it is not necessary to issue the notice to the person at the address as printed on the instrument set forth in items (1) and (2). (b) Any court, including magistrate's, may dismiss a case under the provisions of this chapter for want of prosecution. When any prosecutions are initiated under this chapter, the party applying for the warrant is held liable for all reasonable administrative costs accruing not to exceed forty-one dollars if the case is dismissed for want of prosecution. Unless waived by the court, the party applying for the warrant shall notify, orally or otherwise, the court not less than twenty-four hours before the date and time set for trial that full restitution has been made in connection with the warrant, and the notification relieves that party of the responsibility of prosecution. (c) Any court, including magistrates, may dismiss any prosecution initiated pursuant to the provisions of this chapter on satisfactory proof of restitution and payment by the defendant of all administrative costs accruing not to exceed forty-one dollars submitted before the date set for trial after the issuance of a warrant. (d) For purposes of this chapter, subsequent persons receiving a check, draft, or other written order by endorsement from the original payee or a successor endorsee have the same rights that the original payee has against the maker of the instrument, if the maker of the instrument has the same defenses against subsequent persons as he may have had against the original payee. However, the remedies available under this chapter may be exercised only by one party in interest. Editor's Note 2000 Act No. 226 SECTION 1, effective July 1, 2000, reads as follows: "This act is known and may be cited as the 'Magistrates Court Reform Act of 2000'." Effect of Amendment The 1987 amendment added subsection (d). The 1988 amendment in subsection (a) increased the service charge from ten dollars to fifteen, lowered from fifteen to ten the number of days required for notice, deleted item (3), and made grammatical changes throughout the section. The 1989 amendment added item (3) in subsection (a). The 1991 amendment, in subsection (a), increased the service charge from fifteen to twenty dollars, and made grammatical changes. The 1995 amendment increased the service charge from twenty to twenty-five dollars. The 1999 amendment revised service charges in three locations in subsection (a) from "twenty-five dollars" to "twenty-five, or, thirty dollars for checks over one hundred dollars". The 2000 amendment, in subsections (b) and (c), increased the fee for administrative costs from $25.00 to $41.00. The 2002 amendment, in subsection (a), deleted in three places "twenty-five, or," and "for checks over one hundred dollars" preceding and following "thirty dollars", respectively.
S.C. Code Ann. § 34-26-940 — SC Code / Title 34 / Chapter 26 / Article 9 / Section 34-26-940
SECTION 34-26-940. Retirement, pension, profit-sharing, and deferred income accounts.
Status: in_force

A credit union may act as trustee or custodian of any form of retirement, pension, profit-sharing, or deferred income accounts authorized under federal law or the laws of this State including, but not limited to, individual retirement accounts, pension funds of self-employed individuals, and pension funds of a company or organization whose employees or members are eligible for membership in the credit union.
S.C. Code Ann. § 34-30-1960 — SC Code / Title 34 / Chapter 30 / Article 9 / Section 34-30-1960
SECTION 34-30-1960. Acquisition of control of state savings bank or holding company; supervision of holding company; rules or regulations.
Status: in_force

A company or person may not acquire control of a state savings bank or its holding company without the prior approval of the board. Holding companies for state savings banks are under the supervision of the board. The board shall exercise all powers and responsibilities with respect to holding companies which the board exercises with respect to state savings banks. The board may adopt rules or regulations, definitions, and forms as necessary for the supervision and regulation of holding companies for and persons seeking to acquire control of a state savings bank and for the protection of the public investing in state savings bank holding companies including, without limitation, with respect to presumptions of control.
S.C. Code Ann. § 34-30-590 — SC Code / Title 34 / Chapter 30 / Article 4 / Section 34-30-590
SECTION 34-30-590. Confidentiality of records or information; disclosure of specific information; exchange of information; violations by state officials, liability; copy fees.
Status: in_force

(A) The following records or information of the board, or its agents, are confidential and must not be disclosed: (1) information obtained or compiled in preparation of or anticipation of, or during an examination, audit, or investigation of any association; (2) information reflecting the specific collateral given by a named borrower, the specific amount of stock owned by a named stockholder, a stockholder list supplied to the board under Section 34-30-170, or specific deposit accounts held by a named member or customer; (3) information obtained, prepared, or compiled during or as a result of an examination, audit, or investigation of a state savings bank by an agency of the United States; (4) information and reports submitted by state savings banks to federal regulatory agencies; (5) information and records regarding complaints from the public received by the board that concern state savings banks when the complaint could result in an investigation, except to the management of those state savings banks; and (6) other letters, reports, memoranda, recordings, charts, documents, or records that disclose information of which disclosure is prohibited in this subsection. (B) A court of competent jurisdiction may order the disclosure of specific information. (C) Nothing in this section prevents the exchange of information relating to state savings banks and their business with the representatives of the agencies of this State, other states, or of the United States, or with reserve or insuring agencies for state savings banks. The private business and affairs of an individual or company must not be disclosed by a person employed by the board, a member of the board, or by a person with whom information is exchanged under the authority of this subsection. (D) An official employee of this State violating this section is liable to a person injured by disclosure of the confidential information for all damages sustained. Penalties provided are not exclusive of other penalties. (E) The fee for copies of disclosed information must be set by the board.
S.C. Code Ann. § 34-11-130 — SC Code / Title 34 / Chapter 11 / Section 34-11-130
SECTION 34-11-130. Payment of withdrawal value of account to beneficiary upon death of trustee.
Status: in_force

Subject to the provisions of Sections 62-6-101, et seq., of the South Carolina Probate Code, when an account, including a certificate of deposit, is opened by a person describing himself in the account title as trustee or custodian for another and no other or further notice of the existence and terms of a legal and valid trust than the description is given in writing to a bank, banking institution, or other depository transacting business in this State, in the event of the death of the person so described as trustee or custodian the withdrawal value of the account or any part thereof together with any earnings thereon may be paid to the person for whom the account title indicates the account was opened. The payment or delivery to any beneficiary, beneficiaries, or designated person, or a receipt or acquittance signed by any beneficiary, beneficiaries, or designated person, is for any payment or delivery a valid and sufficient release and discharge of an institution for the payment or delivery made. Effect of Amendment The 1990 amendment added "Subject to the provisions of Sections 62-6-101 et seq. of the South Carolina Probate Code," at the beginning of the section.
S.C. Code Ann. § 34-7-10 — SC Code / Title 34 / Chapter 7 / Section 34-7-10
SECTION 34-7-10. Reorganization of banks adjudged insolvent.
Status: in_force

When any banking institution organized and operating under the laws of this State has been duly adjudged insolvent in an action or special proceeding duly instituted in the court of common pleas of this State, the court in such action may approve a plan of reorganization for the reopening of any such bank or banking institution upon compliance with the procedure and requirements set forth in Sections 34-7-20 to 34-7-70.
S.C. Code Ann. § 34-29-140 — SC Code / Title 34 / Chapter 29 / Section 34-29-140
SECTION 34-29-140. Loans; charges; installments; maturity; prohibitions; penalties.
Status: in_force

(a) Maximum finance charges permitted; initial charge. A licensee under this chapter may lend any sum of money not exceeding seventy-five hundred dollars, excluding charges, and notwithstanding the fact that the loan may be repayable in substantially equal monthly installments, may contract for and receive finance charges not to exceed: (1) Loans Not Exceeding One Hundred Fifty Dollars. On loans with cash advance not exceeding one hundred fifty dollars, a charge not to exceed two dollars and fifty cents per month if contracted for in writing by the borrower, may be charged in lieu of interest, and such loans may be repaid in weekly payments, with four weeks constituting a month. (2) Loans Over One Hundred Fifty Dollars But Not Exceeding Two Thousand Dollars. On loans with a cash advance exceeding one hundred fifty dollars but not exceeding two thousand dollars, twenty-five dollars per one hundred dollars on that portion of the cash advance not exceeding six hundred dollars; eighteen dollars per one hundred dollars on that portion of the cash advance exceeding six hundred dollars but not exceeding one thousand dollars; and twelve dollars per one hundred dollars on that portion of the cash advance exceeding one thousand dollars but not exceeding two thousand dollars when the loan is made payable over a period of one year, and proportionately at those rates over a longer or shorter period of time. In addition to the finance charges authorized in subparagraphs (1) and (2) of this subsection (a), a licensee under this chapter may contract for and receive an initial charge in such an amount as may be agreed upon in writing with the borrower, but not to exceed seven percent of the cash advance or fifty-six dollars, whichever is the lesser, for the expenses including, but not limited to, any attorney's fees and broker's fees, then or theretofore incurred and the services then or theretofore rendered by the lender incident to the loan or the security therefor, such as investigating the moral and financial standing of the borrower, investigating the security, title and similar investigations and for closing the loan, including any and all expenses incurred or services rendered at the request of the borrower or on his behalf in connection with the loan. Such initial charge may not be contracted for and received on any renewal loan more often than once in a three-month period. Upon any loan made to the borrower of a sum in excess of the amount on which the initial charge may have been charged within the three-month period, then the initial charge may be contracted for and received on the excess. The initial charge on loans not exceeding one hundred fifty dollars is a one-time charge, not a per annum charge and is not subject to refund. The initial charge on loans in excess of one hundred fifty dollars is a one-time charge, not a per annum charge and shall be subject to refund upon prepayment of the loan. The amount of the refund or refund credit shall represent at least as great a proportion of the total charges as the sum of the periodical time balances after the date of the prepayment bears to the sum of all periodical time balances under the schedule of payments in the loan contract. (3) Loans Over Two Thousand But Not Over Seventy-Five Hundred Dollars. On loans with a cash advance exceeding two thousand dollars but not exceeding seventy-five hundred dollars, the finance charges authorized in subparagraphs (1) and (2) of this subsection (a) shall not be permitted on any part of the loan. On such loans a licensee under this chapter may contract for and receive finance charges not to exceed nine dollars per one hundred dollars of the cash advance, when the loan is made payable over a period of one year, and proportionately at that rate over a longer or shorter period. In addition to the finance charges authorized in subparagraph (3) of this subsection (a), a licensee under this chapter may contract for and receive an initial charge in such an amount as may be agreed upon in writing with the borrower, but not to exceed five percent of the cash advance or two hundred dollars, whichever is lesser, for the expenses including, but not limited to, any attorney's fees and broker's fees, then or theretofore incurred and the services then and theretofore rendered by the lender incident to the loan or the security therefor, such as investigating the morals and financial standing of the borrower, investigating the security, title and similar investigations and for closing the loan, including any and all expenses incurred or services rendered at the request of the borrower or on his behalf in connection with the loan. The initial charge may not be contracted for or received on any renewal loan made to the same borrower more often than once in a twelve-month period. Upon any loan made to the borrower of a sum in excess of the amount on which the initial charge may have been charged within the twelve-month period, then the initial charge may be contracted for and received on the excess. If a loan is renewed or financed after the expiration of the initial twelve-month period, the initial charge may not exceed two percent of the cash advance. The initial charge is a one-time charge, not a per annum charge and shall be subject to refund upon prepayment of the loan. The amount of the refund or refund credit shall represent at least as great a proportion of the total charges as the sum of the periodical time balances after the date of the prepayment bears to the sum of all periodical time balances under the schedule of payments in the loan contract. (b) Installment payments and maximum term of loan contract. - The payments on any loan governed by this chapter shall be in substantially equal, consecutive monthly installments and shall be in an amount not less than ten dollars per month, exclusive of finance charges. The final installment shall mature within the time limits set out below: (c) Payment prior to maturity. - Any balance to become payable under any loan contract made under the provisions of this chapter may be repaid in full prior to maturity. When such balance is so repaid before maturity, whether by payment in cash, a new loan, renewal or otherwise, the unearned portion of the charges shall be refunded or credited to the borrower. The amount of the refund or refund credit shall represent at least as great a proportion of the total charges as the sum of the periodical time balances after the date of the prepayment bears to the sum of all periodical time balances under the schedule of payments in the loan contract; provided, that if a loan is renewed or refinanced during the first ninety days of the loan contract period, the refund shall be on a pro rata basis. (d) Splitting of loan prohibited. - No licensee shall induce or permit any person, nor any husband and wife, jointly or severally, to become obligated directly or contingently, or both, under more than one contract of loan at the same time, for the sole purpose of obtaining a higher rate of interest or greater charge than would otherwise be permitted by this chapter. (e) Delinquent charge; penalties for excessive charges. In addition to the charges and fees provided for by this chapter, no further or other amount may be charged, contracted for, or received, directly or indirectly, except that a licensee, if agreed to in writing, may contract for, impose, and collect a delinquent charge of five cents for each full dollar of an installment that is delinquent for ten or more days. The charge may be imposed only once on each delinquent installment and, if a portion of an installment is delinquent, the delinquent charge may be imposed only once on that portion of the installment that is delinquent. A lender may contract for and receive a minimum delinquency charge of five dollars, even if the charge exceeds five percent of the unpaid amount of the installment. The restriction does not apply to official fees as defined in Section 37-1-301(17), or actual and reasonable attorney fees as determined by the court in which suit is filed and court costs incurred in the collection or to the actual and reasonable expenses of repossession, storing, and selling of property pledged as security on a contract in default, or insurance premiums or identifiable charges authorized by this chapter. If an amount in excess of the charges permitted by this chapter is charged, contracted for, or received, except as the result of an accidental or bona fide error, the contract of loan is void, and the licensee has no right to collect or receive any principal, interest, charge, or recompense. The licensee and its several members, officers, directors, and agents who participated in the violation are guilty of a misdemeanor and, upon conviction, must be fined not more than five hundred and not less than two hundred dollars or imprisoned not less than thirty days nor more than six months. (f) Deferment charge. - If, as of an installment due date, the payment date of all wholly unpaid installments is deferred one or more full months and the maturity of the contract is extended for a corresponding period, the licensee may charge and collect a deferment charge not exceeding one percent per month of the outstanding balance for each month of the deferment period, provided that two percent per month of the outstanding balance for each month of the deferment period may be charged on loans where the original cash advance is five hundred dollars or less. The deferment period is that period during which no payment is made or required by reason of such deferment, except that no deferment made pursuant to this subsection shall extend the maturity of any contract made under this chapter for more than two months during any twelve-months period. The deferment charge may be collected at the time of deferment or at any time thereafter. The portion of the charges contracted for under Section 34-29-140 (a) and (d) applicable to each deferred balance and installment period following the deferment period shall remain the same as that applicable to such balance and period under the original loan contract. No installment on which a delinquent charge has been collected, or on account of which any partial payment has been made, shall be deferred or included in the computation of the deferment charge. If a loan is prepaid in full during the deferment period, the borrower shall receive, in addition to the refund required under Section 34-29-140 (c), a refund of that portion of the deferment charge applicable to any unexpired full month or months of such deferment period. Provided, however, no deferment charge for a deferment of a period of one month or less shall exceed ten dollars. (g) Charges not deducted in advance. - Finance charges and initial charges made under this chapter shall not be paid, deducted, or received in advance, but shall be added to the cash advance. (h) Loans to purchase real estate prohibited. - A licensee shall not contract for or receive the charges authorized by this chapter, on any loan which is directly or indirectly for the purchase price of real estate or an interest therein and which is secured by a purchase money lien or interest therein; provided, that this paragraph shall not be construed to prohibit a licensee from taking a nonpurchase money lien, whether primary or secondary, on real estate as security for a loan made in compliance with this chapter, and contracting for or receiving on such loan the charges authorized by this chapter. (i) In addition to all other charges authorized by this section, a licensee may charge and add to the gross note a maintenance fee of two dollars for each month for the term of the loan for each loan account. If the loan is prepaid, the maintenance fee must be refunded pro rata with the unexpired term of the loan and a part of a month must be treated like a full month. (j) Change of Dollar Amounts. - The dollar amounts provided in subsections (a)(2) and (a)(3) of this section shall change from time to time in the manner provided by Section 37-1-109, except that the index for December, 1991, is the Reference Base Index for purposes of adjustments to the dollar amounts of this section. The Chairman of the State Board of Financial Institutions has the same powers and duties in regard to the adjustments to the dollar amounts of subsection (a)(2) of this section as does the Administrator of the Department of Consumer Affairs with adjustments to the dollar amounts required in Section 37-1-109. (k) Dollar Limits on Renewals. A licensee under this chapter may not renew a loan more than one time during any fifteen-month period where the actual dollars given to the customer is less than ten percent of the net outstanding loan balance at the time of renewal. Effect of Amendment The 1991 amendment in (a)(2) increased the maximum dollar amount of loans covered from not exceeding one thousand dollars to not exceeding two thousand dollars, and doubled all the dollar amounts of the cash advances or portions of cash advances referred to in the section; in the second paragraph of (a)(2) substituted fifty-six for twenty-eight dollars; in (a)(3) substituted two thousand dollars for one thousand dollars; added Subsection (j); and made grammatical changes. The 1995 amendment, by SECTION 2, added subsection (k); and, by SECTION 3, revised subsection (a) to provide for limitations on loan renewals. The 2001 amendment in subsection (e) changed "five or more days" to "ten or more days", inserted the sentence relating to contracting for a minimum delinquency charge of five dollars, and changed "Section 37-1-301(10)" to "Section 37-1-301(17)"; in subsection (i) increased the maximum maintenance fee from one dollar to two dollars for each month; and made language and punctuation changes throughout subsections (e) and (i).
S.C. Code Ann. § 34-30-320 — SC Code / Title 34 / Chapter 30 / Article 3 / Section 34-30-320
SECTION 34-30-320. Conversion to federal charter with change from stock to mutual, or mutual to stock; conversion to state charter with change from mutual to stock.
Status: in_force

(A) If a state charter converts to a federal charter in which the form of organization also is changed from stock to mutual, or from mutual to stock, the conversion shall proceed initially as a charter conversion under Section 34-30-310. After the state savings bank becomes a federal depository institution, the federal regulatory authority governs the continuing conversion of the form of ownership of the newly converted depository institution. (B) If a federal charter converts to a state charter conversion in which the form of organization also is changed from mutual to stock, the conversion proceeds initially as a charter conversion under Section 34-30-300. After the federal depository institution becomes a state savings bank, Section 34-30-330 or 34-30-340 governs the continuing conversion of the form of ownership of the newly converted state savings bank. (C) This section does not apply to the simultaneous charter and organization conversion accomplished in conjunction with a merger under Section 34-30-360.
S.C. Code Ann. § 34-29-165 — SC Code / Title 34 / Chapter 29 / Section 34-29-165
SECTION 34-29-165. Evidence of insurability.
Status: in_force

(1) Consumer credit insurance provided by a creditor may be subject to the furnishing of evidence of insurability satisfactory to the insurer. Whether or not such evidence is required, the term of the insurance shall commence when the debtor becomes obligated to the creditor or when the debtor applies for the insurance, whichever is later, except as follows: (a) if any required evidence of insurability is not furnished until more than thirty days after the term would otherwise commence, the term may commence on the date when the insurer determines the evidence to be satisfactory; or (b) if the creditor provides insurance not previously provided covering debts previously created, the term may commence on the effective date of the policy. (2) If evidence of insurability is required and the insured's eligibility is to be determined by inquiries about existing or past medical conditions, the medical conditions inquired about shall be clearly and conspicuously disclosed in plain language on forms promulgated or approved by the Department of Insurance which achieve a grade level score of no higher than seventh grade on the Flesch-Kincaid readability test. The disclosure shall be made in a clear and conspicuous manner in bold type, with space for the insured to personally acknowledge the disclosure by a dated signature or initial immediately adjacent to the disclosure. Insurance coverage shall not be denied on the basis of any medical condition not so disclosed. Coverage shall not be denied if the insured's dated acknowledgment does not appear on the form.
S.C. Code Ann. § 34-21-350 — SC Code / Title 34 / Chapter 21 / Article 3 / Section 34-21-350
SECTION 34-21-350. Records of investments.
Status: in_force

The trust institution shall designate clearly upon its records the names of the fiduciary accounts on behalf of which the trust institution, as fiduciary or cofiduciary, owns a participation in the common trust fund, and the extent of the interest of such fiduciary accounts therein.
S.C. Code Ann. § 34-26-900 — SC Code / Title 34 / Chapter 26 / Article 9 / Section 34-26-900
SECTION 34-26-900. Provision of member services; in general.
Status: in_force

A credit union may purchase or make available insurance for its members.
S.C. Code Ann. § 34-1-200 — SC Code / Title 34 / Chapter 1 / Section 34-1-200
SECTION 34-1-200. Requirements for issuing a bank charter; revocation of charter; appeals; dissolution and liquidation.
Status: in_force

(A) A proposed bank, building and loan association, savings and loan association, or savings bank may not engage in business except as allowed under Section 34-1-160 until the board approves the charter. In addition to the requirements set forth in Section 34-1-180, the board may not issue the charter until the board is satisfied that the proposed bank, building and loan association, savings and loan association, or savings bank has done each of the following: (1) received payment in United States currency for the purchase of shares and will have required satisfactory capital upon commencing business, in each case in at least the amount required by the board's order approving the application; (2) elected the proposed officers and directors named in the application or other officers and directors approved by the board; (3) secured deposit insurance from the FDIC; (4) complied with all requirements of the board's order approving the application for a charter; and (5) made preparations that would indicate readiness to commence the business of banking in the reasonable discretion of the board upon a preopening examination. (B) The charter approved by the board must set forth any trust powers of the bank, building and loan association, savings and loan association, or savings bank that may be full or partial trust powers. (C) If a bank, building and loan association, savings and loan association, or savings bank does not open and engage in the business of banking within six months after the date its charter is issued or within such longer period as may be permitted by the board, the board shall revoke the charter. (D) If the board determines that a charter should not be issued following board approval, the board shall issue an order revoking the charter, and the applicant may appeal that decision to the board. If the board upholds the revocation, the applicant may appeal the revocation to the Administrative Law Court pursuant to the rules of that court. (E) Following the exhaustion of all appeals, the board may dissolve and liquidate the proposed bank, building and loan association, savings and loan association, or savings bank, or order the organizers to dissolve and liquidate the proposed bank, building and loan association, savings and loan association, or savings bank, if any one of the following occurs: (1) the board does not issue a charter; (2) the board denies approval of a charter; or (3) the charter is revoked by the board pursuant to subsection (C) or other applicable law.
S.C. Code Ann. § 34-30-170 — SC Code / Title 34 / Chapter 30 / Article 2 / Section 34-30-170
SECTION 34-30-170. Establishment of branch offices; application, fee; approval or denial; corporate office.
Status: in_force

(A) A state savings bank may apply to the board for permission to establish a branch office. The application must be in the form prescribed by the board and accompanied by the proper branch application fee. The board shall approve or deny branch applications within one hundred twenty days of filing. Nothing in this chapter prohibits a state savings bank from establishing a corporate office or offices upon prior written notification to the board. A corporate office must be established primarily for the purpose of managing the administrative functions of the state savings bank and service corporations and must not accept deposits or issue payment for withdrawals of certificates or accounts. (B) The board shall approve a branch application when: (1) the applicant has evidenced financial responsibility; (2) the applicant has sufficient net worth as determined by the board; and (3) the applicant has an acceptable internal control system that includes certain basic internal control requirements essential to the protection of assets and the promotion of operational efficiency regardless of the size of the applicant. (C) Upon receipt of a branch application, the board shall examine or cause to be examined all the relevant facts connected with the establishment of the proposed branch office. If it appears to the satisfaction of the board that the applicant has complied with all the requirements in this section and the regulations for the establishment of a branch office and that the state savings bank is otherwise lawfully entitled to establish the branch office, then the board shall approve the branch application.
S.C. Code Ann. § 34-28-670 — SC Code / Title 34 / Chapter 28 / Article 7 / Section 34-28-670
SECTION 34-28-670. Redemption of savings accounts.
Status: in_force

At any time funds are on hand for that purpose, the association has the right to redeem by lot or otherwise, as the board of directors may determine, all or any part of any of its savings accounts on an earnings date by giving thirty days' notice by registered mail addressed to each affected account holder at his last address as recorded on the books of the association. No association may redeem any of its savings accounts when the association is in an impaired condition or when it has applications for withdrawal which have been on file for more than thirty days and have not been reached for payment. The redemption price of savings accounts redeemed must be the full value of the account redeemed, as determined by the board of directors, but in no event may the redemption price be less than the withdrawal value. If this notice of redemption has been given, and if on or before the redemption date the funds necessary for the redemption have been set aside so as to be available therefor, earnings upon the accounts called for redemption shall cease to accrue from and after the earnings date specified as the redemption date, and all rights with respect to these accounts shall terminate after the redemption date, except the right of an account holder of record to receive the redemption price without interest. All savings account evidences of ownership evidencing former savings accounts which have been validly called for redemption must be tendered for payment within ten years from the date of redemption designated in the redemption notice; otherwise they must be canceled, the funds set aside for this account shall become the property of the State, and all claims of these former account holders against the association are barred forever.
S.C. Code Ann. § 34-28-130 — SC Code / Title 34 / Chapter 28 / Article 2 / Section 34-28-130
SECTION 34-28-130. Articles of incorporation content; approval by board; amendment.
Status: in_force

(1) The Articles of Incorporation of an association shall contain: (a) The name of the proposed association, which shall comply with Section 34-28-110, and in the case of a stock-owned association must contain the word "corporation", "incorporated", "limited", or "company" or an abbreviation thereof sufficient to distinguish a stock-owned association from a mutual association; (b) The address of the principal office of the association in South Carolina, including the county and municipality where it is located, together with a registered agent for receiving service of process and the address of the agent if it differs from that of the principal office of the association; (c) The period of duration of the corporation which is deemed perpetual unless otherwise stated; (d) The general nature of the business to be transacted or a statement that the association may engage in any activity or business permitted to associations under this chapter and other provisions of Title 34. This statement shall authorize all those activities and business by the association; (e) With respect to a stock-owned association, the amount of capital stock authorized, showing the maximum number of shares of par value common stock and of preferred stock, and of every kind, class, or series of each, together with the distinguishing characteristics and the par value of all shares; (f) The amount of capital with which the association will begin business; (g) The number of directors, which may not be fewer than five, and the names and street addresses of the members of the first board of directors who, unless otherwise provided by the Articles of Incorporation, the bylaws, or this chapter, shall hold office for the term set forth in Section 34-28-420(4) or until their successors are elected or appointed and have qualified; (h) The names, and addresses of all the incorporators, not less than ten in number; (i) Any other provisions authorized or permitted to be in the Articles of Incorporation of a corporation by Chapters 1 to 25 of Title 33 which the incorporators elect to include therein. (2) The Articles of Incorporation must be in writing, signed by all the incorporators, and submitted to the Board for its approval. Upon approval, the Board shall place the following legend upon the Articles of Incorporation "Approved by the Board of Financial Institutions this ___ day of ___, ___ (herein the name and signature of the Chairman of the Board)". Thereafter, the Articles of Incorporation must be filed with the Secretary of State. (3) An association shall not amend its Articles of Incorporation without the prior written approval of the Board.
S.C. Code Ann. § 34-30-1050 — SC Code / Title 34 / Chapter 30 / Article 6 / Section 34-30-1050
SECTION 34-30-1050. Voting rights; production of books of record; majority determination of questions.
Status: in_force

Voting rights in the affairs of a state savings bank may be exercised by members and stockholders by voting either in person or by proxy. In the case of a mutual state savings bank, those entitled to vote are those who are members of record at the end of the calendar month next preceding the date of the meeting, except those who have ceased to be members. In the case of a stock saving bank, the directors may fix a date not more than sixty days and not fewer than ten days before the date set for the meeting as the record date as of which the stockholders of record are entitled to vote. Unless the articles of incorporation provide otherwise, every stockholder of a stock state savings bank, if present in person or voting through a duly authorized proxy at a meeting of stockholders, is entitled to one vote for each share of voting stock recorded in his name on the books of the state savings bank on the record date as to each proposal presented at the meeting. The books of record of stockholders must be produced at any stockholders' meeting upon the request of a stockholder. A majority of all votes cast at a meeting of members or stockholders shall determine any question unless this chapter or the provisions of the South Carolina Business Corporation Act, Chapters 1 to 25 of Title 33, provides otherwise.
S.C. Code Ann. § 34-28-100 — SC Code / Title 34 / Chapter 28 / Article 2 / Section 34-28-100
SECTION 34-28-100. Application for authority to incorporate; action by Board on application.
Status: reserved

(1) When authorized by the Board as provided in this article, an association may be formed under the laws of this State for the purpose of conducting a general savings and loan business and having all the powers and purposes authorized by this chapter and otherwise by Title 34. (2) A written application for authority to organize an association as provided in subsection (1) must be filed with the Board and include: (a) the proposed corporate name and evidence that the proposed name has been reserved with the Secretary of State; however, evidence that an association has reserved a corporate name with the Secretary of State does not preclude the Board from disapproving the name on the grounds of potential confusion with the name of an existing financial institution; (b) detailed financial and biographical information as the Board may require for each proposed director, chief executive officer, and managing officer; (c) the total amount of the savings account capital or capital stock proposed to be issued, the amount subscribed by each incorporator, and the method to be used to raise any remaining capital required before the proposed association will be authorized to begin business; (d) the name and address of the proposed managing officer and chief executive officer, if known; (e) the community and the street and number, if available, where the proposed association is to be located; and (f) additional information as the Board may reasonably require. The application for authority to organize must be filed with the Board in triplicate and must be accompanied by a nonrefundable filing fee established by the Board. (3)(a) Upon the filing of an application, the Board shall make an investigation of: 1. the character, reputation, financial standing, experience, and business qualifications of the proposed officers and directors; 2. the character, reputation, financial standing, and motives of the incorporator or incorporators in organizing the proposed association; 3. the public need for an association or additional association, as the case may be, in the primary service area where the proposed association is to be located, giving particular consideration to the ability of the primary service area to support both the proposed and all other existing associations in the community in the conduct of profitable operations and to the benefits of competition to the public. (b) Any applicant who files an application which requires an investigation to be conducted outside the State shall reimburse the Board for all costs incurred in the normal course of investigation, which reimbursement must be in addition to the filing fee authorized in this section. (4) The Board shall approve the application unless it finds that one or more of the conditions in (a) through (f) exist: (a) Public convenience and advantage will not be promoted by the establishment of the proposed association. In determining whether an applicant meets this requirement, the Board shall consider all materially relevant factors, including: 1. the location and services proposed to be offered by the applicant and currently offered by existing associations in the primary service area to be served by the applicant; and 2. the primary service area's general economic and demographic characteristics. (b) Local conditions do not indicate reasonable promise of the successful operation of the proposed association and of those associations already established in the primary service area community. In determining whether an applicant meets this requirement, the Board shall consider all materially relevant factors, including: 1. Current economic conditions and the growth potential of the primary service area in which the proposed association intends to locate; and 2. The growth rate, size, financial strength, and operating characteristics of other associations in the primary service area of the proposed association. (c) The proposed officers and directors do not have sufficient experience, ability, standing, and responsibility to indicate reasonable promise of the successful operation of the association. (d) The applicant's proposed capital structure is inadequate. In no event may the minimum capital required be less than three million dollars or that larger amount as may be specified in a regulation issued by the Board. (e) The name of the proposed association does not comply with Section 34-28-110. (f) No provision has been made for suitable quarters at the location specified in the application. (5) The order approving an application may impose reasonable conditions which must be met before a certificate of authorization to transact business will be issued, which conditions may include employment of suitable personnel, alterations to the proposed capital structure, the obtaining of suitable quarters at the location proposed, or those other matters as the Board may deem necessary. If the Board approves the application for authority to organize, the applicant shall file its articles of incorporation with the Secretary of State and apply for a commitment for appropriate insurance of accounts. Upon approval by the Board of the application for authority to organize, the Board shall forward a copy of its final order to the Federal Savings and Loan Insurance Corporation. The corporate existence of an association begins on the date that the approved articles of incorporation are filed with the Secretary of State, unless otherwise provided in the articles of incorporation, but the association shall not commence business before it is in possession of a certificate of authorization to transact business as provided in Section 34-28-150. Prior to that time, an association may perform only those acts as are necessary to perfect its organization, raise capital, obtain and equip a place of business, and otherwise prepare for a general savings association business.
S.C. Code Ann. § 34-3-310 — SC Code / Title 34 / Chapter 3 / Article 5 / Section 34-3-310
SECTION 34-3-310. Examination of banks.
Status: in_force

The State Board of Bank Control may cause to be made at any time such examination of the affairs of any bank as it may deem necessary to inform it as to the financial condition of such bank and the Commissioner shall make a report thereon to the Board at the earliest practicable date.
S.C. Code Ann. § 34-21-10 — SC Code / Title 34 / Chapter 21 / Article 1 / Section 34-21-10
SECTION 34-21-10. Written approval from State Board of Bank Control is required to conduct trust business.
Status: in_force

No corporation, partnership or other person shall conduct a trust business in this State without first making a written application to the State Board of Bank Control and receiving written approval from the Board. Before any such application shall be approved, the Board shall make an investigation to determine whether or not the applicant has complied with all the provisions of law, whether in the judgment of the Board the applicant is qualified to conduct such a business and whether the conduct of such a business would serve the public interest, taking into consideration local circumstances and conditions at the place where such applicant proposes to do business; provided, however, that any person actively engaged in conducting a trust business in this State on January 1, 1972, shall not be required to make the application and receive the approval provided for herein. Provided, further, that nothing contained in this section shall prevent a natural person or a national banking association having its principal place of business in this State from qualifying and acting as trustee, executor, administrator, guardian, committee or in any other fiduciary capacity.
S.C. Code Ann. § 34-3-610 — SC Code / Title 34 / Chapter 3 / Article 9 / Section 34-3-610
SECTION 34-3-610. "Banking institution" defined.
Status: in_force

The term "banking institution," as used in this article shall be construed to mean any bank, trust company, bank and trust company, stock savings bank, mutual savings bank or cash depository which is now or may hereafter be organized under the laws of this State.
S.C. Code Ann. § 34-26-110 — SC Code / Title 34 / Chapter 26 / Article 1 / Section 34-26-110
SECTION 34-26-110. Definitions.
Status: in_force

In construing this chapter, the following definitions shall apply unless such application would produce a result clearly inconsistent with the context of the provision. (1) "Board" means the South Carolina Board of Financial Institutions. (2) "Capital" means share accounts, reserves, and undivided earnings. (3) "Commissioner" means the Commissioner of the State Board of Financial Institutions. (4) "Corporate credit union" means a credit union whose field of membership consists primarily of other credit unions and credit union related organizations. (5) "Credit union" means a cooperative, nonprofit corporation, incorporated under this chapter, for the purposes of encouraging thrift among its members, creating a source of credit at fair and reasonable rates of interest, and providing an opportunity for its members to use and control their own money on a democratic basis in order to improve their economic and social condition. (6) "Deposit account" means a balance held by a credit union and established by a member, another credit union, organization, as defined in the Federal Credit Union Act, revised October 1998, Title 1, Section 1785-205(2), Paragraph (1), or a governmental unit in accordance with standards specified by the credit union including balances designated as deposits, deposit certificates, checking accounts, or other names. Ownership of a deposit account does not confer membership or voting rights and does not represent an interest in the capital of the credit union upon dissolution. A deposit account is a debt owed by the credit union to the credit holder. (7) "Fixed asset" means a structure, land, computer hardware and software, and heating and cooling equipment that is affixed to premises. This also includes other property items such as furniture, fixtures, and equipment. (8) "Governmental unit" means any board, agency, department, authority, instrumentality, or other unit or organizations of the federal, state, county, or municipal level of government. (9) "Family" includes persons related by blood or marriage as well as foster and adopted children and legal guardians. (10) "Insolvent" means the condition that results when the cash value of assets realizable in a reasonable time is less than the liabilities that must be met within that time. (11) "Insuring organization" means an organization that provides aid and financial assistance to credit unions that are in the process of liquidation or are incurring financial difficulty in order that the share and deposit accounts in the credit unions shall be protected or guaranteed against loss or without limit or up to a specified level for each account. (12) "Organization" means any corporation, association, partnership, society, firm, syndicate, trust, or other legal entity. (13) "Person" means any natural person, trust, partnership, corporation, governmental unit, or any other organization. (14) "Reserves" means allocations of retained income and includes regular and special reserves including any allowances for losses. (15) "Risk assets" shall be considered all assets except the following: (a) cash on hand; (b) deposits or shares or both in federally or state insured banks, savings and loan associations, and credit unions; (c) assets which are insured by, fully guaranteed as to principal and interest by, or due from the United States Government, its agencies, the Federal National Mortgage Association, or the Governmental National Mortgage Association; (d) loans to other credit unions; (e) loans to students insured under the provisions of Title IV, Part B of the Federal Higher Education Act of 1965 or similar state insurance programs; (f) loans insured under Title 1 of the Federal National Housing Act by the Federal Housing Administration or insured by private mortgage insurers; (g) shares or deposits in corporate credit unions; (h) common trust investments which deal in authorized investments; (i) prepaid expenses; (j) accrued interest on nonrisk investments; (k) furniture and equipment; (l) land and buildings; (m) loans fully secured by a pledge of shares in the lending credit unions, equal to and maintained to at least the amount of the loan outstanding; (n) loans which are purchased from liquidating credit unions and guaranteed by the National Credit Union Administration; or (o) loans insured or guaranteed by federal or state governments. (16) "Share account" means a balance held by a credit union and established by a member in accordance with standards specified by the credit union including balances designated as shares, share certificates, share draft accounts, or other accounts. Ownership of a share account confers membership and voting rights and represents an interest in the capital of the credit union upon dissolution to members in good standing. Effect of Amendment The 2007 amendment, in item (6), added "organization, as defined in the Federal Credit Union Act, revised October 1998, Title 1, Section 1785-205(2), Paragraph (1),".
S.C. Code Ann. § 34-28-240 — SC Code / Title 34 / Chapter 28 / Article 3 / Section 34-28-240
SECTION 34-28-240. Voluntary supervisory stock conversions.
Status: in_force

(1) A voluntary supervisory stock conversion is a conversion involving the sale of a mutual association's newly issued stock to a third party or parties in a transaction in which the association's members have no rights of approval or participation, and no rights to the continuance of any legal or beneficial ownership interest in the converted association pursuant to a conversion plan approved by the Board and a majority of the board of directors of the converting association. (2) The Board shall have the discretion to approve a voluntary supervisory stock conversion, subject to regulations it may promulgate, when: (a) It has the power to appoint a receiver for the purpose of liquidation of the converting association pursuant to Section 34-28-730; (b) Upon liquidation the mutual account holders of the converting association would not realize any equity value; (c) The converting association is in receivership, or has been authorized to receive assistance under Section 406 of the National Housing Act, l2 U.S.C. Section 1729, or the Board has determined that a severe financial condition exists which threatens the financial condition of the converting association and that approval of the voluntary supervisory conversion is likely to improve the converting association's financial condition; and (d) The Board finds that following the conversion, the converting association will be a viable entity.
S.C. Code Ann. § 34-5-100 — SC Code / Title 34 / Chapter 5 / Section 34-5-100
SECTION 34-5-100. Termination of conservatorship.
Status: in_force

If the Board becomes satisfied it may safely be done and that it would be in the public interest, it may, in its discretion, terminate any such conservatorship and permit such bank to resume the transaction of its business subject to such terms, conditions, restrictions and limitations as the Board may prescribe.
S.C. Code Ann. § 34-39-200 — SC Code / Title 34 / Chapter 39 / Section 34-39-200
SECTION 34-39-200. Limitations on activities by persons required to be licensed by chapter.
Status: in_force

A person required to be licensed pursuant to this chapter may not: (1) charge fees in excess of those authorized by this chapter; (2) engage in the business of: (i) making loans of money or extension of credit; (ii) discounting notes, bills of exchange, items, or other evidences of debt; or (iii) accepting deposits or bailments of money or items, except as expressly provided by Section 34-39-180; (3) use or cause to be published or disseminated advertising communication which contains false, misleading, or deceptive statements or representations; (4) conduct business at premises or locations other than locations licensed by the board; (5) engage in unfair, deceptive, or fraudulent practices, including unconscionable conduct in violation of Section 37-5-108; (6) alter or delete the date on a check accepted by the licensee; (7) accept an undated check or a check dated on a date other than the date on which the licensee accepts the check; (8) require a customer to provide security for the transaction or require the customer to provide a guaranty from another person; (9) engage in the retail sale of goods or services, other than deferred presentment services and Level I check-cashing services as defined in Section 34-41-10, at the location licensed pursuant to this chapter, except that the sale of money orders, postage stamps, payment of utility bills with no additional fee to the customer, vending machines for food or beverage, facsimile services, wire transfer services, or the rental of postal boxes at rates not higher than allowed by the United States Postal Service are not the sale of goods or services prohibited by this subsection; (10) be licensed pursuant to Section 12-21-2720(a)(3) to operate a video poker machine; or (11) permit others to engage in an activity prohibited by this section at a location licensed pursuant to this chapter. Effect of Amendment The 2009 amendment, in item (9), substituted "wire transfer services," for "Western Union services,", added "the rental of", and made nonsubstantive changes.
S.C. Code Ann. § 34-28-420 — SC Code / Title 34 / Chapter 28 / Article 5 / Section 34-28-420
SECTION 34-28-420. Directors; number; qualifications; meetings.
Status: in_force

(1)(a) The business of the association must be managed and its corporate powers exercised by a board of directors. The board of directors shall consist of not fewer than five adult individuals who, unless appointed to fill a vacancy, must be elected at the annual meeting of members or stockholders or at a special meeting called for this purpose. (b) At the first annual meeting, and at each annual meeting thereafter, the members or stockholders shall elect directors to hold office until the next succeeding annual meeting, except in the case of the classification of directors as permitted by this section. Each director shall hold office for the term for which elected and until any successor is elected and qualifies or until resignation, removal from office, or death. (c) The Articles of Incorporation may provide that the directors be divided into not more than three classes of as nearly equal numbers as possible. The term of office of directors of the first class shall expire at the annual meeting next after the first election; of the second class, one year thereafter; and of the third class, two years thereafter; and, at each annual meeting thereafter, directors must be chosen for a full term of three years to succeed those whose terms expire. If directors are classified and the number of directors is thereafter changed, any increase or decrease in directorships must be so apportioned among the classes as to make all classes as nearly equal in numbers as possible. (d) Any vacancy occurring in the board of directors, including any vacancy created by reason of any increase in the number of directors, may be filled by the affirmative vote of a majority of the remaining directors. A director elected to fill a vacancy shall hold office for the remainder of the original term of the vacancy. (2) The board of directors of each association shall meet at those times and places as are fixed by the bylaws of the association or by a majority vote of the board of directors. (3) No person shall serve as an officer or director of an association who: (a) has been convicted of an offense involving fraud or a breach of trust or which constitutes a violation of the laws relating to financial institutions, except with the prior approval of the Board upon a showing of rehabilitation; or (b) is indebted to the association for more than thirty days upon a judgment that has become final. (4) After the association's corporate existence has begun, an organizational meeting of the board of directors named in the Articles of Incorporation must be held for the purpose of adopting bylaws, electing officers, approving organizational expenses to date, authorizing the call for payment of stock subscriptions or savings account capital, and conducting such other business relating to organization as may come before the board of directors at the meeting. Until the first annual meeting, the proposed directors shall serve as the board of directors of the association. (5) Unless otherwise required by the Articles of Incorporation, a member of the board of directors may be removed with or without cause by either: (a) in the case of a stock association, the affirmative vote of the holders of a majority of the shares entitled to vote at the election of directors, or in the case of a mutual association, by the affirmative vote of a majority of eligible votes cast by the members at the meeting where the vote is taken, or (b) the affirmative vote of two-thirds of the directors other than the director who is named in the removal motion.
S.C. Code Ann. § 34-26-320 — SC Code / Title 34 / Chapter 26 / Article 3 / Section 34-26-320
SECTION 34-26-320. Model articles of incorporation to facilitate organization of credit unions.
Status: in_force

In order to simplify the organization of credit unions, the commissioner shall cause to be prepared model articles of incorporation and bylaws, consistent with this chapter, which may be used by credit union incorporators for their guidance. Such articles of incorporation and bylaws shall be available to persons desiring to organize a credit union.
S.C. Code Ann. § 34-7-30 — SC Code / Title 34 / Chapter 7 / Section 34-7-30
SECTION 34-7-30. Parties to proceeding.
Status: in_force

All depositors, creditors and stockholders shall, for the purpose of determining upon any plan of reorganization for the reopening of any such bank under the terms of this Chapter, be deemed parties to the action or proceeding in which the adjudication of insolvency is made, provided the notice hereinafter referred to be duly served. All such depositors, creditors and stockholders who are so made parties shall be bound by the judgment order referred to in Section 34-7-60.
S.C. Code Ann. § 34-26-1010 — SC Code / Title 34 / Chapter 26 / Article 10 / Section 34-26-1010
SECTION 34-26-1010. Designation of depositories.
Status: in_force

The board of directors shall designate a depository or depositories for the funds of the credit union.
S.C. Code Ann. § 34-41-40 — SC Code / Title 34 / Chapter 41 / Section 34-41-40
SECTION 34-41-40. Application for licensure.
Status: in_force

(A) An application for licensure pursuant to this chapter must be in writing, under oath, and on a form prescribed by the board. The application shall set forth all of the following: (1) the name and address of the applicant; (2) if the applicant is a firm or partnership, the name and address of each member of the firm or partnership; (3) if the applicant is a corporation, the name and address of each officer, director, registered agent, and principal; (4) the addresses of the locations of the business to be licensed; and (5) other information concerning the financial responsibility, background experience, and activities, such as other partnerships, associations, and corporations located at or adjacent to the licensed location, of the applicant and its members, officers, directors, and principals as the board requires. (B) The board may make such investigations as the board considers necessary to determine if the applicant has complied with all applicable provisions of this chapter and state and federal law. (C) The application must be accompanied by payment of a two hundred fifty dollar application fee and a five hundred dollar investigation fee. These fees are not refundable or abatable, but, if the license is granted, payment of the application fee shall satisfy the fee requirement for the first license year or remaining part of it. (D) Licenses shall expire annually and may be renewed upon payment of a license fee of two hundred fifty dollars plus a fifty dollar fee for each branch location certificate issued under a license.
S.C. Code Ann. § 34-19-110 — SC Code / Title 34 / Chapter 19 / Section 34-19-110
SECTION 34-19-110. Use of words "safe deposit" or "safety deposit".
Status: in_force

It is unlawful for a person to use the words "safe deposit", "safety deposit", or other similar words in connection with the rental of storage space, or in the title or name under which business is done. A person subject to the jurisdiction of the State Board of Financial Institutions, a manufacturer or dealer in safe deposit facilities or equipment, or an association, the membership of which is composed of officers or institutions subject to the jurisdiction of the board or the banking department of other states or of the United States, are exempt. A person who violates the provisions of this section is guilty of a misdemeanor and, upon conviction, must be fined in the discretion of the court or imprisoned not more than one year, or both. Effect of Amendment The 1993 amendment rewrote this section so as to change the maximum term of imprisonment to conform to the classification established for each offense.
S.C. Code Ann. § 34-28-640 — SC Code / Title 34 / Chapter 28 / Article 7 / Section 34-28-640
SECTION 34-28-640. Pledge to association of savings accounts in joint tenancy.
Status: in_force

The pledge or hypothecation to any association of all or part of a savings account in joint tenancy by any tenant or tenants, whether minor or adult, upon whose signature or signatures withdrawals may be made from the account is, unless the terms of the savings account provide specifically to the contrary, a valid pledge and transfer to the association of that part of the account pledged or hypothecated, and does not operate to sever or terminate the joint and survivorship ownership of all or any part of the account.
S.C. Code Ann. § 34-26-380 — SC Code / Title 34 / Chapter 26 / Article 3 / Section 34-26-380
SECTION 34-26-380. Conduct of business out-of-state by credit union; necessity of board approval.
Status: in_force

A credit union incorporated under this chapter may conduct business outside of this State, in other states, or territories where it is permitted to conduct business as a credit union. However, a credit union may not operate an out-of-state branch without first obtaining approval of the board.
S.C. Code Ann. § 34-5-70 — SC Code / Title 34 / Chapter 5 / Section 34-5-70
SECTION 34-5-70. Withdrawal of deposits and payment of creditors.
Status: in_force

While such bank is in the hands of a conservator the Board may require the conservator to set aside and make available for withdrawal by depositors and payment to other creditors, on a ratable basis, such amounts as in the opinion of the Board may safely be used for this purpose.
S.C. Code Ann. § 34-21-220 — SC Code / Title 34 / Chapter 21 / Article 3 / Section 34-21-220
SECTION 34-21-220. Collective investment of funds.
Status: in_force

Funds held by a trust institution may be invested collectively: (1) In common trust funds maintained by the trust institution or its affiliate exclusively for the collective investment and reinvestment of monies contributed thereto by the trust institution or its affiliate in their capacities as executor, administrator, committee, guardian, or trustee under a will or deed; (2) In a fund consisting solely of assets of retirement, pension, profit sharing, stock bonus, or other trusts which are exempt from Federal income taxation under the Internal Revenue Code; (3) Under a managing agency agreement expressly providing that such moneys are received by the trust institution in trust; (4) Moneys held by the trust institution in its capacity as managing agent shall not be invested in collective investment funds established under items (1) or (2) of this section. Property held by the trust institution in its capacity as trustee of retirement, pension, profit sharing, stock bonus or other trusts which are exempt from Federal income taxation under the Internal Revenue Code may be invested in collective investment funds established under the provisions of items (1) or (2) of this section, subject to the provisions herein contained pertaining to such funds. Assets of retirement, pension, profit sharing, stock bonus or other trusts which are exempt from Federal income taxation under the Internal Revenue Code and held by the trust institution in whatever capacity, may be invested in collective investment funds established under the provisions of item (2) of this section.
S.C. Code Ann. § 34-26-645 — SC Code / Title 34 / Chapter 26 / Article 6 / Section 34-26-645
SECTION 34-26-645. Duties of board.
Status: reserved

In addition to the duties found elsewhere in this chapter, it also shall be the duty of the board of directors to: (1) purchase adequate fidelity coverage for all employees and review such coverage annually with notations in board minutes; (2) employ and establish the compensation of the president, chief executive officer, or manager who shall hire such other persons necessary to carry on the business of the credit union; (3) approve an annual operating budget for the credit union; (4) authorize the conveyance of property; (5) borrow or lend money to carry on the functions of the credit union; (6) appoint any special committees deemed necessary; (7) determine the rate of interest which shall be charged on loans; (8) declare dividends if it first determines that the credit union's financial condition warrants this; (9) declare an interest refund to borrowers at the close of each accounting period if it first determines that the credit union's financial condition warrants this; (10) approve amendments to the bylaws; (11) determine the amount of entrance fees, the maximum and minimum number of shares, the par value of shares of capital stock, which may be held by, and the maximum amount which may be lent to, any one member; (12) determine the amount of fines and service charges, if any; (13) establish titles for all elected officers; and (14) perform such other duties it may deem appropriate and authorize any action not inconsistent with this chapter and not specifically reserved by the bylaws for the members. Effect of Amendment 2021 Act No. 30, SECTION 17, in (13), substituted "elected officers" for "elected officers and senior management positions".
S.C. Code Ann. § 34-5-150 — SC Code / Title 34 / Chapter 5 / Section 34-5-150
SECTION 34-5-150. Liquidation by conservator.
Status: in_force

When the Board shall conclude that any bank for which a conservator has been appointed is insolvent or in imminent danger of insolvency and that it is necessary to liquidate such bank in order to protect the interests of depositors and creditors, it shall order the liquidation thereof. When liquidation shall have been so ordered such liquidation shall be under and by the conservator appointed for such bank and shall continue until the liquidation of such bank has been completed. Any such conservator shall be vested with the same powers and duties as receivers of banks under existing laws, except as in its discretion the Board shall fix or limit the liquidation expenses of such bank. The liquidation of all such banks shall be under such rules and regulations as may be prescribed by the Board and the conservator shall have the right to apply to a court of competent jurisdiction for direction and instruction on questions of law arising in the liquidation of any such bank.
S.C. Code Ann. § 34-28-310 — SC Code / Title 34 / Chapter 28 / Article 4 / Section 34-28-310
SECTION 34-28-310. Act requiring prior approval of the board.
Status: in_force

With the prior approval of the board in accordance with Section 34-28-340(a) and (b) and upon receipt of approval from all other applicable state and federal regulatory authorities having approval authority over the transaction: (1) A company may become a South Carolina savings and loan holding company; (2) A South Carolina savings and loan holding company may acquire a South Carolina association or another South Carolina savings and loan holding company; (3) A South Carolina savings and loan holding company may acquire a Southern Region association or a Southern Region savings and loan holding company; (4) A South Carolina savings and loan holding company may acquire an association and savings and loan holding company having association offices which are located outside of the Southern Region as is authorized under Section 34-28-350(1); (5) A Southern Region savings and loan holding company may acquire a Southern Region savings and loan holding company having a South Carolina association subsidiary; (6) A South Carolina state association may acquire a Southern Region association; (7) A Southern Region association may acquire a South Carolina state association; (8) A Southern Region savings and loan holding company may acquire a South Carolina association or a South Carolina savings and loan holding company. Effect of Amendment The 1990 amendment added item (8) permitting a Southern Region savings and loan holding company to acquire a South Carolina association or savings and loan holding company.
S.C. Code Ann. § 34-30-1060 — SC Code / Title 34 / Chapter 30 / Article 6 / Section 34-30-1060
SECTION 34-30-1060. Annual meetings; notice.
Status: in_force

(A) A state savings bank must hold an annual meeting of its members or stockholders, at a time and place as provided in the bylaws or determined by the board of directors. The annual meeting must be held for the purpose of electing directors and for other purposes as specified by the board of directors or pursuant to procedures as provided for in the bylaws. (B) The board of directors of a mutual state savings bank shall cause to be published once a week for two weeks preceding the meeting, in a newspaper of general circulation in the county where the state savings bank has its principal office, a notice of the meeting, stating the time and place where it is to be held. In addition to the notice, a mutual state savings bank must disseminate additional notice of an annual meeting by notice made available to all members entering the premises of a branch office of the state savings bank in the regular course of business by posting notice, in one or more conspicuous places, announcing the pending meeting, the time, date, place and purpose of the meeting. The additional notice must be given at least fourteen days before the meeting and shall continue through the time of the meeting. (C) The board of directors of a stock state savings bank shall give written or printed notice, stating the time and place of the annual meeting, not less than ten days nor more than sixty days before the date of the meeting, either personally or by mail, to each stockholder of record entitled to vote at the meeting. If mailed, the notice is considered to be delivered when deposited in the United States postal service addressed to the stockholder at the address as it appears on the records of the corporation, with postage prepaid.
S.C. Code Ann. § 34-1-10 — SC Code / Title 34 / Chapter 1 / Section 34-1-10
SECTION 34-1-10. Definitions.
Status: in_force

Effective July 1, 1976, all references to "the Board" in this title means the State Board of Financial Institutions unless context clearly indicates otherwise. Except when otherwise specifically provided "bank" as used in this title must be construed to include all institutions doing any kind of banking business whose deposits are eligible for insurance by the Federal Deposit Insurance Corporation, excluding a savings bank, and "building and loan association" as used in this title must be construed to include a mutual or stock savings association, savings and loan association, or savings bank and all other institutions doing any kind of building and loan business whose deposits are eligible for insurance by the Federal Savings and Loan Insurance Corporation.
S.C. Code Ann. § 34-25-10 — SC Code / Title 34 / Chapter 25 / Article 1 / Section 34-25-10
SECTION 34-25-10. Definitions.
Status: repealed

For purposes of this article: (1) "Acquire" means: (a) for a company to merge or consolidate with a bank holding company; (b) for a company to assume direct or indirect ownership or control of: (i) more than twenty-five percent of any class of voting shares of a bank holding company or a bank, if the acquiring company was not a bank holding company prior to such acquisition; (ii) more than five percent of any class of voting shares of a bank holding company or a bank, if the acquiring company was a bank holding company prior to such acquisition; (iii) all or substantially all of the assets of a bank holding company or a bank; or (c) for a company to take any other action that results in the direct or indirect acquisition of control by such company of a bank holding company or a bank. (2) "Affiliate" has the meaning set forth in Section 2(k) of the Bank Holding Company Act. (3) "Bank" has the meaning set forth in Section 2(c) of the Bank Holding Company Act. (4) "Bank holding company": (a) has the meaning set forth in Section 2(a) of the Bank Holding Company Act; and (b) unless the context requires otherwise, includes a South Carolina bank holding company and an out-of-state bank holding company. (5) "Bank Holding Company Act" means the federal Bank Holding Company Act of 1956, as amended. (6) "Bank supervisory agency" means any of the following: (a) any agency of another state with primary responsibility for chartering and supervising banks; and (b) the Office of the Comptroller of the Currency, the Federal Deposit Insurance Corporation, the Board of Governors of the Federal Reserve System, and any successor to these agencies. (7) "Board" means the State Board of Financial Institutions. (8) "Branch" means any office at which a bank accepts deposits. The term "branch" does not include, however, the following: (a) unmanned automatic teller or loan machines, point of sale terminals, or other similar unmanned electronic banking facilities; (b) offices located outside the United States; or (c) loan production offices, representative offices, or other offices at which deposits are not accepted. (9) "Company" has the meaning set forth in Section 2(b) of the Bank Holding Company Act, and includes a bank holding company. (10) "Control" means and shall be construed consistently with the provisions of Section 2(a) of the Bank Holding Company Act. (11) "Deposit" has the meaning set forth in 12 U.S.C. Section 1813(1). (12) "Depository institution" means any institution included for any purpose within the definitions of "insured depository institution" as set forth in 12 U.S.C. Section 1813(c)(2) and (3). (13) "Home state regulator" means, with respect to an out-of-state bank holding company, the bank supervisory agency of the state in which such company maintains its principal place of business. (14) "South Carolina bank" means a bank that is: (a) organized under Section 34-1-70; or (b) organized under federal law and having its principal place of business in this State. (15) "South Carolina state bank" means a bank chartered under the laws of South Carolina. (16) "South Carolina bank holding company" means a bank holding company that: (a) had its principal place of business in this State on July 1, 1966, or the date on which it became a bank holding company, whichever is later; and (b) is not controlled by a bank holding company other than a South Carolina bank holding company. (17) "Out-of-state bank holding company" means a bank holding company that is not a South Carolina bank holding company. (18) "Principal place of business" of a bank holding company means the state in which the total deposits of its bank subsidiaries were the greatest on the later of July 1, 1966, or the date on which such company became a bank holding company. (19) "State" means any state, territory, or other possession of the United States, including the District of Columbia. (20) "Subsidiary" has the meaning set forth in Section 2(d) of the Bank Holding Company Act. Editor's Note Section 34-1-70, referenced in the text, was repealed by 2021 Act No. 30, SECTION 19, effective May 6, 2021.
S.C. Code Ann. § 34-1-220 — SC Code / Title 34 / Chapter 1 / Section 34-1-220
SECTION 34-1-220. Delegations to the Commissioner of Banking.
Status: in_force

For purposes of the provisions of this chapter, the board may delegate to the Commissioner of Banking its authority to receive applications, develop necessary forms, issue certificates or correspondence on behalf of the board, conduct examinations, request additional information or documentation from applicants, approve articles of incorporation, and establish capital requirements and other standards for the safety and soundness of bank operations. Any such delegation may be revoked by the board at any time.
S.C. Code Ann. § 34-30-160 — SC Code / Title 34 / Chapter 30 / Article 2 / Section 34-30-160
SECTION 34-30-160. Confidentiality of records; inspection and examination; release; list of members or stockholders.
Status: in_force

(A) The books and records of a state savings bank must be confidential and may be made available for inspection and examination only: (1) to the board or its duly authorized representatives; (2) to persons duly authorized to act for the state savings bank; (3) to any federal or state instrumentality or agency authorized to inspect or examine the books and records of an insured depository institution; (4) as compelled by a court of competent jurisdiction; (5) as compelled by legislative subpoena as provided by law; (6) as authorized by the board of directors of the state savings bank; or (7) as provided in subsections (B), (C), and (D). (B) A depositor, borrower, or stockholder has the right to inspect the books and records of a state savings bank as pertain to his loans, his accounts, or the determination of his voting rights. (C) The books and records pertaining to the accounts, loans, and voting rights of depositors, borrowers, and stockholders must be kept confidential by the state savings bank and its directors, officers, and employees and may not be released except upon express written authorization of the account holder as to his own accounts, loans, or voting rights. However, information relating to a loan made by an association may be released without the borrower's authorization in a manner prescribed by the board of directors for the purpose of meeting the needs of commerce and for fair and accurate credit information. (D) A member, stockholder, or other person must not have access to or be furnished or possessed of a partial or complete list of the members or stockholders except upon express action authorized by the board of directors.
S.C. Code Ann. § 34-29-10 — SC Code / Title 34 / Chapter 29 / Section 34-29-10
SECTION 34-29-10. Definitions.
Status: in_force

When used in this chapter the terms listed below shall have the following meanings: (a) "Consumer finance company" shall include all persons conducting the business of making advances of cash in amounts of seventy-five hundred dollars or less. (b) "Board" shall mean the State Board of Bank Control and its duly authorized deputies. (c) "License" shall mean the privilege certificate issued by the Board under the authority of this chapter to conduct the business regulated by this chapter. (d) "Licensee" shall mean a person to whom one or more licenses have been issued. (e) "Cash advance" shall mean the amount of cash or its equivalent that the borrower actually receives or is paid out at his direction or on his behalf. (f) "Amount of the loan" shall mean the cash advance plus other authorized charges. (g) "Person" shall mean an individual, partnership, association, corporation and all other legal and commercial entities.
S.C. Code Ann. § 34-39-270 — SC Code / Title 34 / Chapter 39 / Section 34-39-270
SECTION 34-39-270. Prohibited deferred presentment transactions; eligibility inquiries; notification of transactions.
Status: in_force

(A) A licensee may not enter into a deferred presentment transaction with a person: (1) who has an outstanding deferred presentment transaction; (2) who has repaid a previous deferred presentment transaction with any licensee on the same business day; (3) who has repaid a previous deferred presentment transaction with any licensee on the same business day or the previous business day if the transaction being requested would be the customer's eighth or more transaction within a calendar year; or (4) who has entered into an extended payment plan agreement with any licensee as provided in Section 34-39-280 which has not been paid in full or terminated. (B) No eighth or subsequent deferred presentment transaction within a calendar year may be entered into on the same or subsequent business day of the repayment of the previous deferred presentment transaction. (C) Before entering into a deferred presentment transaction with a person, a licensee shall verify whether the person is eligible to enter into the transaction by accessing the deferred presentment transaction database established pursuant to subsection (D). (D) The board shall contract with a single third party database provider that is SAS 70 certified to establish and operate a deferred presentment transaction database for the purpose of verifying whether a person is eligible to enter into a deferred presentment transaction. The board should give full consideration to Section 11-35-5210 when selecting the third-party database provider to establish and operate the deferred presentment transaction database required by this chapter. The board shall supervise the establishment and operation of the database and shall ensure that the database provider establishes and operates the database pursuant to the provisions of this section. The board shall have full access to the database and all records related to the database for purposes of supervising the establishment and operation of the database. If the database provider violates a provision of this section, the board shall terminate the contract and immediately substitute another qualified third party database provider. The database must have real-time access through an internet connection and be accessible at all times to the board and licensees. The database provider shall establish and maintain a process for responding to transaction verification requests when technical difficulties prevent the licensee from accessing the database through the internet including, but not limited to, verification by telephone. The database must be established and operated so as to prevent a licensee from entering into a transaction that violates the provisions of this section. (E) To conduct an inquiry as to whether a person is eligible to enter into a deferred presentment transaction, a licensee shall submit to the database provider such information as the board may require. The response to an inquiry to the database provider by a licensee must state only that a person is eligible or ineligible to enter into a transaction and describe the reason for that determination. The person seeking to enter into the transaction may make a direct inquiry to the database provider to request a more detailed explanation of the basis for the database provider's determination that the person is ineligible to enter into the transaction. (F) A licensee shall notify the database provider immediately when the licensee enters into a deferred presentment transaction with a person. The licensee shall submit to the database provider such information as the board requires. When the transaction is paid in full, the licensee shall designate the transaction as closed and immediately notify the database provider. When the database provider receives notification that the transaction is paid in full, the database provider immediately shall designate the transaction as paid in full in the database. For purposes of this subsection, an item is paid in full when the payor bank makes final payment on the customer's check pursuant to Section 36-4-215 or the customer has redeemed the check with a cash payment in full. (G) A licensee shall notify a person seeking to enter into a deferred presentment transaction that the licensee shall access the database to verify whether the person is eligible to enter into a transaction. The licensee also shall notify the person that information related to a new transaction must be entered into the database. (H) The database provider may charge a database verification fee to a licensee for an inquiry as to whether a person is eligible to enter into a deferred presentment transaction, if that transaction is consummated by the licensee. The fee must be established by the board as the actual cost of verifying a person's eligibility, not to exceed one dollar. A licensee may charge a person seeking to enter into a deferred presentment transaction one-half of the actual cost of the verification fee. (I) Except as otherwise provided in this section, all personally identifiable information regarding a person contained within or obtained by way of the database is strictly confidential and is exempt from disclosure under the Freedom of Information Act. The database provider and licensees shall use the information collected pursuant to this section only as prescribed in this section and for no other purpose. (J) A licensee may rely on the information contained in the database as accurate and is not subject to an administrative penalty or civil liability as a result of relying on inaccurate information contained in the database. (K) A licensee will give a customer the right to rescind, at no cost, a deferred presentment transaction on or before the close of the following business day. Editor's Note 2009 Act No.78, SECTION 11 provides as follows: "SECTIONS 2 [adding this section], 3, and 4 of this act take effect upon implementation of the common database as required in SECTION 1 [SECTION 34-39-175]. The remaining SECTIONS of this act take effect upon approval by the Governor.
S.C. Code Ann. § 34-29-200 — SC Code / Title 34 / Chapter 29 / Section 34-29-200
SECTION 34-29-200. Chief administrative officer and other personnel.
Status: in_force

The Board is authorized to designate or appoint a chief administrative officer and such other personnel as it deems necessary to perform the duties and exercise the powers herein conferred. The chief administrative officer and all other personnel shall serve at the pleasure of the Board.
S.C. Code Ann. § 34-5-80 — SC Code / Title 34 / Chapter 5 / Section 34-5-80
SECTION 34-5-80. Receipt of deposits.
Status: in_force

The Board may, in its discretion, but only if local conditions render it advisable, permit the conservator to receive deposits. But deposits received while the bank is in the hands of a conservator shall not be subject to any limitation as to payment or withdrawal and such deposits shall be segregated and shall not be used to liquidate any indebtedness of such bank existing at the time that a conservator was appointed for it or any subsequent indebtedness incurred for the purpose of liquidating any indebtedness of such bank existing at the time such conservator was appointed. Such deposits received while the bank is in the hands of a conservator shall be kept on hand in cash, invested in the direct obligations of the United States or of this State, either or both, or deposited with such bank or banks as may be designated by the Board.
S.C. Code Ann. § 34-21-250 — SC Code / Title 34 / Chapter 21 / Article 3 / Section 34-21-250
SECTION 34-21-250. Management, control, and ownership of fund.
Status: in_force

The trust institution shall have the exclusive management and control of each common trust fund administered by it and the sole right at any time to sell, convert, exchange, transfer or otherwise change or dispose of the assets comprising any such common trust fund. The ownership of such assets shall be solely in the trust institution as fiduciary and shall be considered as assets held by it as fiduciary.
S.C. Code Ann. § 34-15-10 — SC Code / Title 34 / Chapter 15 / Section 34-15-10
SECTION 34-15-10. General authority to act as fiduciary.
Status: in_force

Subject to the provisions of Section 62-3-203, a banking corporation or trust company with at least two hundred fifty thousand dollars total unimpaired capital may be appointed executor of a will, codicil, or writing testamentary, administrator with the will annexed, administrator of the estate of any person, receiver, assignee, guardian or trustee under a will or instrument creating a trust for the care and management of property, under the same circumstances, in the same manner, and subject to the same control by the court having jurisdiction of the appointment as a legally qualified person. An appointment as guardian applies to the estate and not to the person of the ward. The corporation is not required to receive or hold property or money or assume or execute a trust pursuant to this section without its assent. Effect of Amendment The 1990 amendment added "Subject to the provisions of Sections 62-3-203 and 62-7-207," at the beginning of the section. The 2005 amendment, in the first sentence, substituted "Section 62-3-203, a" for "Sections 62-7-203 and 62-7-207, any" and made nonsubstantive changes throughout.
S.C. Code Ann. § 34-21-370 — SC Code / Title 34 / Chapter 21 / Article 3 / Section 34-21-370
SECTION 34-21-370. Management fees prohibited; reimbursement for expenses.
Status: in_force

Trust institutions shall not charge a fee for the management of a common trust fund administered by it or receive, either from the common trust fund or from any fiduciary account the funds of which are invested in participations therein, any additional fees, commissions or compensation of any kind by reason of such participation, but a trust institution shall not be prohibited from reimbursing itself out of a common trust fund for such reasonable expenses incurred by it in the administration thereof as would have been chargeable to the respective participating fiduciary accounts if incurred in the separate administration of such participating fiduciary accounts.
S.C. Code Ann. § 34-30-10 — SC Code / Title 34 / Chapter 30 / Article 1 / Section 34-30-10
SECTION 34-30-10. Short title.
Status: in_force

This chapter is known as "State Savings Bank".
S.C. Code Ann. § 34-28-740 — SC Code / Title 34 / Chapter 28 / Article 8 / Section 34-28-740
SECTION 34-28-740. False statement affecting credit or standing of association.
Status: in_force

Any person who falsely and wilfully and with intent to injure circulates any report or makes any false oral statement as to the assets or liabilities of any association, savings and loan holding company, or any service corporation or subsidiary thereof, its solvency or ability to meet its obligations or its soundness or who makes any other false oral statement calculated to affect the credit or standing of any or to cast suspicion upon its solvency, soundness, or ability to meet its obligations in due course is guilty of a misdemeanor and upon conviction must be punished by a fine of not more than ten thousand dollars or by imprisonment for not more than one year, or both.
S.C. Code Ann. § 34-26-1300 — SC Code / Title 34 / Chapter 26 / Article 13 / Section 34-26-1300
SECTION 34-26-1300. Corporate credit union.
Status: in_force

(1) A corporate credit union may be incorporated under this article. All parts of this chapter not inconsistent with this article shall apply to it. (2) Only one corporate credit union shall be so incorporated. No other credit union may use the term "corporate credit union" in its name.
S.C. Code Ann. § 34-28-330 — SC Code / Title 34 / Chapter 28 / Article 4 / Section 34-28-330
SECTION 34-28-330. Savings and loan holding company acquisitions not requiring prior approval.
Status: in_force

Without any prior approval of the Board, a Southern Region savings and loan holding company having a South Carolina association subsidiary may acquire a Southern Region savings and loan holding company that does not have a South Carolina association subsidiary, may acquire a Southern Region association that does not have any branch offices in South Carolina, or to the extent authorized by Section 34-28-350(1), may acquire an association or savings and loan holding company having association offices which are located outside the Southern Region. The Southern Region savings and loan holding company shall notify the Board at least thirty days prior to the consummation of the proposed transaction. The notification requirements of this section are satisfied by furnishing the Board with a copy of the completed application seeking approval for the proposed transaction which is filed with the federal savings and loan regulatory authority.
S.C. Code Ann. § 34-26-280 — SC Code / Title 34 / Chapter 26 / Article 2 / Section 34-26-280
SECTION 34-26-280. Conflict of interest; prohibitions respecting board or commissioner's office employees and credit unions.
Status: in_force

(1) No employee of the South Carolina Board of Financial Institutions or the commissioner's office shall be an officer, director, or attorney for any credit union incorporated under this chapter, or, except as provided in subsection (2), receive, directly or indirectly, any payment or gratuity from any such credit union. (2) Subsection (1) does not prohibit any such person from being a shareholder or depositor in a credit union incorporated under this chapter on the same terms as are available to other members.
S.C. Code Ann. § 34-30-1220 — SC Code / Title 34 / Chapter 30 / Article 7 / Section 34-30-1220
SECTION 34-30-1220. Loan procedures; report of actions; loans on collateral; unsecured loans; investment of funds; sale of loans.
Status: in_force

(A) The board of directors shall establish procedures by which loans are to be considered, approved, and made by the state savings bank. (B) All actions on loan applications to the state savings bank must be reported to the board of directors at its next meeting. (C) Subject to rules or regulations as the board considers appropriate, a state savings bank may lend funds on collateral considered sufficient by the board of directors to secure loans properly. Loans made solely upon security of collateral consisting of stock or equity securities that are not listed on a national stock exchange or regularly quoted and offered for trade on an over-the-counter market are considered loans without security. (D) A state savings bank may lend funds without requiring security. An unsecured loan shall not exceed the maximum amount authorized by rules or regulations of the board. (E) A state savings bank may invest funds on hand in the purchase of loans of a type that the state savings bank could make in accordance with this chapter. (F) A state savings bank may invest in a participating interest in loans of a type that the state savings bank could make in accordance with this chapter. (G) A state savings bank may sell a loan, including a participating interest in a loan.
S.C. Code Ann. § 34-30-1020 — SC Code / Title 34 / Chapter 30 / Article 6 / Section 34-30-1020
SECTION 34-30-1020. Bylaws and amendments; certification; effective date; amendment.
Status: in_force

The bylaws and amendments must be certified by the appropriate corporate official and submitted to the board at least thirty days before they may become effective. Unless the board determines that a proposed amendment to the bylaws conflicts with a provision of this chapter or applicable law, the amendment is effective at the expiration of the thirty-day period, or at such earlier date as permitted by the board. The board of directors of a state savings bank has the authority to adopt or amend bylaws that do not conflict with this chapter or the articles of incorporation. If the articles of incorporation or bylaws provide, the bylaws may be amended by members or stockholders in the manner specified in this chapter.
S.C. Code Ann. § 34-30-1340 — SC Code / Title 34 / Chapter 30 / Article 7 / Section 34-30-1340
SECTION 34-30-1340. Investments in stock or bonds of Federal Home Loan Banks.
Status: in_force

A state savings bank may invest in the stock of the Federal Home Loan Bank of which the savings bank is a member, and in bonds or other evidences of indebtedness or obligation of a Federal Home Loan Bank.
S.C. Code Ann. § 34-33-40 — SC Code / Title 34 / Chapter 33 / Section 34-33-40
SECTION 34-33-40. Repurchase of capital stock.
Status: in_force

Notwithstanding any provision of Title 34 of the 1976 Code, a banker's bank may repurchase, for its own account, shares of its own capital stock, but the outstanding capital stock may not be reduced below the minimum required by law without the prior approval of the State Board of Financial Institutions.
S.C. Code Ann. § 34-30-360 — SC Code / Title 34 / Chapter 30 / Article 3 / Section 34-30-360
SECTION 34-30-360. Merger of stock state savings banks with banks or associations; merger plan; amendment; approval; vote.
Status: in_force

(A) A stock state savings bank, upon a majority vote of its board of directors, may apply to the board for permission to merge with a bank, as defined in Chapter 25, or an association, as defined in Section 34-28-30. (B) The state savings bank shall submit a plan of merger as a part of the application to the board. The board may approve the plan of merger with or without amendment. If the board approves it, the plan must be submitted to stockholders or members as provided in subsection (C) of this section. If the board refuses to approve the plan, the board shall state the objections in writing and give the merging state savings bank an opportunity to amend the plan to obviate the objections. (C) After lawful notice to stockholders or members of the state savings bank and full and fair disclosure, the substance of the plan must be approved by the affirmative vote of a majority of the votes or shares present, in person or by proxy. The results of the vote as certified by an appropriate officer of the state savings bank must be filed with the board. The board then shall approve or disapprove the requested merger.
S.C. Code Ann. § 34-26-400 — SC Code / Title 34 / Chapter 26 / Article 4 / Section 34-26-400
SECTION 34-26-400. Particular powers of cooperative credit union; loans to other credit unions.
Status: in_force

A cooperative credit union may receive the savings of its members in payment for shares, may lend to its members at reasonable rates of interest, not to exceed the rate authorized by law, or may invest, as provided by law, the funds so accumulated, may borrow from banks, savings and loan associations, trust companies, or other credit unions, or persons, and loan such money to its members, and may undertake such other activities authorized by law, provided that any credit union may loan money to any other credit union at such rate as the parties to the loan may agree.
S.C. Code Ann. § 34-26-420 — SC Code / Title 34 / Chapter 26 / Article 4 / Section 34-26-420
SECTION 34-26-420. Powers incidental to purpose of credit union; limitations.
Status: in_force

A credit union may exercise incidental powers to enable it to carry out its purposes. However, the powers granted by state law or regulation to a state-chartered credit union shall not exceed those provided by federal law to a federally chartered credit union. Effect of Amendment The 2007 amendment at the end of the second sentence substituted "to a federally chartered credit union" for "or regulation".
S.C. Code Ann. § 34-25-70 — SC Code / Title 34 / Chapter 25 / Article 1 / Section 34-25-70
SECTION 34-25-70. Reporting.
Status: in_force

(a) To the extent specified by the board by regulation, order or written request, each bank holding company that directly or indirectly controls a South Carolina state bank or a South Carolina bank holding company, shall submit to the board: (1) one or more copies of each financial report filed by such company with any bank supervisory agency (except for any report the disclosure of which would be prohibited by applicable federal or state law), within fifteen days after the filing thereof with such agency; and (2) an annual report, not later than April fifteenth of each year, specifying for each bank and branch in the state controlled by the bank holding company: (i) the location; (ii) the amount of deposits held as of the end of the preceding calendar year; and (iii) the amount of loans made during the preceding calendar year to individuals and entities with addresses in this State. (b) At the request of the board, to the extent permitted by applicable state or federal law, each bank holding company that controls a South Carolina state bank or a South Carolina bank holding company shall provide to the board copies of the reports of examination of such company or any such South Carolina state bank or South Carolina bank holding company. (c) The board may examine a South Carolina bank holding company whenever the board has reason to believe that such company is not being operated in compliance with the laws of this State or in accordance with safe and sound banking practices.
S.C. Code Ann. § 34-11-120 — SC Code / Title 34 / Chapter 11 / Section 34-11-120
SECTION 34-11-120. Duty of person drawing postdated check to give notice.
Status: in_force

It shall be the duty of the person drawing a postdated check to notify, in writing, the bank or trust company upon which such check is drawn, giving a complete description thereof, including the name of the payee, the date, the number and amount thereof; otherwise, the bank or trust company shall not be liable for erroneously paying such check.
S.C. Code Ann. § 34-30-1440 — SC Code / Title 34 / Chapter 30 / Article 7 / Section 34-30-1440
SECTION 34-30-1440. Authorized actions of state savings banks; issuance of capital notes, bonds, debentures, or other obligations or securities.
Status: in_force

(A) In addition to the powers granted in this chapter, but subject to rules or regulations that the board prescribes, a state savings bank incorporated or operated under this chapter may: (1) with prior board notification, establish off the premises of a principal office or branch, a customer communications terminal, point of sale terminal, automated teller machine, automated or other direct or remote information processing device or machine, whether manned or unmanned, through or by means of which funds or information relating to a financial service or transaction rendered to the public is stored and transmitted, instantaneously or otherwise to or from a state savings bank terminal or terminals controlled or used by or with other parties. The establishment and use of a device or machine does not constitute a branch office, and the capital requirements and standards for approval of a branch office as provided in the statutes and regulations are not applicable to the establishment of an off-premises terminal, device, or machine. A state savings bank, through mutual consent, may share on-premises, unmanned, automated teller machines, and cash dispensers; (2) issue credit cards, extend credit in connection with them, and otherwise engage in or participate in credit card operations; (3) with prior board approval, act as a trustee, executor, board, guardian, or in another fiduciary capacity; (4) become a member of a clearing house association and pledge assets required for its qualification; (5) with the approval of the Commissioner of Banking, capital certificates may be issued by state-chartered savings banks and sold directly to subscribers or through underwriters, and the certificates constitute part of the general reserve and net worth of the issuing state savings bank, provided such certificates: (a) are subordinate to all savings accounts, savings certificates, and debt obligations; (b) constitute a claim in liquidation on the general reserves, surplus, and undivided profits of the state savings bank remaining after the payment of all savings accounts, savings certificates, and debt obligations; (c) are entitled to the payment of dividends; and (d) may have a fixed or variable dividend rate. (6) service loans and investments for others. (B) With the approval of the Commissioner of Banking, a state savings bank may issue capital notes, bonds, debentures, or other obligations or securities.
S.C. Code Ann. § 34-28-320 — SC Code / Title 34 / Chapter 28 / Article 4 / Section 34-28-320
SECTION 34-28-320. Acts requiring prior approval of federal authorities.
Status: in_force

With the prior approval of the Federal Home Loan Bank Board and other applicable federal authorities in accordance with their approval authority over the transaction and without the necessary approval of the Board except for the requirements under Section 34-28-340(b): (1) A South Carolina federal association may acquire a Southern Region association; and (2) A Southern Region association may acquire a South Carolina federal association.
S.C. Code Ann. § 34-28-220 — SC Code / Title 34 / Chapter 28 / Article 3 / Section 34-28-220
SECTION 34-28-220. Conversion of a state or federal mutual association to a state capital stock association.
Status: in_force

(1) Any state or federal mutual association may apply to the Board for permission to convert itself into a stock association operated under the provisions of this chapter in accordance with the following procedures and regulations promulgated by the Board: (a) The Board of Directors shall approve a plan of conversion by resolution adopted by a majority vote of all the directors present at the meeting at which the plan is considered. The plan shall include, among other terms: 1. Financial statements of the association as of the last day of the month preceding adoption of the plan; 2. Financial data as may be required to determine compliance with applicable regulatory requirements respecting financial condition; 3. A provision that each savings account holder of the mutual association will receive a withdrawable account in the stock association equal in amount to and having the same terms as his withdrawable account in the mutual association; 4. A provision for the establishment and maintenance of a liquidation account for the benefit of savings account holders of the mutual association in the event of the liquidation of the association after its conversion which account shall meet all the requirements established by regulation promulgated by the Board; 5. A provision that each member of record will be entitled to receive rights to purchase voting common stock and the terms and conditions of these rights; 6. Pro forma financial statements of the association as a capital stock association, which shall include data required to determine compliance with applicable regulatory requirements respecting financial condition; and 7. Other information as the Board may by regulation require. (b) The plan of conversion must be executed by a majority of the board of directors and submitted to the Board for approval prior to any vote on conversion by the members. (c) The Board may approve or disapprove the plan in its discretion, but it shall not approve the plan unless it finds that the association will comply sufficiently with the requirements of this chapter after conversion to entitle it to become an association operating under this chapter and the regulations of the Board. The Board may deny any application from any federal association that is subject to any cease and desist order or other supervisory restriction or order imposed by a federal supervisory authority or insurer. (d) If the Board approves the plan of conversion, the question of the conversion may be submitted to the members at a meeting of voting members called to consider the action. A vote of a majority or more of the total number of votes eligible to be cast at the meeting, unless federal law permits a lesser percentage of votes for a federal mutual association to convert, in which case that percentage shall control for conversions of both state and federal mutual associations, is required for approval. Notice of the meeting, giving the time, place, and purpose, together with a proxy statement and proxy form meeting the requirements in Section 33-11-140 and any applicable federal regulations approved by the Board covering all matters to be brought before the meeting, must be mailed at least thirty days prior to the Board and to each voting member at his last address as shown on the books of the association. (e) Copies of the minutes of the meeting of members, verified by the affidavit of the secretary or assistant secretary of the association, must be filed with the Board, and with the Federal Home Loan Bank Board if applicable, within ten days after the meeting. When so filed, the verified copies of the minutes are presumptive evidence of the holding of the meeting and of the action taken. (f) The directors of the association shall execute and file with the Board proposed Articles of Incorporation as provided for in Section 34-28-130, together with the application for conversion, and a statement showing that requisite capital required in the conversion plan approved by the Board has been paid to the association in cash, that all other conditions imposed by the Board or specified in the plan of conversion have been satisfied, and that a firm commitment for, or evidence of, insurance of deposits and other accounts of a withdrawable type from the Federal Savings and Loan Insurance Corporation has been obtained. The Articles of Incorporation of the converted association shall contain a statement that the association resulted from the conversion of a state or federal mutual association to a capital stock association. Approval by the Board must be affixed to the Articles of Incorporation. The original copy of the Articles of Incorporation must be filed with the Secretary of State and a certified copy of the Articles of Incorporation must be filed with the Board, provided that failure to file a certified copy of the Articles of Incorporation with the Board shall not affect the validity of the conversion. The association shall cease to be a mutual association at the time and on the date specified in the approved Articles of Incorporation or the date the Articles of Incorporation are filed in the office of the Secretary of State, whichever is later. (2) Upon conversion of a mutual association to a state-chartered stock association, the legal existence of the association shall not terminate, but the capital stock association is a continuation of the entity of the mutual association, and all property of the mutual association, including its right, title, and interests in and to all property of whatever kind, whether real, personal, or mixed, things in action, and every right, privilege, interest, and asset of every conceivable value or benefit then existing or pertaining to it, or which would inure to it, immediately, by act of law and without any conveyance or transfer and without any further act or deed, shall vest and remain in the stock association into which the mutual association has converted itself. The capital stock association shall have, hold, and enjoy the same in its own right as fully and to the same extent as if the same were possessed, held, and enjoyed by the mutual association. The capital stock association, upon the effective date of the conversion, shall continue to have and succeed to all the rights, obligations, and relations of the mutual association. All pending actions and other judicial proceedings to which the mutual association is a party are not abated or discontinued by reason of the conversion but may be prosecuted to final judgment, order, or decree in the same manner as if the conversion had not been made; and the stock association resulting from the conversion may continue the actions in its corporate name as a mutual association. Any judgment, order, or decree may be rendered for or against the stock association which might have been rendered for or against the mutual association involved in the proceedings. (3) The application for conversion from a state or federal mutual to a state stock association must be accompanied by a nonrefundable filing fee established by the Board.
S.C. Code Ann. § 34-19-10 — SC Code / Title 34 / Chapter 19 / Section 34-19-10
SECTION 34-19-10. Definitions.
Status: in_force

"Lessee" means a person contracting with a lessor for the use of a safe deposit box. "Lessor" means a bank, cash depository, or trust company renting safe deposit facilities authorized by law to operate in the State. "Safe deposit box" means a safe deposit box, vault, or other safe deposit receptacle maintained by a lessor and the rules relating thereto apply to property or documents kept in safekeeping in the bank's vault.
S.C. Code Ann. § 34-26-370 — SC Code / Title 34 / Chapter 26 / Article 3 / Section 34-26-370
SECTION 34-26-370. Conduct of business in state by lawful out-of-state credit union; requirements of board approval.
Status: in_force

(1) A credit union organized under the laws of another state or territory of the United States may conduct business as a credit union in this State with the approval of the board, provided credit unions incorporated under this chapter are allowed to do business in the other state under conditions similar to these provisions. Before granting the approval, the board must find that the out-of-state credit union: (a) is a credit union organized under laws similar to this chapter; (b) is financially solvent; (c) has account insurance comparable to that required for credit unions incorporated under this chapter; (d) is examined and supervised by a regulatory agency of the state in which it is organized or the federal government; and (e) needs to conduct business in this State to adequately serve its members in this State. (2) No out-of-state credit union may conduct business in this State unless it: (a) charges interest in compliance with the provisions of Section 34-26-810 when making loans in this State; (b) complies with the consumer protection provided by law and provisions and regulations applicable to credit unions incorporated under this chapter; (c) agrees to furnish the commissioner a copy of the report of examination of its regulatory agency and if necessary to submit to an examination by the commissioner; and (d) designates and maintains an agent for the service of process in this State. (3) The board may revoke the approval of a credit union to conduct business in this State if the board finds that: (a) the credit union no longer meets the requirements of subsection (1); (b) the credit union has violated the laws of this State or regulations or orders issued by the board; (c) the credit union has engaged in a pattern of unsafe or unsound credit union practices; or (d) continued operation by the credit union is likely to have a substantially adverse impact on the financial, economic, or other interests of residents of this State.
S.C. Code Ann. § 34-26-610 — SC Code / Title 34 / Chapter 26 / Article 6 / Section 34-26-610
SECTION 34-26-610. Filing of record of names and addresses of membership.
Status: in_force

Within thirty days after the organizational meeting, a record of the names and addresses of the members of the board and such other committees and officials, as required, shall be filed with the commissioner.
S.C. Code Ann. § 34-21-60 — SC Code / Title 34 / Chapter 21 / Article 1 / Section 34-21-60
SECTION 34-21-60. Investments shall be kept separate.
Status: in_force

The investments of each individual trust shall be kept separate and distinct from all other trusts and shall be plainly marked.
S.C. Code Ann. § 34-29-60 — SC Code / Title 34 / Chapter 29 / Section 34-29-60
SECTION 34-29-60. Licenses for more than one place of business; removal.
Status: in_force

(a) Not more than one place of business shall be maintained under the same license, but the Board may issue more than one license to the same licensee upon compliance with all the provisions of this chapter governing issuance of a single license; provided, however, that no license need be obtained for an accounting record-keeping place of business or other internal place of business control. (b) No change in the place of business for the making and collecting of loans, made pursuant to this chapter, of a licensee to a location outside of the original city or town shall be permitted under the same license. When a licensee wishes to change his place of business within a city or town he shall give written notice thereof to the Board, accompanied by the license certificate and the Board shall engross the address change upon the certificate and return it to the licensee.
S.C. Code Ann. § 34-7-20 — SC Code / Title 34 / Chapter 7 / Section 34-7-20
SECTION 34-7-20. Effect of reorganization plan on claims of depositors and unsecured creditors.
Status: in_force

Any such reorganization plan may authorize the reduction of the claims of depositors and unsecured creditors, postpone the payment thereof or provide for such payment in installments as will appear to be to the best interest of the parties interested. In any such plan all claims or demands of the same class shall be treated alike.
S.C. Code Ann. § 34-21-360 — SC Code / Title 34 / Chapter 21 / Article 3 / Section 34-21-360
SECTION 34-21-360. Trust institution shall not invest in own fund.
Status: in_force

A trust institution shall not invest any of its own funds in a common trust fund administered by it, and if the trust institution, because of a creditor relationship or for any other reason, acquires any interest in a participation in such common trust funds, the participation shall be withdrawn on the first date on which such withdrawal can be effected. However, in no case shall an unsecured advance to an account holding a participation until the time of the next withdrawal be deemed to constitute the acquisition of an interest by the trust institution.
S.C. Code Ann. § 34-26-770 — SC Code / Title 34 / Chapter 26 / Article 7 / Section 34-26-770
SECTION 34-26-770. Payable-on-death share accounts; effect of transfer of account.
Status: in_force

Notwithstanding any other provision of law, a credit union may establish share and deposit accounts payable to one or more persons during their lifetimes and on the death of all of them to one or more payable-on-death payees. Any transfer to a payable-on-death payee is effective by reason of the account contract and shall not be considered to be a testamentary transfer.
S.C. Code Ann. § 34-39-110 — SC Code / Title 34 / Chapter 39 / Section 34-39-110
SECTION 34-39-110. Short title.
Status: in_force

This chapter may be cited as the "South Carolina Deferred Presentment Services Act".
S.C. Code Ann. § 34-11-110 — SC Code / Title 34 / Chapter 11 / Section 34-11-110
SECTION 34-11-110. Adverse claimant of deposit must obtain court process or give bond; exception as to fiduciary deposits.
Status: in_force

Notice to any bank or trust company doing business in this State of an adverse claim to a deposit standing on its books to the credit of any person shall not be effectual to cause the bank or trust company to recognize the adverse claimant unless: (1) The claimant first procures a restraining order, injunction or other appropriate process against the bank or trust company from a court of competent jurisdiction wherein the person to whose credit the deposit stands is made a party; or (2) the claimant first executes and delivers to the bank or trust company, in form and with sureties acceptable to it, a bond, indemnifying the bank or trust company from all liability, loss, damage, costs and expenses, resulting from the payment of the adverse claim or the dishonor of any check or other order of the person to whose credit the deposit stands on the books of the bank or trust company. Provided, that this section shall not apply in any instance where the person to whose credit the deposit stands is a fiduciary for such adverse claimant, and the facts constituting such relationship as also the facts showing reasonable cause of belief on the part of the claimant that the fiduciary is about to misappropriate the deposit, are made to appear by the affidavit of the claimant.
S.C. Code Ann. § 34-25-300 — SC Code / Title 34 / Chapter 25 / Article 3 / Section 34-25-300
SECTION 34-25-300. Promulgation of regulations.
Status: in_force

The board may promulgate such regulations as it determines to be necessary or appropriate in order to implement the provisions of this article.
S.C. Code Ann. § 34-26-550 — SC Code / Title 34 / Chapter 26 / Article 5 / Section 34-26-550
SECTION 34-26-550. Member liability for credit union debt.
Status: in_force

The members of the credit union shall not be personally or individually liable for the payment of the credit union's debts solely by virtue of holding membership.
S.C. Code Ann. § 34-11-100 — SC Code / Title 34 / Chapter 11 / Section 34-11-100
SECTION 34-11-100. Effect of payment of dishonored check, draft, or order after institution of prosecution.
Status: in_force

After prosecution is initiated as provided in this chapter, the payment of a dishonored check, draft or order shall not constitute a defense or grounds for dismissal of charges brought under this chapter, but such payment may be considered in mitigation of the sentence by the trial judge or magistrate.
S.C. Code Ann. § 34-30-1010 — SC Code / Title 34 / Chapter 30 / Article 6 / Section 34-30-1010
SECTION 34-30-1010. Bank directors; election; terms; weighted voting; voting rights; election of stock savings bank directors; terms; ownership interest; number of directors; vacancies; restrictions.
Status: in_force

(A) The directors of a mutual state savings bank must be elected by the members at an annual meeting, held pursuant to Section 34-30-1060, for the terms as the bylaws of the state savings bank may provide. Directors' terms may be classified in the articles of incorporation. Voting for directors by deposit account holders may be weighted according to the total amount of deposit accounts held by the members, subject to a maximum number of votes for each member, which a state savings bank may choose to prescribe in its bylaws. Voting rights for borrowers must be prescribed in a detailed manner in the bylaws of the state savings bank. (B) The directors of a stock state savings bank must be elected by the stockholders at an annual meeting, held pursuant to Section 34-30-1060, for the terms as the bylaws of the state savings bank may provide. Directors' terms may be classified in the articles of incorporation. (C) A director of a state savings bank shall have an ownership interest in the state savings bank, or in the case of a stock state savings bank, in the holding company for the stock state savings bank. (D) A state savings bank shall have at least five directors. (E) A vacancy occurring in the board of directors, including a vacancy created by reason of an increase in the number of directors, may be filled by the affirmative vote of a majority of the remaining directors. A director elected to fill a vacancy shall hold office for the remainder of the original term of the vacancy. (F) A person shall not serve as an officer or director of a state savings bank who: (1) has been convicted on an offense involving fraud or a breach of trust or which constitutes a violation of the laws relating to financial institutions, except with the prior approval of the board upon a showing of rehabilitation; or (2) is indebted to the savings bank for more than thirty days upon a judgment that has become final.
S.C. Code Ann. § 34-1-210 — SC Code / Title 34 / Chapter 1 / Section 34-1-210
SECTION 34-1-210. Remote service unit not considered a branch of a bank.
Status: in_force

A remote service unit as defined in Section 34-28-30 is not considered a branch of a bank, building and loan association, savings and loan association, or a savings bank and is not subject to any of the provisions of this chapter applicable to branch applications.
S.C. Code Ann. § 34-28-410 — SC Code / Title 34 / Chapter 28 / Article 5 / Section 34-28-410
SECTION 34-28-410. Access to books and records; confidentiality.
Status: in_force

(1)(a) The books and records of an association must be confidential and may be made available for inspection and examination only: 1. to the Board or its duly authorized representatives; 2. to persons duly authorized to act for the association; 3. to any federal or state instrumentality or agency authorized to inspect or examine the books and records of an insured association; 4. as compelled by a court of competent jurisdiction; 5. as compelled by legislative subpoena as provided by law; 6. as authorized by the board of directors of the association; or 7. as provided in paragraphs (b) and (c). (b) 1. Every depositor, borrower, or stockholder shall have the right to inspect the books and records of an association as pertain to his loans, his accounts, or the determination of his voting rights. 2. The books and records pertaining to the accounts, loans, and voting rights of depositors, borrowers, and stockholders must be kept confidential by the association and its directors, officers, and employees and may not be released except upon expressed written authorization of the account holder as to his own accounts, loans, or voting rights; provided, that information relating to any loan made by an association may be released without the borrower's authorization in a manner prescribed by the board of directors for the purpose of meeting the needs of commerce and for fair and accurate credit information. (c) No member, stockholder, or other person shall have access to or be furnished or possessed of a partial or complete list of the members or stockholders except upon express action authorized by the board of directors.
S.C. Code Ann. § 34-26-800 — SC Code / Title 34 / Chapter 26 / Article 8 / Section 34-26-800
SECTION 34-26-800. Loans and lines of credit; establishment of written policies.
Status: in_force

A credit union may loan to members for such purposes and upon such conditions and by such means as the bylaws may provide. The board of directors shall establish written policies with respect to the granting of loans and the extending of lines of credit, including the terms, conditions, and acceptable forms of security.
S.C. Code Ann. § 34-6-60 — SC Code / Title 34 / Chapter 6 / Section 34-6-60
SECTION 34-6-60. Release or modification of restrictions on management, investment, or purpose.
Status: in_force

(A) If the donor consent is in a record, an institution may release or modify, in whole or in part, a restriction contained in a gift instrument on the management, investment, or purpose of an institutional fund. A release or modification may not allow a fund to be used for a purpose other than a charitable purpose of the institution. (B) The court, upon application of an institution, may modify a restriction contained in a gift instrument regarding the management or investment of an institutional fund if the restriction has become impracticable or wasteful, if it impairs the management or investment of the fund, or if, because of circumstances not anticipated by the donor, a modification of a restriction will further the purpose of the fund. The institution shall notify the Attorney General of the application, and the Attorney General must be given an opportunity to be heard. To the extent practicable, any modifications must be made in accordance with the donor's probable intention. (C) If a particular charitable purpose or a restriction contained in a gift instrument on the use of an institutional fund becomes unlawful, impracticable, impossible to achieve, or wasteful, the court, upon application of an institution, may modify the purpose of the fund or the restriction on the use of the fund in a manner consistent with the charitable purposes expressed in the gift instrument. The institution shall notify the Attorney General of the application, and the Attorney General must be given an opportunity to be heard. (D) If an institution determines that a restriction contained in a gift instrument on the management, investment, or purpose of an institutional fund is unlawful, impracticable, impossible to achieve, or wasteful, the institution, sixty days after notification to the Attorney General, may release or modify the restriction, in whole or part, if: (1) the institutional fund subject to the restriction has a total value of less then twenty-five thousand dollars; (2) more than twenty years have elapsed since the fund was established; and (3) the institution uses the property in a manner consistent with charitable purposes expressed in the gift instrument. Effect of Amendment The 2008 amendment rewrote the section.