Tenn. Code Ann. § 45-12-115 — TN Code / Title 45 / Chapter 12 / Section 45-12-115
Promulgation of rules - Investigation and examination of licensees - Payment of expenses of investigation or examination - Exception
Status: in_force

(a) The commissioner may promulgate rules in accordance with the Uniform Administrative Procedures Act, compiled in title 4, chapter 5, for the enforcement of this chapter. A copy of any rule adopted by the commissioner shall be mailed to the principal place of business of each license holder at least thirty (30) days before the date it takes effect. (b) To assure compliance with this chapter, the commissioner may examine the relevant business, books and records of any licensee. Further, for the purposes of discovering violations of this chapter and determining whether persons are subject to this chapter, the commissioner may examine or investigate persons licensed under this chapter and persons reasonably suspected by the commissioner of conducting business that requires a license under this chapter by exercising authority that includes, but is not limited to, the power to summon witnesses and examine them under oath or affirmation, and to compel the production of books and records that may be relevant to the examination or investigation. (c) (1) A licensee or unlicensed person subject to the licensing requirements of this chapter, that is examined or investigated in accordance with this chapter, shall pay to the commissioner the reasonable and actual expenses of the investigation or examination. The expenses shall be payable in addition to all other fees, taxes and costs required by law. (2) If a supervision fee is established pursuant to § 45-1-118 , then licensees who pay the supervision fee will no longer be required to pay examination expenses pursuant to this subsection (c) for examinations that occur after payment of the supervision fee. Added by 2014 Tenn. Acts, ch. 969,s 1, eff. 1/1/2015.
(a) The commissioner may promulgate rules in accordance with the Uniform Administrative Procedures Act, compiled in title 4, chapter 5, for the enforcement of this chapter. A copy of any rule adopted by the commissioner shall be mailed to the principal place of business of each license holder at least thirty (30) days before the date it takes effect.
(b) To assure compliance with this chapter, the commissioner may examine the relevant business, books and records of any licensee. Further, for the purposes of discovering violations of this chapter and determining whether persons are subject to this chapter, the commissioner may examine or investigate persons licensed under this chapter and persons reasonably suspected by the commissioner of conducting business that requires a license under this chapter by exercising authority that includes, but is not limited to, the power to summon witnesses and examine them under oath or affirmation, and to compel the production of books and records that may be relevant to the examination or investigation.
(c) (1) A licensee or unlicensed person subject to the licensing requirements of this chapter, that is examined or investigated in accordance with this chapter, shall pay to the commissioner the reasonable and actual expenses of the investigation or examination. The expenses shall be payable in addition to all other fees, taxes and costs required by law. (2) If a supervision fee is established pursuant to § 45-1-118 , then licensees who pay the supervision fee will no longer be required to pay examination expenses pursuant to this subsection (c) for examinations that occur after payment of the supervision fee.
(1) A licensee or unlicensed person subject to the licensing requirements of this chapter, that is examined or investigated in accordance with this chapter, shall pay to the commissioner the reasonable and actual expenses of the investigation or examination. The expenses shall be payable in addition to all other fees, taxes and costs required by law.
(2) If a supervision fee is established pursuant to § 45-1-118 , then licensees who pay the supervision fee will no longer be required to pay examination expenses pursuant to this subsection (c) for examinations that occur after payment of the supervision fee.
Added by 2014 Tenn. Acts, ch. 969,s 1, eff. 1/1/2015.
Tenn. Code Ann. § 45-13-107 — TN Code / Title 45 / Chapter 13 / Section 45-13-107
Lost licenses - Substitutions
Status: in_force

In the event that a license issued under this chapter is lost or destroyed, the person to whom the license was issued may, upon payment of a nonrefundable fee prescribed by the commissioner, obtain a substitute license upon furnishing proof satisfactory to the commissioner that the license has become lost or destroyed. Acts 2009, ch. 499, § 8.
In the event that a license issued under this chapter is lost or destroyed, the person to whom the license was issued may, upon payment of a nonrefundable fee prescribed by the commissioner, obtain a substitute license upon furnishing proof satisfactory to the commissioner that the license has become lost or destroyed.
Acts 2009, ch. 499, § 8.
Tenn. Code Ann. § 45-2-1802 — TN Code / Title 45 / Chapter 2 / Section 45-2-1802
Powers generally
Status: in_force

An authorized state bank, directly or indirectly through a subsidiary, may: (1) Provide portfolio investment advice to customers; (2) Serve as investment advisor to investment companies, including, but not limited to, open-end and closed-end mutual funds, private investment companies and investment companies registered under the Investment Companies Act of 1940; (3) Serve as investment or financial advisor to states, counties and municipalities or subdivisions or instrumentalities thereof; (4) Act as general partner to investment partnerships; (5) Act as dealer-manager or financial advisor to corporations or partnerships, including, but not limited to, providing valuation advice, opinions with respect to sales or purchases or assets, corporate restructuring, issuances of securities, mergers and other acquisitions; (6) Engage in the sale, distribution, and underwriting of, and deal in, commercial paper issued by any entity; (7) Engage in the sale, distribution, and underwriting of, and deal in, promissory notes secured by real estate mortgages, credit obligations secured by real or personal property or manufactured housing, participation interests in promissory notes and credit obligations, and mortgage related payment bonds secured by promissory notes; and (8) Engage in the sale, distribution and underwriting of, and deal in, stocks, bonds, debentures, notes, mutual fund shares or unit investment trust interest, and other securities which may be sold by a broker-dealer, financial institution or investment company under Tennessee law. Acts 1989, ch. 168, § 1.
An authorized state bank, directly or indirectly through a subsidiary, may:
(1) Provide portfolio investment advice to customers;
(2) Serve as investment advisor to investment companies, including, but not limited to, open-end and closed-end mutual funds, private investment companies and investment companies registered under the Investment Companies Act of 1940;
(3) Serve as investment or financial advisor to states, counties and municipalities or subdivisions or instrumentalities thereof;
(4) Act as general partner to investment partnerships;
(5) Act as dealer-manager or financial advisor to corporations or partnerships, including, but not limited to, providing valuation advice, opinions with respect to sales or purchases or assets, corporate restructuring, issuances of securities, mergers and other acquisitions;
(6) Engage in the sale, distribution, and underwriting of, and deal in, commercial paper issued by any entity;
(7) Engage in the sale, distribution, and underwriting of, and deal in, promissory notes secured by real estate mortgages, credit obligations secured by real or personal property or manufactured housing, participation interests in promissory notes and credit obligations, and mortgage related payment bonds secured by promissory notes; and
(8) Engage in the sale, distribution and underwriting of, and deal in, stocks, bonds, debentures, notes, mutual fund shares or unit investment trust interest, and other securities which may be sold by a broker-dealer, financial institution or investment company under Tennessee law.
Acts 1989, ch. 168, § 1.
Tenn. Code Ann. § 45-7-110 — TN Code / Title 45 / Chapter 7 / Section 45-7-110
License required
Status: in_force

(a) A person shall not engage in the business of money transmission or advertise, solicit, or hold itself out as providing money transmission, unless the person is licensed under this chapter. (b) Subsection (a) does not apply to: (1) A person that is an authorized delegate of a person licensed under this chapter acting within the scope of authority conferred by a written contract with the licensee; or (2) A person that is exempt pursuant to § 45-7-104 and does not engage in money transmission outside the scope of such exemption. (c) A license issued under § 45-7-115 is not transferable or assignable. Amended by 2023 Tenn. Acts, ch. 115, s 1, eff. 1/1/2024. Acts 1994, ch. 715, § 1; T.C.A., § 45-7-210 .
(a) A person shall not engage in the business of money transmission or advertise, solicit, or hold itself out as providing money transmission, unless the person is licensed under this chapter.
(b) Subsection (a) does not apply to: (1) A person that is an authorized delegate of a person licensed under this chapter acting within the scope of authority conferred by a written contract with the licensee; or (2) A person that is exempt pursuant to § 45-7-104 and does not engage in money transmission outside the scope of such exemption.
(1) A person that is an authorized delegate of a person licensed under this chapter acting within the scope of authority conferred by a written contract with the licensee; or
(2) A person that is exempt pursuant to § 45-7-104 and does not engage in money transmission outside the scope of such exemption.
(c) A license issued under § 45-7-115 is not transferable or assignable.
Amended by 2023 Tenn. Acts, ch. 115, s 1, eff. 1/1/2024.
Acts 1994, ch. 715, § 1; T.C.A., § 45-7-210 .
Tenn. Code Ann. § 45-13-407 — TN Code / Title 45 / Chapter 13 / Section 45-13-407
Censure, suspension, or bar from industry
Status: in_force

(a) If the criminal, civil or administrative judgment involved any offense reasonably related to the qualifications, functions or duties of a person engaged in the business in accordance with this chapter, the commissioner, after notice and opportunity for hearing, may censure, suspend or bar a person from any position of management, control, employment or providing services for any licensee, registrant or other person subject to the commissioner's jurisdiction, if the commissioner finds that: (1) The censure, suspension or bar is in the public interest and that the person has committed or caused a violation of this chapter or any rule, regulation or order of the commissioner; or (2) The person has been: (A) Convicted of or pled guilty to or pled nolo contendere to any crime; or (B) Held liable in any civil action by final judgment or any administrative judgment by any public agency. (b) Persons suspended or barred under this section are prohibited from participating in any business activity of a registrant or licensee and from engaging in any business activity on the premises where a registrant or licensee is conducting its business. This subsection (b) shall not be construed to prohibit suspended or barred persons from having their personal transactions processed by a registrant or licensee. (c) This section shall apply to any violation, conviction, plea or judgment after July 1, 2001. Acts 2009, ch. 499, § 8.
(a) If the criminal, civil or administrative judgment involved any offense reasonably related to the qualifications, functions or duties of a person engaged in the business in accordance with this chapter, the commissioner, after notice and opportunity for hearing, may censure, suspend or bar a person from any position of management, control, employment or providing services for any licensee, registrant or other person subject to the commissioner's jurisdiction, if the commissioner finds that: (1) The censure, suspension or bar is in the public interest and that the person has committed or caused a violation of this chapter or any rule, regulation or order of the commissioner; or (2) The person has been: (A) Convicted of or pled guilty to or pled nolo contendere to any crime; or (B) Held liable in any civil action by final judgment or any administrative judgment by any public agency.
(1) The censure, suspension or bar is in the public interest and that the person has committed or caused a violation of this chapter or any rule, regulation or order of the commissioner; or
(2) The person has been: (A) Convicted of or pled guilty to or pled nolo contendere to any crime; or (B) Held liable in any civil action by final judgment or any administrative judgment by any public agency.
(A) Convicted of or pled guilty to or pled nolo contendere to any crime; or
(B) Held liable in any civil action by final judgment or any administrative judgment by any public agency.
(b) Persons suspended or barred under this section are prohibited from participating in any business activity of a registrant or licensee and from engaging in any business activity on the premises where a registrant or licensee is conducting its business. This subsection (b) shall not be construed to prohibit suspended or barred persons from having their personal transactions processed by a registrant or licensee.
(c) This section shall apply to any violation, conviction, plea or judgment after July 1, 2001.
Acts 2009, ch. 499, § 8.
Tenn. Code Ann. § 45-2-902 — TN Code / Title 45 / Chapter 2 / Section 45-2-902
Authority to engage in leasing safe deposit facilities - Liability of lessor
Status: in_force

Any bank has the right to construct a vault on its real estate, or on premises leased by it, or to rent any vault that, in the judgment of the directors, will provide reasonable means of safety against loss by theft, fire or other cause, in which vault may be placed safes, boxes, or receptacles, for the keeping of jewelry, diamonds, gold, bank notes, bonds, notes, and other valuables, and that may be rented by the bank to other persons on the terms agreed to by the parties, but it is understood that in no event shall the bank be liable for any loss of the jewelry, diamonds, gold, bank notes, bonds, notes, or other valuables by theft, robbery, fire, or other cause, the bank not being the insurer of the safety of the property, nor in any manner liable for the safety of the property. The bank is not required to take any note of property thus deposited, as the person who rents a safe, box, or receptacle is, for the term of the lease, the owner thereof. Acts 1969, ch. 36, § 1 (3.221); T.C.A., § 45-416.
Any bank has the right to construct a vault on its real estate, or on premises leased by it, or to rent any vault that, in the judgment of the directors, will provide reasonable means of safety against loss by theft, fire or other cause, in which vault may be placed safes, boxes, or receptacles, for the keeping of jewelry, diamonds, gold, bank notes, bonds, notes, and other valuables, and that may be rented by the bank to other persons on the terms agreed to by the parties, but it is understood that in no event shall the bank be liable for any loss of the jewelry, diamonds, gold, bank notes, bonds, notes, or other valuables by theft, robbery, fire, or other cause, the bank not being the insurer of the safety of the property, nor in any manner liable for the safety of the property. The bank is not required to take any note of property thus deposited, as the person who rents a safe, box, or receptacle is, for the term of the lease, the owner thereof.
Acts 1969, ch. 36, § 1 (3.221); T.C.A., § 45-416.
Tenn. Code Ann. § 45-2-1713 — TN Code / Title 45 / Chapter 2 / Section 45-2-1713
Disclosing condition of bank, its depositors or debtors
Status: in_force

Any bank examiner or commissioner who knowingly and willfully discloses the condition and affairs of any bank ascertained by an examination as examiner of the bank, or who knowingly and willfully, except to the extent as authorized by this chapter and chapter 1 of this title, reports or gives information as to who are depositors or debtors of a bank where the information is obtained as examiner of the bank, commits a Class C misdemeanor and shall be removed from office; and the fact of the disclosure shall be prima facie evidence that the information was obtained by virtue of the person's office. Acts 1969, ch. 36, § 1 (3.616); 1973, ch. 294, § 6; T.C.A., § 45-1113; Acts 1989, ch. 591, § 113.
Any bank examiner or commissioner who knowingly and willfully discloses the condition and affairs of any bank ascertained by an examination as examiner of the bank, or who knowingly and willfully, except to the extent as authorized by this chapter and chapter 1 of this title, reports or gives information as to who are depositors or debtors of a bank where the information is obtained as examiner of the bank, commits a Class C misdemeanor and shall be removed from office; and the fact of the disclosure shall be prima facie evidence that the information was obtained by virtue of the person's office.
Acts 1969, ch. 36, § 1 (3.616); 1973, ch. 294, § 6; T.C.A., § 45-1113; Acts 1989, ch. 591, § 113.
Tenn. Code Ann. § 45-8-220 — TN Code / Title 45 / Chapter 8 / Section 45-8-220
Show cause order - Appointment of receiver
Status: in_force

(a) If the commissioner finds that a licensee is insolvent, or the licensee is transacting business without authority or in violation of this part or any other law, or it is contrary to the purposes of this part for the licensee to continue business, the commissioner shall communicate the facts to the attorney general and reporter who shall file in the chancery court, in any county where the licensee is doing business, a complaint setting forth the facts and applying for an order requiring the licensee to show cause why its business should not be closed. (b) In a proper case made, the chancery court shall have the power to appoint a receiver to take charge of, settle and wind up the affairs of a licensee under the direction of the court, to enjoin the licensee from doing business, or to make other orders or decrees as the circumstances warrant and the court deems proper. Acts 1989, ch. 124, § 20.
(a) If the commissioner finds that a licensee is insolvent, or the licensee is transacting business without authority or in violation of this part or any other law, or it is contrary to the purposes of this part for the licensee to continue business, the commissioner shall communicate the facts to the attorney general and reporter who shall file in the chancery court, in any county where the licensee is doing business, a complaint setting forth the facts and applying for an order requiring the licensee to show cause why its business should not be closed.
(b) In a proper case made, the chancery court shall have the power to appoint a receiver to take charge of, settle and wind up the affairs of a licensee under the direction of the court, to enjoin the licensee from doing business, or to make other orders or decrees as the circumstances warrant and the court deems proper.
Acts 1989, ch. 124, § 20.
Tenn. Code Ann. § 45-3-1204 — TN Code / Title 45 / Chapter 3 / Section 45-3-1204
Appointment of receiver
Status: in_force

(a) The commissioner, after taking possession of an association for any of the purposes set forth, may, upon application to and approval by the court in which the notice of possession was filed, place the possession of the association in a receiver. (b) Without limitation to the scope of the powers and responsibilities of a receiver under any law of this state, the receiver shall have all the rights, powers, duties, and obligations granted to the commissioner in possession. Acts 1978, ch. 708, § 5.04; T.C.A., § 45-1704.
(a) The commissioner, after taking possession of an association for any of the purposes set forth, may, upon application to and approval by the court in which the notice of possession was filed, place the possession of the association in a receiver.
(b) Without limitation to the scope of the powers and responsibilities of a receiver under any law of this state, the receiver shall have all the rights, powers, duties, and obligations granted to the commissioner in possession.
Acts 1978, ch. 708, § 5.04; T.C.A., § 45-1704.
Tenn. Code Ann. § 45-3-1402 — TN Code / Title 45 / Chapter 3 / Section 45-3-1402
Part definitions
Status: in_force

Notwithstanding other provisions of this title, as used in this part, unless the context otherwise requires: (1) "Acquire" means: (A) The merger or consolidation of one (1) association with another association, or a savings and loan holding company with another savings and loan holding company; (B) The acquisition of the direct or indirect ownership or control of voting shares of an association or savings and loan holding company if, after the acquisition, the acquiring association or savings and loan holding company will directly or indirectly own or control more than five percent (5%) of any class of voting shares of the acquired association or savings and loan holding company; (C) The direct or indirect acquisition of all or substantially all of the assets of an association or savings and loan holding company; and (D) The taking of any other action that would result in the direct or indirect control of an association or savings and loan holding company; (2) "Association" means a mutual or capital stock savings and loan association, building and loan association or savings bank chartered under the laws of any one (1) of the states or by the federal home loan bank board, pursuant to the Home Owners' Loan Act of 1933 ( 12 U.S.C. § 1464 ); (3) "Branch office" means any office at which an association accepts deposits. "Branch office" does not include: (A) Unmanned automatic teller machines, point-of-sale terminals or similar unmanned electronic banking facilities at which deposits may be accepted; (B) Offices located outside the United States; and (C) Loan production offices, representative offices, service corporation offices, or other offices at which deposits are not accepted; (4) "Commissioner" means the commissioner of financial institutions; (5) "Company" means that which is set forth in the Federal Savings and Loan Holding Company Act ( 12 U.S.C. § 1730a(a)(1)(C) [repealed]); (6) "Control" means that which is set forth in the Federal Savings and Loan Holding Company Act ( 12 U.S.C. § 1730a(a)(2) [repealed]); (7) "Deposits" means all demand, time and savings deposits, without regard to the location of the depositor; provided, that "deposits" does not include any deposits by associations. For purposes of this part, determination of deposits shall be made with reference to regulatory reports of condition or similar reports made by or to state and federal regulatory authorities; (8) "Federal association" means an association chartered by the federal home loan bank board pursuant to the Home Owners' Loan Act of 1933; (9) "Out-of-state savings and loan holding company" means a savings and loan holding company that has its principal place of business in a state other than Tennessee and that is not controlled by any other savings and loan holding company; (10) "Principal place of business" of an association means the state in which the aggregate deposits of the association are the largest. For the purposes of this part, the principal place of business of a savings and loan holding company is the state where the aggregate deposits of the association subsidiaries of the holding company are the largest; (11) "Savings and loan holding company" means any company that directly or indirectly controls an association or controls any other company that is a savings and loan holding company; (12) "Service corporation" means any corporation, the majority of the capital stock of which is owned by one (1) or more associations and that engages, directly or indirectly, in any activities that may be engaged in by a service corporation in which an association may invest under the laws of one (1) of the states or under the laws of the United States; (13) "State" means any state of the United States and the District of Columbia; (14) "State association" means an association organized under the laws of one (1) of the states; (15) "Subsidiary" means that which is set forth in the Federal Savings and Loan Holding Company Act ( 12 U.S.C. § 1730a(a)(1)(H) [repealed]); (16) "Tennessee association" means an association organized under the laws of the state of Tennessee or under the laws of the United States and that: (A) Has its principal place of business in the state of Tennessee; (B) Which if controlled by an organization, the organization is either a Tennessee association, southern region association, Tennessee savings and loan holding company, or a southern region savings and loan holding company; and (C) More than eighty percent (80%) of its total deposits, other than deposits located in branch offices acquired pursuant to § 123 of the Garn-St. Germain Depository Institutions Act of 1982 ( 12 U.S.C. § 1730a(m) [repealed]), or comparable state law, are in its branch offices located in one (1) or more of the southern region states; and (17) "Tennessee savings and loan holding company" means a savings and loan holding company that has its principal place of business in Tennessee and that is not controlled by any other savings and loan holding company. Acts 1985, ch. 268, § 1; 1989, ch. 413, § 1; 1990, ch. 650, § 2.
Notwithstanding other provisions of this title, as used in this part, unless the context otherwise requires:
(1) "Acquire" means: (A) The merger or consolidation of one (1) association with another association, or a savings and loan holding company with another savings and loan holding company; (B) The acquisition of the direct or indirect ownership or control of voting shares of an association or savings and loan holding company if, after the acquisition, the acquiring association or savings and loan holding company will directly or indirectly own or control more than five percent (5%) of any class of voting shares of the acquired association or savings and loan holding company; (C) The direct or indirect acquisition of all or substantially all of the assets of an association or savings and loan holding company; and (D) The taking of any other action that would result in the direct or indirect control of an association or savings and loan holding company;
(A) The merger or consolidation of one (1) association with another association, or a savings and loan holding company with another savings and loan holding company;
(B) The acquisition of the direct or indirect ownership or control of voting shares of an association or savings and loan holding company if, after the acquisition, the acquiring association or savings and loan holding company will directly or indirectly own or control more than five percent (5%) of any class of voting shares of the acquired association or savings and loan holding company;
(C) The direct or indirect acquisition of all or substantially all of the assets of an association or savings and loan holding company; and
(D) The taking of any other action that would result in the direct or indirect control of an association or savings and loan holding company;
(2) "Association" means a mutual or capital stock savings and loan association, building and loan association or savings bank chartered under the laws of any one (1) of the states or by the federal home loan bank board, pursuant to the Home Owners' Loan Act of 1933 ( 12 U.S.C. § 1464 );
(3) "Branch office" means any office at which an association accepts deposits. "Branch office" does not include: (A) Unmanned automatic teller machines, point-of-sale terminals or similar unmanned electronic banking facilities at which deposits may be accepted; (B) Offices located outside the United States; and (C) Loan production offices, representative offices, service corporation offices, or other offices at which deposits are not accepted;
(A) Unmanned automatic teller machines, point-of-sale terminals or similar unmanned electronic banking facilities at which deposits may be accepted;
(B) Offices located outside the United States; and
(C) Loan production offices, representative offices, service corporation offices, or other offices at which deposits are not accepted;
(4) "Commissioner" means the commissioner of financial institutions;
(5) "Company" means that which is set forth in the Federal Savings and Loan Holding Company Act ( 12 U.S.C. § 1730a(a)(1)(C) [repealed]);
(6) "Control" means that which is set forth in the Federal Savings and Loan Holding Company Act ( 12 U.S.C. § 1730a(a)(2) [repealed]);
(7) "Deposits" means all demand, time and savings deposits, without regard to the location of the depositor; provided, that "deposits" does not include any deposits by associations. For purposes of this part, determination of deposits shall be made with reference to regulatory reports of condition or similar reports made by or to state and federal regulatory authorities;
(8) "Federal association" means an association chartered by the federal home loan bank board pursuant to the Home Owners' Loan Act of 1933;
(9) "Out-of-state savings and loan holding company" means a savings and loan holding company that has its principal place of business in a state other than Tennessee and that is not controlled by any other savings and loan holding company;
(10) "Principal place of business" of an association means the state in which the aggregate deposits of the association are the largest. For the purposes of this part, the principal place of business of a savings and loan holding company is the state where the aggregate deposits of the association subsidiaries of the holding company are the largest;
(11) "Savings and loan holding company" means any company that directly or indirectly controls an association or controls any other company that is a savings and loan holding company;
(12) "Service corporation" means any corporation, the majority of the capital stock of which is owned by one (1) or more associations and that engages, directly or indirectly, in any activities that may be engaged in by a service corporation in which an association may invest under the laws of one (1) of the states or under the laws of the United States;
(13) "State" means any state of the United States and the District of Columbia;
(14) "State association" means an association organized under the laws of one (1) of the states;
(15) "Subsidiary" means that which is set forth in the Federal Savings and Loan Holding Company Act ( 12 U.S.C. § 1730a(a)(1)(H) [repealed]);
(16) "Tennessee association" means an association organized under the laws of the state of Tennessee or under the laws of the United States and that: (A) Has its principal place of business in the state of Tennessee; (B) Which if controlled by an organization, the organization is either a Tennessee association, southern region association, Tennessee savings and loan holding company, or a southern region savings and loan holding company; and (C) More than eighty percent (80%) of its total deposits, other than deposits located in branch offices acquired pursuant to § 123 of the Garn-St. Germain Depository Institutions Act of 1982 ( 12 U.S.C. § 1730a(m) [repealed]), or comparable state law, are in its branch offices located in one (1) or more of the southern region states; and
(A) Has its principal place of business in the state of Tennessee;
(B) Which if controlled by an organization, the organization is either a Tennessee association, southern region association, Tennessee savings and loan holding company, or a southern region savings and loan holding company; and
(C) More than eighty percent (80%) of its total deposits, other than deposits located in branch offices acquired pursuant to § 123 of the Garn-St. Germain Depository Institutions Act of 1982 ( 12 U.S.C. § 1730a(m) [repealed]), or comparable state law, are in its branch offices located in one (1) or more of the southern region states; and
(17) "Tennessee savings and loan holding company" means a savings and loan holding company that has its principal place of business in Tennessee and that is not controlled by any other savings and loan holding company.
Acts 1985, ch. 268, § 1; 1989, ch. 413, § 1; 1990, ch. 650, § 2.
Tenn. Code Ann. § 45-2-612 — TN Code / Title 45 / Chapter 2 / Section 45-2-612
Endorsement and signature guaranty
Status: in_force

(a) Any bank may assume secondary liability as an endorser of a negotiable or nonnegotiable instrument that it owns or has received for collection or that of the guarantor of the genuineness of a signature. (b) A bank may disclaim all or any part of the foregoing obligation in its guaranty; however, nothing in this section shall conflict with the Uniform Commercial Code, compiled in title 47, and the Uniform Commercial Code shall govern. Acts 1969, ch. 36, § 1 (3.247); T.C.A., § 45-441.
(a) Any bank may assume secondary liability as an endorser of a negotiable or nonnegotiable instrument that it owns or has received for collection or that of the guarantor of the genuineness of a signature.
(b) A bank may disclaim all or any part of the foregoing obligation in its guaranty; however, nothing in this section shall conflict with the Uniform Commercial Code, compiled in title 47, and the Uniform Commercial Code shall govern.
Acts 1969, ch. 36, § 1 (3.247); T.C.A., § 45-441.
Tenn. Code Ann. § 45-3-520 — TN Code / Title 45 / Chapter 3 / Section 45-3-520
Redemption of accounts
Status: in_force

(a) At any time funds are on hand for the purpose, the association shall have the right to redeem by lot or otherwise, as the board of directors may determine, all or any part of any of its deposit accounts on an interest date by giving thirty (30) days' notice by registered mail addressed to each affected depositor at the depositor's last address as recorded on the books of the association. (b) (1) No association shall redeem any of its accounts when the association is in an impaired condition or when it has any delinquent applications for withdrawal on file that have not been paid in full. (2) The redemption price of an account shall be the withdrawal value of the account redeemed, or such greater price as determined by the board of directors. (3) If the notice of redemption has been duly given, and if on or before the redemption date the funds necessary for the redemption has been set aside so as to be and continue to be available therefor, interest upon the accounts called for redemption shall cease to accrue from and after the interest date specified as the redemption date, and all rights with respect to the accounts shall immediately, after the redemption date, terminate, except only any right of depositors of record to receive the redemption price without additional accrual of interest after the redemption date. (c) All account books or other evidence of deposit accounts that have been validly called for redemption must be tendered for payment within seven (7) years from the date of redemption designated in the redemption notice; otherwise, they shall be cancelled, the funds set aside for the accounts shall become the property of the association, and all claims of the former depositors against the association shall be barred forever. Acts 1978, ch. 708, § 2.20; T.C.A., § 45-1420.
(a) At any time funds are on hand for the purpose, the association shall have the right to redeem by lot or otherwise, as the board of directors may determine, all or any part of any of its deposit accounts on an interest date by giving thirty (30) days' notice by registered mail addressed to each affected depositor at the depositor's last address as recorded on the books of the association.
(b) (1) No association shall redeem any of its accounts when the association is in an impaired condition or when it has any delinquent applications for withdrawal on file that have not been paid in full. (2) The redemption price of an account shall be the withdrawal value of the account redeemed, or such greater price as determined by the board of directors. (3) If the notice of redemption has been duly given, and if on or before the redemption date the funds necessary for the redemption has been set aside so as to be and continue to be available therefor, interest upon the accounts called for redemption shall cease to accrue from and after the interest date specified as the redemption date, and all rights with respect to the accounts shall immediately, after the redemption date, terminate, except only any right of depositors of record to receive the redemption price without additional accrual of interest after the redemption date.
(1) No association shall redeem any of its accounts when the association is in an impaired condition or when it has any delinquent applications for withdrawal on file that have not been paid in full.
(2) The redemption price of an account shall be the withdrawal value of the account redeemed, or such greater price as determined by the board of directors.
(3) If the notice of redemption has been duly given, and if on or before the redemption date the funds necessary for the redemption has been set aside so as to be and continue to be available therefor, interest upon the accounts called for redemption shall cease to accrue from and after the interest date specified as the redemption date, and all rights with respect to the accounts shall immediately, after the redemption date, terminate, except only any right of depositors of record to receive the redemption price without additional accrual of interest after the redemption date.
(c) All account books or other evidence of deposit accounts that have been validly called for redemption must be tendered for payment within seven (7) years from the date of redemption designated in the redemption notice; otherwise, they shall be cancelled, the funds set aside for the accounts shall become the property of the association, and all claims of the former depositors against the association shall be barred forever.
Acts 1978, ch. 708, § 2.20; T.C.A., § 45-1420.
Tenn. Code Ann. § 45-8-211 — TN Code / Title 45 / Chapter 8 / Section 45-8-211
Offices - Personnel
Status: in_force

(a) A licensee shall maintain not less than one (1) office in the state. (b) Each office of a licensee, whether within or outside of the state, shall be located in a place that is reasonably accessible to the public. (c) A licensee shall maintain at each of its offices personnel who are competent to conduct the business of the office. (d) Upon written notice to and consent from the commissioner, a licensee may establish, relocate or close an office, except that no consent shall be required if the licensee is well capitalized. Acts 1989, ch. 124, § 11; 1997, ch. 131, § 6.
(a) A licensee shall maintain not less than one (1) office in the state.
(b) Each office of a licensee, whether within or outside of the state, shall be located in a place that is reasonably accessible to the public.
(c) A licensee shall maintain at each of its offices personnel who are competent to conduct the business of the office.
(d) Upon written notice to and consent from the commissioner, a licensee may establish, relocate or close an office, except that no consent shall be required if the licensee is well capitalized.
Acts 1989, ch. 124, § 11; 1997, ch. 131, § 6.
Tenn. Code Ann. § 45-5-611 — TN Code / Title 45 / Chapter 5 / Section 45-5-611
Fees
Status: in_force

The commissioner is authorized and directed to adopt a schedule of fees to cover the reasonable costs of examination and supervision and of the processing of conversion applications provided for in this part. Failure to pay any such fee shall be cause for suspension or revocation of authority or denial of any application. Acts 1983, ch. 274, § 20.
The commissioner is authorized and directed to adopt a schedule of fees to cover the reasonable costs of examination and supervision and of the processing of conversion applications provided for in this part. Failure to pay any such fee shall be cause for suspension or revocation of authority or denial of any application.
Acts 1983, ch. 274, § 20.
Tenn. Code Ann. § 45-15-101 — TN Code / Title 45 / Chapter 15 / Section 45-15-101
Short title
Status: in_force

This chapter shall be known and may be cited as the "Tennessee Title Pledge Act." Acts 1995, ch. 186, § 13.
This chapter shall be known and may be cited as the "Tennessee Title Pledge Act."
Acts 1995, ch. 186, § 13.
Tenn. Code Ann. § 45-1-125 — TN Code / Title 45 / Chapter 1 / Section 45-1-125
Liability of director or officer of financial institution in receivership or reorganization
Status: in_force

A director or officer, including a former director or officer of a financial institution, shall not be liable to the financial institution in receivership or reorganization or to the receiver, shareholders, depositors or creditors of the closed financial institution for money damages for breach of fiduciary duty, unless the claim or action arises out of the breach of the director's duty of loyalty to the financial institution or for acts or omissions not in good faith or that involved intentional misconduct or knowing violation of the law by the director or officer during the director's or officer's term of office with the financial institution. For purposes of this section, "financial institution" means a bank organized under the laws of this state, a national bank with its principal office in this state, a savings and loan association or savings bank organized under the laws of this state, or a federal savings and loan association or federal savings bank with its principal office in this state. This section shall apply both retrospectively and prospectively. Acts 1994, ch. 551, § 3.
A director or officer, including a former director or officer of a financial institution, shall not be liable to the financial institution in receivership or reorganization or to the receiver, shareholders, depositors or creditors of the closed financial institution for money damages for breach of fiduciary duty, unless the claim or action arises out of the breach of the director's duty of loyalty to the financial institution or for acts or omissions not in good faith or that involved intentional misconduct or knowing violation of the law by the director or officer during the director's or officer's term of office with the financial institution. For purposes of this section, "financial institution" means a bank organized under the laws of this state, a national bank with its principal office in this state, a savings and loan association or savings bank organized under the laws of this state, or a federal savings and loan association or federal savings bank with its principal office in this state. This section shall apply both retrospectively and prospectively.
Acts 1994, ch. 551, § 3.
Tenn. Code Ann. § 45-8-206 — TN Code / Title 45 / Chapter 8 / Section 45-8-206
Authority and powers of commissioner
Status: in_force

(a) The commissioner shall administer this part and shall have supervision responsibility for all BIDCOs incorporated under the laws of this state. (b) The commissioner may issue orders and promulgate rules and regulations pursuant to the Uniform Administrative Procedures Act, compiled in title 4, chapter 5. (c) Whenever the commissioner issues an order or license under this part, the commissioner may impose conditions that are deemed necessary or appropriate to effectuate the purposes of this part. (d) Every final order, decision or license action of the commissioner under subsections (b) and (c) is subject to administrative review under the Uniform Administrative Procedures Act. (e) In the event a person does not comply with an order issued pursuant to subsections (b) and (c), the commissioner may petition a chancery court having jurisdiction to seek injunctive relief to compel compliance with the order. The power is conferred and the duty is imposed upon the several chancery courts, in all proper cases, to award injunctive relief; provided, that the order issued by the commissioner shall not be reviewable in a proceeding initiated under this subsection (e). Acts 1989, ch. 124, § 6.
(a) The commissioner shall administer this part and shall have supervision responsibility for all BIDCOs incorporated under the laws of this state.
(b) The commissioner may issue orders and promulgate rules and regulations pursuant to the Uniform Administrative Procedures Act, compiled in title 4, chapter 5.
(c) Whenever the commissioner issues an order or license under this part, the commissioner may impose conditions that are deemed necessary or appropriate to effectuate the purposes of this part.
(d) Every final order, decision or license action of the commissioner under subsections (b) and (c) is subject to administrative review under the Uniform Administrative Procedures Act.
(e) In the event a person does not comply with an order issued pursuant to subsections (b) and (c), the commissioner may petition a chancery court having jurisdiction to seek injunctive relief to compel compliance with the order. The power is conferred and the duty is imposed upon the several chancery courts, in all proper cases, to award injunctive relief; provided, that the order issued by the commissioner shall not be reviewable in a proceeding initiated under this subsection (e).
Acts 1989, ch. 124, § 6.
Tenn. Code Ann. § 45-2-1302 — TN Code / Title 45 / Chapter 2 / Section 45-2-1302
Resulting national bank
Status: in_force

(a) Subject to this chapter and chapter 1 of this title, a state bank may convert into a resulting national bank, or a state or national bank in operation for at least three (3) years shall have the right to merge with any other bank in operation for at least three (3) years in this state so as to result in a national bank. The action to be taken by the merging or converting bank, if a state bank, and its rights and liabilities and those of its stockholders, shall be the same as those prescribed for national banks at the time of the action by the laws of the United States and not by the laws of this state, except that a vote of the holders of two-thirds (2/3) of each class of voting stock of a state bank shall be required for a merger or conversion and that, on conversion by a state bank into a national bank, the rights of dissenting stockholders shall be those specified in § 45-2-1309 . The requirement that both banks be in operation for three (3) years shall not apply if: (1) Both merging banks have their principal offices in the same county; or (2) (A) One (1) merging bank was in existence, as defined in [former] § 45-12-102 , as a bank prior to July 1, 1985, and was located in one (1) of the counties in Tennessee having a population in excess of two hundred thousand (200,000), according to the 1970 federal decennial census, and the other merging bank has been in operation for three (3) years; (B) Notwithstanding § 45-2-614 , the resulting national bank may create and operate branch banks in the county where the merging banks or any branch of either of the merging banks was located prior to the merger. (b) Upon the completion of the merger or conversion, the franchise of any merging or converting state bank shall automatically terminate. (c) A national bank in operation for at least three (3) years shall have the right to merge with an association as defined in § 45-3-104 , in operation for at least three (3) years in this state so as to result in a national bank. The action to be taken by the merging bank or association and its rights and liabilities and those of its stockholders shall be the same as those prescribed for national banks at the time of the action by the laws of the United States and not by the laws of this state, except that a vote of the holders of two-thirds (2/3) of each class of voting stock of a state association shall be required for a merger. The requirement that both financial institutions be in operation for three (3) years shall not apply if both merging institutions have their principal offices in the same county. Acts 1969, ch. 36, § 1 (3.402); T.C.A., § 45-602; Acts 1983, ch. 74, § 1; 1985, ch. 174, § 3; 1985, ch. 204, § 1; 1986, ch. 615, § 1; 2001, ch. 54, § 21; 2003, ch. 32, § 5.
(a) Subject to this chapter and chapter 1 of this title, a state bank may convert into a resulting national bank, or a state or national bank in operation for at least three (3) years shall have the right to merge with any other bank in operation for at least three (3) years in this state so as to result in a national bank. The action to be taken by the merging or converting bank, if a state bank, and its rights and liabilities and those of its stockholders, shall be the same as those prescribed for national banks at the time of the action by the laws of the United States and not by the laws of this state, except that a vote of the holders of two-thirds (2/3) of each class of voting stock of a state bank shall be required for a merger or conversion and that, on conversion by a state bank into a national bank, the rights of dissenting stockholders shall be those specified in § 45-2-1309 . The requirement that both banks be in operation for three (3) years shall not apply if: (1) Both merging banks have their principal offices in the same county; or (2) (A) One (1) merging bank was in existence, as defined in [former] § 45-12-102 , as a bank prior to July 1, 1985, and was located in one (1) of the counties in Tennessee having a population in excess of two hundred thousand (200,000), according to the 1970 federal decennial census, and the other merging bank has been in operation for three (3) years; (B) Notwithstanding § 45-2-614 , the resulting national bank may create and operate branch banks in the county where the merging banks or any branch of either of the merging banks was located prior to the merger.
(1) Both merging banks have their principal offices in the same county; or
(2) (A) One (1) merging bank was in existence, as defined in [former] § 45-12-102 , as a bank prior to July 1, 1985, and was located in one (1) of the counties in Tennessee having a population in excess of two hundred thousand (200,000), according to the 1970 federal decennial census, and the other merging bank has been in operation for three (3) years; (B) Notwithstanding § 45-2-614 , the resulting national bank may create and operate branch banks in the county where the merging banks or any branch of either of the merging banks was located prior to the merger.
(A) One (1) merging bank was in existence, as defined in [former] § 45-12-102 , as a bank prior to July 1, 1985, and was located in one (1) of the counties in Tennessee having a population in excess of two hundred thousand (200,000), according to the 1970 federal decennial census, and the other merging bank has been in operation for three (3) years;
(B) Notwithstanding § 45-2-614 , the resulting national bank may create and operate branch banks in the county where the merging banks or any branch of either of the merging banks was located prior to the merger.
(b) Upon the completion of the merger or conversion, the franchise of any merging or converting state bank shall automatically terminate.
(c) A national bank in operation for at least three (3) years shall have the right to merge with an association as defined in § 45-3-104 , in operation for at least three (3) years in this state so as to result in a national bank. The action to be taken by the merging bank or association and its rights and liabilities and those of its stockholders shall be the same as those prescribed for national banks at the time of the action by the laws of the United States and not by the laws of this state, except that a vote of the holders of two-thirds (2/3) of each class of voting stock of a state association shall be required for a merger. The requirement that both financial institutions be in operation for three (3) years shall not apply if both merging institutions have their principal offices in the same county.
Acts 1969, ch. 36, § 1 (3.402); T.C.A., § 45-602; Acts 1983, ch. 74, § 1; 1985, ch. 174, § 3; 1985, ch. 204, § 1; 1986, ch. 615, § 1; 2001, ch. 54, § 21; 2003, ch. 32, § 5.
Tenn. Code Ann. § 45-7-127 — TN Code / Title 45 / Chapter 7 / Section 45-7-127
Unauthorized activities
Status: in_force

A person shall not engage in the business of money transmission on behalf of a person not licensed under this chapter or not exempt pursuant to § 45-7-104 . A person that engages in such activity provides money transmission to the same extent as if the person were a licensee, and is jointly and severally liable with the unlicensed or nonexempt person. Amended by 2023 Tenn. Acts, ch. 115, s 1, eff. 1/1/2024. Acts 2013, ch. 103, § 2; T.C.A., § 45-7-227 .
A person shall not engage in the business of money transmission on behalf of a person not licensed under this chapter or not exempt pursuant to § 45-7-104 . A person that engages in such activity provides money transmission to the same extent as if the person were a licensee, and is jointly and severally liable with the unlicensed or nonexempt person.
Amended by 2023 Tenn. Acts, ch. 115, s 1, eff. 1/1/2024.
Acts 2013, ch. 103, § 2; T.C.A., § 45-7-227 .
Tenn. Code Ann. § 45-4-1101 — TN Code / Title 45 / Chapter 4 / Section 45-4-1101
Creation
Status: in_force

(a) There is created the state credit union share insurance corporation, a nonprofit membership public corporation, sometimes referred to as "the corporation" in this part. (b) The corporation may begin operations at any time within one (1) year after March 13, 1974, upon the adoption of articles of incorporation by the duly authorized representatives of not less than nine (9) credit unions chartered and existing under the laws of Tennessee. The articles of incorporation shall be subject to the approval of the commissioner of financial institutions, and shall be filed with the secretary of state and with the commissioner; and shall be recorded in the register's office of Hamilton County in which shall be located the principal office of the corporation. Acts 1974, ch. 577, § 1; T.C.A., § 45-1835; Acts 1986, ch. 558, § 5.
(a) There is created the state credit union share insurance corporation, a nonprofit membership public corporation, sometimes referred to as "the corporation" in this part.
(b) The corporation may begin operations at any time within one (1) year after March 13, 1974, upon the adoption of articles of incorporation by the duly authorized representatives of not less than nine (9) credit unions chartered and existing under the laws of Tennessee. The articles of incorporation shall be subject to the approval of the commissioner of financial institutions, and shall be filed with the secretary of state and with the commissioner; and shall be recorded in the register's office of Hamilton County in which shall be located the principal office of the corporation.
Acts 1974, ch. 577, § 1; T.C.A., § 45-1835; Acts 1986, ch. 558, § 5.
Tenn. Code Ann. § 45-4-406 — TN Code / Title 45 / Chapter 4 / Section 45-4-406
"Payable-on-death" share accounts and share deposits in trust - Powers of attorney
Status: in_force

The following provisions of chapter 2 of this title are applicable to credit unions: (1) Section 45-2-704 relating to contracts for "payable-on-death" share accounts and share deposits in trust; (2) Section 45-2-707 relating to powers of attorney; and (3) Sections 45-2-711 and 45-2-712 relating to payment of checks. Amended by 2014 Tenn. Acts, ch. 597,s 4, eff. 3/28/2014. Acts 1991, ch. 118, § 1.
The following provisions of chapter 2 of this title are applicable to credit unions:
(1) Section 45-2-704 relating to contracts for "payable-on-death" share accounts and share deposits in trust;
(2) Section 45-2-707 relating to powers of attorney; and
(3) Sections 45-2-711 and 45-2-712 relating to payment of checks.
Amended by 2014 Tenn. Acts, ch. 597,s 4, eff. 3/28/2014.
Acts 1991, ch. 118, § 1.
Tenn. Code Ann. § 45-5-504 — TN Code / Title 45 / Chapter 5 / Section 45-5-504
Violations - Cease and Desist Orders - Penalties
Status: in_force

If, after notice and opportunity for a hearing, the commissioner finds that a person has violated this chapter, or any administrative rule issued pursuant to this chapter, the commissioner may take any or all of the following actions: (1) Order the person to cease and desist violating this chapter or any administrative rule issued pursuant to this chapter; (2) Require the refund of any interest, fees, or charges collected by the person in violation of this chapter or any administrative rule issued pursuant to this chapter; and (3) Order the person to pay the commissioner a civil monetary penalty of not more than ten thousand dollars ($10,000) for each violation of this chapter or administrative rule issued pursuant to this chapter. Acts 1979, ch. 204, § 20; T.C.A., § 45-2020; Acts 2004, ch. 747, § 14.
If, after notice and opportunity for a hearing, the commissioner finds that a person has violated this chapter, or any administrative rule issued pursuant to this chapter, the commissioner may take any or all of the following actions:
(1) Order the person to cease and desist violating this chapter or any administrative rule issued pursuant to this chapter;
(2) Require the refund of any interest, fees, or charges collected by the person in violation of this chapter or any administrative rule issued pursuant to this chapter; and
(3) Order the person to pay the commissioner a civil monetary penalty of not more than ten thousand dollars ($10,000) for each violation of this chapter or administrative rule issued pursuant to this chapter.
Acts 1979, ch. 204, § 20; T.C.A., § 45-2020; Acts 2004, ch. 747, § 14.
Tenn. Code Ann. § 45-3-813 — TN Code / Title 45 / Chapter 3 / Section 45-3-813
Commissioner authorized to have appraisals made at expense of association
Status: in_force

The commissioner is authorized, in connection with any examination or audit of any association, to cause to be made appraisals of real estate owned or held by the association as security or otherwise when specific facts or information with respect to the real estate, or when in the commissioner's opinion the association's policies, practices, operating results, and trends, give evidence that an association's appraisals may be excessive, that lending or investment may be of a marginal nature, that appraisal policies and practices may not conform with generally accepted and established professional standards, or that real estate held by the association for any purpose is overvalued. In lieu of causing the appraisals to be made, the commissioner may accept any appraisal caused to be made by the federal home loan bank board, or by the federal savings and loan insurance corporation or other insuring agency approved by the commissioner under this chapter. Unless otherwise ordered by the commissioner, appraisal of real estate in connection with any examination or audit pursuant to this section shall be made by a professional appraiser or appraisers selected by the commissioner, and the cost of the appraisal shall be paid promptly by the association directly to the appraiser or appraisers upon receipt by the association of a statement of the cost bearing the written approval of the commissioner. A copy of the report of each appraisal caused to be made by the commissioner pursuant to this section shall be furnished to the association within a reasonable time, not to exceed sixty (60) days following the completion of the appraisals, and may be furnished to the insuring agency. Acts 1978, ch. 708, § 3.13; T.C.A., § 45-1520.
The commissioner is authorized, in connection with any examination or audit of any association, to cause to be made appraisals of real estate owned or held by the association as security or otherwise when specific facts or information with respect to the real estate, or when in the commissioner's opinion the association's policies, practices, operating results, and trends, give evidence that an association's appraisals may be excessive, that lending or investment may be of a marginal nature, that appraisal policies and practices may not conform with generally accepted and established professional standards, or that real estate held by the association for any purpose is overvalued. In lieu of causing the appraisals to be made, the commissioner may accept any appraisal caused to be made by the federal home loan bank board, or by the federal savings and loan insurance corporation or other insuring agency approved by the commissioner under this chapter. Unless otherwise ordered by the commissioner, appraisal of real estate in connection with any examination or audit pursuant to this section shall be made by a professional appraiser or appraisers selected by the commissioner, and the cost of the appraisal shall be paid promptly by the association directly to the appraiser or appraisers upon receipt by the association of a statement of the cost bearing the written approval of the commissioner. A copy of the report of each appraisal caused to be made by the commissioner pursuant to this section shall be furnished to the association within a reasonable time, not to exceed sixty (60) days following the completion of the appraisals, and may be furnished to the insuring agency.
Acts 1978, ch. 708, § 3.13; T.C.A., § 45-1520.
Tenn. Code Ann. § 45-2-1716 — TN Code / Title 45 / Chapter 2 / Section 45-2-1716
Appropriation of property, false entries, or refusal to make reports
Status: in_force

(a) Any director, officer, or employee of any bank commits a Class C misdemeanor who: (1) Knowingly receives or possesses any of the bank's property, otherwise than in payment for a just demand, or with intent to defraud, and omits to make, or causes the omission of, a full and true entry thereof in its books and accounts; (2) Concurs in omitting to make any material entry in its books or accounts; or (3) Knowingly by letterhead, newspaper advertisement, or otherwise represents its capital stock to be in excess of the actual capital paid in, or knowingly concurs in making or publishing any written report, exhibit, or statement of its affairs or pecuniary conditions, making any material statement that is false and by which the bank is made to appear in better condition than it really is, or knowingly omits or concurs in omitting any statement required by law. (b) This section shall not be construed to conflict with § 39-14-103 . Acts 1969, ch. 36, § 1 (3.615); T.C.A., § 45-1116; Acts 1989, ch. 591, § 113; 1996, ch. 675, § 46.
(a) Any director, officer, or employee of any bank commits a Class C misdemeanor who: (1) Knowingly receives or possesses any of the bank's property, otherwise than in payment for a just demand, or with intent to defraud, and omits to make, or causes the omission of, a full and true entry thereof in its books and accounts; (2) Concurs in omitting to make any material entry in its books or accounts; or (3) Knowingly by letterhead, newspaper advertisement, or otherwise represents its capital stock to be in excess of the actual capital paid in, or knowingly concurs in making or publishing any written report, exhibit, or statement of its affairs or pecuniary conditions, making any material statement that is false and by which the bank is made to appear in better condition than it really is, or knowingly omits or concurs in omitting any statement required by law.
(1) Knowingly receives or possesses any of the bank's property, otherwise than in payment for a just demand, or with intent to defraud, and omits to make, or causes the omission of, a full and true entry thereof in its books and accounts;
(2) Concurs in omitting to make any material entry in its books or accounts; or
(3) Knowingly by letterhead, newspaper advertisement, or otherwise represents its capital stock to be in excess of the actual capital paid in, or knowingly concurs in making or publishing any written report, exhibit, or statement of its affairs or pecuniary conditions, making any material statement that is false and by which the bank is made to appear in better condition than it really is, or knowingly omits or concurs in omitting any statement required by law.
(b) This section shall not be construed to conflict with § 39-14-103 .
Acts 1969, ch. 36, § 1 (3.615); T.C.A., § 45-1116; Acts 1989, ch. 591, § 113; 1996, ch. 675, § 46.
Tenn. Code Ann. § 45-4-1209 — TN Code / Title 45 / Chapter 4 / Section 45-4-1209
Directors
Status: in_force

The corporation's business shall be conducted by the directors, who shall be elected pursuant to the terms, conditions and provisions of the corporation's bylaws. Acts 1981, ch. 76, § 9; 1985, ch. 16, §§ 1, 2; 1986, ch. 558, § 5; 1995, ch. 23, § 6.
The corporation's business shall be conducted by the directors, who shall be elected pursuant to the terms, conditions and provisions of the corporation's bylaws.
Acts 1981, ch. 76, § 9; 1985, ch. 16, §§ 1, 2; 1986, ch. 558, § 5; 1995, ch. 23, § 6.
Tenn. Code Ann. § 45-4-103 — TN Code / Title 45 / Chapter 4 / Section 45-4-103
Certificate of approval issued by commissioner of financial institutions on approval
Status: in_force

The commissioner shall approve the certificate of organization, and the bylaws, and if satisfied that the proposed field of operation is favorable to the success of the corporation and that the standing of the proposed incorporators is such as to give assurance that its affairs will be properly administered, the commissioner shall issue to the proposed incorporators a certificate of approval, annexed to the duplicate of the certificate of organization and of the bylaws. Acts 1923, ch 68, § 4; Shan. Supp., § 2198a7; Code 1932, § 3835; Acts 1937, ch. 264, § 3; C. Supp. 1950, § 3835; Acts 1973, ch. 294, § 6; T.C.A. (orig. ed.), § 45-1804; Acts 1986, ch. 558, § 5.
The commissioner shall approve the certificate of organization, and the bylaws, and if satisfied that the proposed field of operation is favorable to the success of the corporation and that the standing of the proposed incorporators is such as to give assurance that its affairs will be properly administered, the commissioner shall issue to the proposed incorporators a certificate of approval, annexed to the duplicate of the certificate of organization and of the bylaws.
Acts 1923, ch 68, § 4; Shan. Supp., § 2198a7; Code 1932, § 3835; Acts 1937, ch. 264, § 3; C. Supp. 1950, § 3835; Acts 1973, ch. 294, § 6; T.C.A. (orig. ed.), § 45-1804; Acts 1986, ch. 558, § 5.
Tenn. Code Ann. § 45-2-706 — TN Code / Title 45 / Chapter 2 / Section 45-2-706
Adverse claim to bank deposit
Status: in_force

Notice to any bank 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 to recognize the adverse claimant unless the adverse claimant shall procure a restraining order, injunction or other appropriate process against the bank from a court of competent jurisdiction. Acts 1969, ch. 36, § 1 (3.207); T.C.A., § 45-410.
Notice to any bank 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 to recognize the adverse claimant unless the adverse claimant shall procure a restraining order, injunction or other appropriate process against the bank from a court of competent jurisdiction.
Acts 1969, ch. 36, § 1 (3.207); T.C.A., § 45-410.
Tenn. Code Ann. § 45-3-810 — TN Code / Title 45 / Chapter 3 / Section 45-3-810
Additional and special reports
Status: in_force

(a) Monthly Reports. Every association shall, within ten (10) days after each calendar month, furnish the commissioner with a monthly report of the operations and financial condition of the association, in the form and containing the information that the commissioner prescribes. (b) Special Reports. The commissioner may call for a special report from any association, in the form and containing the information that the commissioner prescribes. Acts 1978, ch. 708, § 3.10; T.C.A., § 45-1517.
(a) Monthly Reports. Every association shall, within ten (10) days after each calendar month, furnish the commissioner with a monthly report of the operations and financial condition of the association, in the form and containing the information that the commissioner prescribes.
(b) Special Reports. The commissioner may call for a special report from any association, in the form and containing the information that the commissioner prescribes.
Acts 1978, ch. 708, § 3.10; T.C.A., § 45-1517.
Tenn. Code Ann. § 45-11-101 — TN Code / Title 45 / Chapter 11 / Section 45-11-101
Short title
Status: in_force

This chapter shall be known and may be cited as the "Financial Institutions Conversion Act of 1985." Acts 1985, ch. 174, § 1.
This chapter shall be known and may be cited as the "Financial Institutions Conversion Act of 1985."
Acts 1985, ch. 174, § 1.
Tenn. Code Ann. § 45-4-203 — TN Code / Title 45 / Chapter 4 / Section 45-4-203
Choice between credit committee or loan officers - Duties - Loans - Applications and security
Status: in_force

(a) The board of directors shall determine whether the credit union shall have a credit committee. If the board determines that the credit union shall not have a credit committee, the board of directors shall appoint one (1) or more loan officers, and the loan officer or officers shall approve or disapprove every loan or advance made by the corporation to members. If the board of directors determines that the credit union shall have a credit committee, the credit committee shall be appointed by the board of directors, report to the board of directors, serve under the terms and conditions determined by the board of directors and approve or disapprove every loan or advance made by the corporation to members, except as herein provided. The credit committee may appoint one (1) or more loan officers and delegate to the loan officer or officers the power to approve or disapprove loans. Each loan officer shall furnish to the credit committee, or, in the absence of the committee, to the board of directors, a record of each loan approved or not approved by the officer within thirty (30) days of the date of the filing of the application for the loan. No individual shall have authority to disburse funds of the credit union for any loan that has been approved by that person in capacity as a loan officer. (b) Every application for a loan shall be in writing, on a form prepared by the board of directors, and shall state the purpose for which the loan is desired and the security, if any, offered. (c) The board of directors shall establish the maximum limits for unsecured loans, subject, however, to the other provisions of this section. Endorsement of a note or assignment of shares in any credit union may be considered security in the meaning of this section. When a loan is considered by the credit committee, no loan shall be made unless it has received the unanimous approval of the members of the committee present when the loan was considered, which number shall constitute at least a majority of the committee. No loan shall be made to any member that causes the member to become indebted to the credit union in the aggregate, upon loans made to the member, in excess of ten percent (10%) of the credit union's assets, or three hundred dollars ($300), whichever is greater. (d) An applicant for a loan may appeal to: (1) The directors if the initial decision to disapprove the loan is made by the credit committee or by a loan officer in the absence of a credit committee; or (2) The credit committee if the initial decision to disapprove the loan is made by a loan officer. Acts 1923, ch. 68, § 13; Shan. Supp., § 2198a20; Code 1932, § 3847; Acts 1947, ch. 125, § 1; C. Supp. 1950, § 3847; Acts 1957, ch. 69, § 1; 1959, ch. 199, § 1; 1963, ch. 30, § 4; 1967, ch. 227, § 4; 1970, ch. 409, § 1; 1979, ch. 86, § 4; T.C.A. (orig. ed.), § 45-1815; Acts 1981, ch. 53, §§ 1-3; 1985, ch. 17, § 3; 1989, ch. 223, § 7.
(a) The board of directors shall determine whether the credit union shall have a credit committee. If the board determines that the credit union shall not have a credit committee, the board of directors shall appoint one (1) or more loan officers, and the loan officer or officers shall approve or disapprove every loan or advance made by the corporation to members. If the board of directors determines that the credit union shall have a credit committee, the credit committee shall be appointed by the board of directors, report to the board of directors, serve under the terms and conditions determined by the board of directors and approve or disapprove every loan or advance made by the corporation to members, except as herein provided. The credit committee may appoint one (1) or more loan officers and delegate to the loan officer or officers the power to approve or disapprove loans. Each loan officer shall furnish to the credit committee, or, in the absence of the committee, to the board of directors, a record of each loan approved or not approved by the officer within thirty (30) days of the date of the filing of the application for the loan. No individual shall have authority to disburse funds of the credit union for any loan that has been approved by that person in capacity as a loan officer.
(b) Every application for a loan shall be in writing, on a form prepared by the board of directors, and shall state the purpose for which the loan is desired and the security, if any, offered.
(c) The board of directors shall establish the maximum limits for unsecured loans, subject, however, to the other provisions of this section. Endorsement of a note or assignment of shares in any credit union may be considered security in the meaning of this section. When a loan is considered by the credit committee, no loan shall be made unless it has received the unanimous approval of the members of the committee present when the loan was considered, which number shall constitute at least a majority of the committee. No loan shall be made to any member that causes the member to become indebted to the credit union in the aggregate, upon loans made to the member, in excess of ten percent (10%) of the credit union's assets, or three hundred dollars ($300), whichever is greater.
(d) An applicant for a loan may appeal to: (1) The directors if the initial decision to disapprove the loan is made by the credit committee or by a loan officer in the absence of a credit committee; or (2) The credit committee if the initial decision to disapprove the loan is made by a loan officer.
(1) The directors if the initial decision to disapprove the loan is made by the credit committee or by a loan officer in the absence of a credit committee; or
(2) The credit committee if the initial decision to disapprove the loan is made by a loan officer.
Acts 1923, ch. 68, § 13; Shan. Supp., § 2198a20; Code 1932, § 3847; Acts 1947, ch. 125, § 1; C. Supp. 1950, § 3847; Acts 1957, ch. 69, § 1; 1959, ch. 199, § 1; 1963, ch. 30, § 4; 1967, ch. 227, § 4; 1970, ch. 409, § 1; 1979, ch. 86, § 4; T.C.A. (orig. ed.), § 45-1815; Acts 1981, ch. 53, §§ 1-3; 1985, ch. 17, § 3; 1989, ch. 223, § 7.
Tenn. Code Ann. § 45-2-1906 — TN Code / Title 45 / Chapter 2 / Section 45-2-1906
Computation of interest
Status: in_force

(a) A bank may charge and collect the interest charges authorized by § 45-2-1904(a) on each credit extension under the credit card plan from the date the cardholder makes a purchase or obtains a cash advance through the date payment is credited to the account in accordance with applicable federal law. (b) Subject to the terms of the written agreement between a bank and a cardholder, outstanding balances may be computed at the beginning or end of any period or on an average basis for the period. Outstanding balances may include any interest charges and other fees and charges posted to the account. Accordingly, a bank may compound interest charges on extension of credit under this part, on a daily or other basis. (c) For purposes of determining the daily, weekly, monthly or quarterly rate of interest equivalent to an annual rate, the annual rate shall be divided by: three hundred sixty (360), if the written agreement so provides, or three hundred sixty-five (365), fifty-two (52), twelve (12), or four (4), as the case may be, without regard to the effect of leap years, periods of varying lengths, compounding of interest charges or other factors. A billing period shall be deemed to be a month or monthly if the last day of each billing period is on the same day of each month or does not vary by more than four (4) days from the same day. (d) Payments received by a bank under a credit card account may be applied by the bank to purchases, cash advances and/or fees and charges imposed by the bank, in any order, and a bank shall not be required to set forth its payment allocation method in the account agreement or give notice of a change in its payment allocation method, except as required by federal law. Acts 1993, ch. 447, § 9; 2001, ch. 54, § 33.
(a) A bank may charge and collect the interest charges authorized by § 45-2-1904(a) on each credit extension under the credit card plan from the date the cardholder makes a purchase or obtains a cash advance through the date payment is credited to the account in accordance with applicable federal law.
(b) Subject to the terms of the written agreement between a bank and a cardholder, outstanding balances may be computed at the beginning or end of any period or on an average basis for the period. Outstanding balances may include any interest charges and other fees and charges posted to the account. Accordingly, a bank may compound interest charges on extension of credit under this part, on a daily or other basis.
(c) For purposes of determining the daily, weekly, monthly or quarterly rate of interest equivalent to an annual rate, the annual rate shall be divided by: three hundred sixty (360), if the written agreement so provides, or three hundred sixty-five (365), fifty-two (52), twelve (12), or four (4), as the case may be, without regard to the effect of leap years, periods of varying lengths, compounding of interest charges or other factors. A billing period shall be deemed to be a month or monthly if the last day of each billing period is on the same day of each month or does not vary by more than four (4) days from the same day.
(d) Payments received by a bank under a credit card account may be applied by the bank to purchases, cash advances and/or fees and charges imposed by the bank, in any order, and a bank shall not be required to set forth its payment allocation method in the account agreement or give notice of a change in its payment allocation method, except as required by federal law.
Acts 1993, ch. 447, § 9; 2001, ch. 54, § 33.
Tenn. Code Ann. § 45-11-104 — TN Code / Title 45 / Chapter 11 / Section 45-11-104
Conversion of charter
Status: in_force

Any financial institution may apply to the commissioner for permission to convert its charter in order to do business as another type of financial institution in accordance with the procedures prescribed in this chapter. Acts 1985, ch. 174, § 2.
Any financial institution may apply to the commissioner for permission to convert its charter in order to do business as another type of financial institution in accordance with the procedures prescribed in this chapter.
Acts 1985, ch. 174, § 2.
Tenn. Code Ann. § 45-8-226 — TN Code / Title 45 / Chapter 8 / Section 45-8-226
Inapplicability of Section 45-8-212 to well capitalized licensee
Status: in_force

The requirements of § 45-8-212 shall not be applicable to a well capitalized licensee; provided, that within thirty (30) days of ceasing to be well capitalized, a licensee must apply for commissioner approval in order to retain any business acquired without the commissioner's prior approval. Acts 1997 , ch. 131, § 8.
The requirements of § 45-8-212 shall not be applicable to a well capitalized licensee; provided, that within thirty (30) days of ceasing to be well capitalized, a licensee must apply for commissioner approval in order to retain any business acquired without the commissioner's prior approval.
Acts 1997 , ch. 131, § 8.
Tenn. Code Ann. § 45-1-101 — TN Code / Title 45 / Chapter 1 / Section 45-1-101
Short title
Status: in_force

This chapter and chapter 2 of this title shall be known and may be cited as the "Tennessee Banking Act." Amended by 2017 Tenn. Acts, ch. 457,s 2, eff. 7/1/2017. Acts 1969, ch. 36, § 1 (1.101); T.C.A., § 45-101.
This chapter and chapter 2 of this title shall be known and may be cited as the "Tennessee Banking Act."
Amended by 2017 Tenn. Acts, ch. 457,s 2, eff. 7/1/2017.
Acts 1969, ch. 36, § 1 (1.101); T.C.A., § 45-101.
Tenn. Code Ann. § 45-5-106 — TN Code / Title 45 / Chapter 5 / Section 45-5-106
Violation of provisions a misdemeanor - Penalty
Status: in_force

Any person who willfully violates this chapter commits a Class C misdemeanor. Acts 1979, ch. 204, § 23; T.C.A., § 45-2023; Acts 1989, ch. 591, § 113.
Any person who willfully violates this chapter commits a Class C misdemeanor.
Acts 1979, ch. 204, § 23; T.C.A., § 45-2023; Acts 1989, ch. 591, § 113.
Tenn. Code Ann. § 45-4-803 — TN Code / Title 45 / Chapter 4 / Section 45-4-803
State and federal credit unions to be equally subject to taxation
Status: in_force

Except for taxes on property and the credit union fees provided by law, no tax levied by this state, whether privilege, excise, franchise, sales or otherwise, shall be levied upon or be applicable to any credit union chartered under the laws of this state unless and until the same tax may be legally levied upon and be applicable to federally chartered credit unions in this state, in which case the tax shall be levied upon and be applicable to the state and federally chartered credit unions. Acts 1980, ch. 559, § 3.
Except for taxes on property and the credit union fees provided by law, no tax levied by this state, whether privilege, excise, franchise, sales or otherwise, shall be levied upon or be applicable to any credit union chartered under the laws of this state unless and until the same tax may be legally levied upon and be applicable to federally chartered credit unions in this state, in which case the tax shall be levied upon and be applicable to the state and federally chartered credit unions.
Acts 1980, ch. 559, § 3.
Tenn. Code Ann. § 45-9-104 — TN Code / Title 45 / Chapter 9 / Section 45-9-104
Applicability of other laws
Status: in_force

(a) Chapters 1 and 2 of this title apply to any corporation organized under this chapter unless and to the extent the commissioner, exercising discretion, deems the provision or provisions or part of the provisions to be inconsistent with the purpose or purposes of this chapter or otherwise inapplicable to corporations organized under this chapter. (b) All other laws of Tennessee, except to the extent expressly inconsistent herewith, shall apply to corporations organized under this chapter. Acts 1983, ch. 104, § 5.
(a) Chapters 1 and 2 of this title apply to any corporation organized under this chapter unless and to the extent the commissioner, exercising discretion, deems the provision or provisions or part of the provisions to be inconsistent with the purpose or purposes of this chapter or otherwise inapplicable to corporations organized under this chapter.
(b) All other laws of Tennessee, except to the extent expressly inconsistent herewith, shall apply to corporations organized under this chapter.
Acts 1983, ch. 104, § 5.
Tenn. Code Ann. § 45-2-219 — TN Code / Title 45 / Chapter 2 / Section 45-2-219
Charter null and void on ceasing business - Definition
Status: in_force

Any charter issued under this chapter shall be null and void if an institution that is chartered and commences business ceases to conduct business and no business is conducted for a period of two (2) years. For the purposes of this section, "business" means: (1) Receiving deposits, paying out money on checks and making loans; or (2) Acting as a fiduciary for the purposes of a trust company. Acts 1999, ch. 112, § 5.
Any charter issued under this chapter shall be null and void if an institution that is chartered and commences business ceases to conduct business and no business is conducted for a period of two (2) years. For the purposes of this section, "business" means:
(1) Receiving deposits, paying out money on checks and making loans; or
(2) Acting as a fiduciary for the purposes of a trust company.
Acts 1999, ch. 112, § 5.
Tenn. Code Ann. § 45-2-606 — TN Code / Title 45 / Chapter 2 / Section 45-2-606
Depositories
Status: in_force

Any bank may, for the convenience of its customers, provide suitable receptacles on, in, or as a part of the bank premises for the deposit of money, checks and other property, and may contract with its customers, through display of appropriate notice upon the receptacles or by written notice to its customers, that the receptacles are instrumentalities of the customer and that money, checks or other property placed in them shall not be considered to be deposited with the bank until received by an employee or officer of the bank. The receptacle shall not be placed in or located on, in or about any premises where the bank cannot legally carry on the business of banking. Acts 1969, ch. 36, § 1 (3.211); T.C.A., § 45-414.
Any bank may, for the convenience of its customers, provide suitable receptacles on, in, or as a part of the bank premises for the deposit of money, checks and other property, and may contract with its customers, through display of appropriate notice upon the receptacles or by written notice to its customers, that the receptacles are instrumentalities of the customer and that money, checks or other property placed in them shall not be considered to be deposited with the bank until received by an employee or officer of the bank. The receptacle shall not be placed in or located on, in or about any premises where the bank cannot legally carry on the business of banking.
Acts 1969, ch. 36, § 1 (3.211); T.C.A., § 45-414.
Tenn. Code Ann. § 45-7-139 — TN Code / Title 45 / Chapter 7 / Section 45-7-139
Suspension and revocation
Status: in_force

After notice and an opportunity for a hearing, the commissioner may suspend or revoke a licensee's license if the commissioner finds that: (1) A fact or condition exists that, if it had existed at the time when the licensee applied for its license, would have been grounds for denying the application; (2) The licensee's net worth becomes inadequate and the licensee, after ten (10) days' written notice from the commissioner, fails to take steps the commissioner deems necessary to remedy the deficiency; (3) The licensee violated this chapter or any rule or order validly promulgated or issued by the commissioner under authority of this chapter; (4) An authorized delegate or authorized delegates of a licensee violated this chapter or any rule or order validly promulgated or issued by the commissioner under authority of this chapter, without the licensee making reasonable efforts to correct the violations known to the licensee to exist; (5) The licensee is conducting business in an unsafe or unsound manner; (6) The licensee is insolvent; (7) The licensee has demonstrated a pattern of failure or refusal to promptly pay obligations on payment instruments or transmissions of money or has made an assignment for the benefit of its creditors; (8) The licensee has applied for an adjudication of bankruptcy, reorganization, arrangement, or other relief under any bankruptcy; (9) The licensee refused to permit the commissioner to make any examination authorized by this chapter; (10) The licensee willfully failed to make any report or pay any fee required by this chapter; (11) The licensee engaged in fraud, intentional misrepresentation, or gross negligence; or (12) The licensee made or caused to be made in any application or report filed with the commissioner or any proceeding before the commissioner, any statement that was at the time and in the circumstances under which it was made, false or misleading with respect to any material fact, or has omitted to state in the application or report any material fact that is required to be stated in the application or report. Added by 2023 Tenn. Acts, ch. 115, s 1, eff. 1/1/2024.
After notice and an opportunity for a hearing, the commissioner may suspend or revoke a licensee's license if the commissioner finds that:
(1) A fact or condition exists that, if it had existed at the time when the licensee applied for its license, would have been grounds for denying the application;
(2) The licensee's net worth becomes inadequate and the licensee, after ten (10) days' written notice from the commissioner, fails to take steps the commissioner deems necessary to remedy the deficiency;
(3) The licensee violated this chapter or any rule or order validly promulgated or issued by the commissioner under authority of this chapter;
(4) An authorized delegate or authorized delegates of a licensee violated this chapter or any rule or order validly promulgated or issued by the commissioner under authority of this chapter, without the licensee making reasonable efforts to correct the violations known to the licensee to exist;
(5) The licensee is conducting business in an unsafe or unsound manner;
(6) The licensee is insolvent;
(7) The licensee has demonstrated a pattern of failure or refusal to promptly pay obligations on payment instruments or transmissions of money or has made an assignment for the benefit of its creditors;
(8) The licensee has applied for an adjudication of bankruptcy, reorganization, arrangement, or other relief under any bankruptcy;
(9) The licensee refused to permit the commissioner to make any examination authorized by this chapter;
(10) The licensee willfully failed to make any report or pay any fee required by this chapter;
(11) The licensee engaged in fraud, intentional misrepresentation, or gross negligence; or
(12) The licensee made or caused to be made in any application or report filed with the commissioner or any proceeding before the commissioner, any statement that was at the time and in the circumstances under which it was made, false or misleading with respect to any material fact, or has omitted to state in the application or report any material fact that is required to be stated in the application or report.
Added by 2023 Tenn. Acts, ch. 115, s 1, eff. 1/1/2024.
Tenn. Code Ann. § 45-3-102 — TN Code / Title 45 / Chapter 3 / Section 45-3-102
Scope and application
Status: in_force

(a) Effect on Existing Associations. The charter of every savings and loan association, by whatever name called, heretofore organized under the laws of this state existing and in good standing on July 1, 1978, shall continue in full force and effect, subject to compliance with this chapter, and the same shall be deemed as modified to conform with this chapter without the adoption or approval of a new charter, as to corporate powers and functions, and all associations shall bring themselves into compliance as to corporate powers and functions within twelve (12) months from July 1, 1978. An association existing on July 1, 1978, and that is not then in compliance with minimum capital requirements may continue to operate with its existing capital so long as its accounts are insured as provided in this chapter. Unless otherwise invalid or unenforceable, the contracts, obligations, rights, powers, and liabilities of every such association, and the contracts, notes, mortgages, investments, and other assets of every kind and nature whatsoever held by it, as well as its bylaws and resolutions, shall continue in full force and effect. Every existing association and every association hereafter organized under this chapter shall, except as otherwise provided, be subject to this chapter. (b) Effect on Federal Associations. Unless federal laws or regulations provide otherwise, federal savings and loan associations and their members shall possess all of the rights, powers, privileges, immunities, and exemptions granted by this chapter to associations operating hereunder. Acts 1978, ch. 708, § 1.02; T.C.A., § 45-1302.
(a) Effect on Existing Associations. The charter of every savings and loan association, by whatever name called, heretofore organized under the laws of this state existing and in good standing on July 1, 1978, shall continue in full force and effect, subject to compliance with this chapter, and the same shall be deemed as modified to conform with this chapter without the adoption or approval of a new charter, as to corporate powers and functions, and all associations shall bring themselves into compliance as to corporate powers and functions within twelve (12) months from July 1, 1978. An association existing on July 1, 1978, and that is not then in compliance with minimum capital requirements may continue to operate with its existing capital so long as its accounts are insured as provided in this chapter. Unless otherwise invalid or unenforceable, the contracts, obligations, rights, powers, and liabilities of every such association, and the contracts, notes, mortgages, investments, and other assets of every kind and nature whatsoever held by it, as well as its bylaws and resolutions, shall continue in full force and effect. Every existing association and every association hereafter organized under this chapter shall, except as otherwise provided, be subject to this chapter.
(b) Effect on Federal Associations. Unless federal laws or regulations provide otherwise, federal savings and loan associations and their members shall possess all of the rights, powers, privileges, immunities, and exemptions granted by this chapter to associations operating hereunder.
Acts 1978, ch. 708, § 1.02; T.C.A., § 45-1302.
Tenn. Code Ann. § 45-3-1202 — TN Code / Title 45 / Chapter 3 / Section 45-3-1202
Requirements of reorganization plan
Status: in_force

(a) Plan of Reorganization. A plan of reorganization shall not be approved by the commissioner unless: (1) The plan is feasible and fair to all classes of depositors, other creditors and stockholders, or members; (2) The plan assures the removal of any director, officer, or employee responsible for any unsound or unlawful action or the existence of an impaired condition; and (3) Any merger or consolidation provided by the plan conforms to the requirements of this chapter. (b) Modification of Plan. Whenever, in the course of reorganization, supervening conditions render the plan unfair or its execution impractical, the commissioner may modify the plan or liquidate the association. The action shall be taken by order upon appropriate notice of opportunity to request a hearing as provided in this chapter. Acts 1978, ch. 708, § 5.02; T.C.A., § 45-1702.
(a) Plan of Reorganization. A plan of reorganization shall not be approved by the commissioner unless: (1) The plan is feasible and fair to all classes of depositors, other creditors and stockholders, or members; (2) The plan assures the removal of any director, officer, or employee responsible for any unsound or unlawful action or the existence of an impaired condition; and (3) Any merger or consolidation provided by the plan conforms to the requirements of this chapter.
(1) The plan is feasible and fair to all classes of depositors, other creditors and stockholders, or members;
(2) The plan assures the removal of any director, officer, or employee responsible for any unsound or unlawful action or the existence of an impaired condition; and
(3) Any merger or consolidation provided by the plan conforms to the requirements of this chapter.
(b) Modification of Plan. Whenever, in the course of reorganization, supervening conditions render the plan unfair or its execution impractical, the commissioner may modify the plan or liquidate the association. The action shall be taken by order upon appropriate notice of opportunity to request a hearing as provided in this chapter.
Acts 1978, ch. 708, § 5.02; T.C.A., § 45-1702.
Tenn. Code Ann. § 45-14-110 — TN Code / Title 45 / Chapter 14 / Section 45-14-110
Conversion to savings bank - Compliance with requirements of chapter
Status: in_force

A depository institution that converts to a savings bank pursuant to this chapter shall have a period of time that the commissioner determines to be reasonable and prudent to conform to the requirements of this chapter and the regulations issued under this chapter, but the period shall not exceed ten (10) years from the date of conversion. Acts 1991, ch. 177, § 11; 1996, ch. 768, § 34.
A depository institution that converts to a savings bank pursuant to this chapter shall have a period of time that the commissioner determines to be reasonable and prudent to conform to the requirements of this chapter and the regulations issued under this chapter, but the period shall not exceed ten (10) years from the date of conversion.
Acts 1991, ch. 177, § 11; 1996, ch. 768, § 34.
Tenn. Code Ann. § 45-3-204 — TN Code / Title 45 / Chapter 3 / Section 45-3-204
Subscription to capital and interim organization
Status: in_force

(a) If the commissioner approves the application for authority to organize, the incorporators shall perfect an interim organization by electing a chair, vice chair, and secretary, who shall act as the interim officers of the association until their successors are duly elected and qualified. (b) The interim officers shall have the following, and only the following, duties during the period after approval of the application by the commissioner and before issuance of a certificate of authority as provided in this chapter: (1) Subscriptions. They shall secure subscriptions for payments of the required amount of capital and, as the case may be, the required amount for paid-in surplus or for the expense fund, in the form and manner approved by the commissioner; and (2) Adoption of Charter and Bylaws. They shall call a meeting of subscribers, who shall adopt a charter and bylaws for the proposed association and elect directors to serve upon the issuance of the certificates of authority until the first annual meeting of the association and until their successors are elected and qualified. Acts 1978, ch. 708, § 1.18; T.C.A., § 45-1318.
(a) If the commissioner approves the application for authority to organize, the incorporators shall perfect an interim organization by electing a chair, vice chair, and secretary, who shall act as the interim officers of the association until their successors are duly elected and qualified.
(b) The interim officers shall have the following, and only the following, duties during the period after approval of the application by the commissioner and before issuance of a certificate of authority as provided in this chapter: (1) Subscriptions. They shall secure subscriptions for payments of the required amount of capital and, as the case may be, the required amount for paid-in surplus or for the expense fund, in the form and manner approved by the commissioner; and (2) Adoption of Charter and Bylaws. They shall call a meeting of subscribers, who shall adopt a charter and bylaws for the proposed association and elect directors to serve upon the issuance of the certificates of authority until the first annual meeting of the association and until their successors are elected and qualified.
(1) Subscriptions. They shall secure subscriptions for payments of the required amount of capital and, as the case may be, the required amount for paid-in surplus or for the expense fund, in the form and manner approved by the commissioner; and
(2) Adoption of Charter and Bylaws. They shall call a meeting of subscribers, who shall adopt a charter and bylaws for the proposed association and elect directors to serve upon the issuance of the certificates of authority until the first annual meeting of the association and until their successors are elected and qualified.
Acts 1978, ch. 708, § 1.18; T.C.A., § 45-1318.
Tenn. Code Ann. § 45-1-112 — TN Code / Title 45 / Chapter 1 / Section 45-1-112
Official seal
Status: in_force

The secretary of state shall provide the commissioner with an official seal. Every paper executed by the commissioner, in pursuance of any authority conferred on the commissioner by law and sealed with the official seal, shall be received in evidence, and may be recorded in any proper recording office in this state, in the same manner and with the same effect as a deed regularly acknowledged or proven. Acts 1969, ch. 36, § 1 (2.107); 1973, ch. 294, § 6; T.C.A., § 45-112.
The secretary of state shall provide the commissioner with an official seal. Every paper executed by the commissioner, in pursuance of any authority conferred on the commissioner by law and sealed with the official seal, shall be received in evidence, and may be recorded in any proper recording office in this state, in the same manner and with the same effect as a deed regularly acknowledged or proven.
Acts 1969, ch. 36, § 1 (2.107); 1973, ch. 294, § 6; T.C.A., § 45-112.
Tenn. Code Ann. § 45-7-124 — TN Code / Title 45 / Chapter 7 / Section 45-7-124
Bank Secrecy Act reports
Status: in_force

A licensee and an authorized delegate shall file all reports required by federal currency reporting, record keeping, and suspicious activity reporting requirements as set forth in the Bank Secrecy Act ( 31 U.S.C. § 5311 et seq.) and other federal and state laws pertaining to money laundering. Amended by 2023 Tenn. Acts, ch. 115, s 1, eff. 1/1/2024. Acts 1994, ch. 715, § 1; T.C.A., § 45-7-224
A licensee and an authorized delegate shall file all reports required by federal currency reporting, record keeping, and suspicious activity reporting requirements as set forth in the Bank Secrecy Act ( 31 U.S.C. § 5311 et seq.) and other federal and state laws pertaining to money laundering.
Amended by 2023 Tenn. Acts, ch. 115, s 1, eff. 1/1/2024.
Acts 1994, ch. 715, § 1; T.C.A., § 45-7-224
Tenn. Code Ann. § 45-3-801 — TN Code / Title 45 / Chapter 3 / Section 45-3-801
Supervision of associations
Status: in_force

Every person doing a savings and loan business under the laws of this state shall be subject to supervision by the commissioner and the regulations promulgated by the commissioner. However, any regulation promulgated by the commissioner that has not been revised or amended in more than five (5) years may be waived by the commissioner, in the commissioner's discretion, as the commissioner deems necessary or appropriate to maintain a competitive balance among state chartered savings and loan associations, state chartered savings banks, federally chartered savings and loan associations and federally chartered savings banks. Acts 1978, ch. 708, § 3.01; T.C.A., § 45-1508; Acts 1996, ch. 768, § 27.
Every person doing a savings and loan business under the laws of this state shall be subject to supervision by the commissioner and the regulations promulgated by the commissioner. However, any regulation promulgated by the commissioner that has not been revised or amended in more than five (5) years may be waived by the commissioner, in the commissioner's discretion, as the commissioner deems necessary or appropriate to maintain a competitive balance among state chartered savings and loan associations, state chartered savings banks, federally chartered savings and loan associations and federally chartered savings banks.
Acts 1978, ch. 708, § 3.01; T.C.A., § 45-1508; Acts 1996, ch. 768, § 27.
Tenn. Code Ann. § 45-6-205 — TN Code / Title 45 / Chapter 6 / Section 45-6-205
License required
Status: in_force

It is unlawful for any person, firm, or corporation to establish or conduct a business of pawnbroking unless the person, firm, or corporation has first procured a license to conduct the business in the manner and form as provided in this part. Acts 1988, ch. 724, § 5.
It is unlawful for any person, firm, or corporation to establish or conduct a business of pawnbroking unless the person, firm, or corporation has first procured a license to conduct the business in the manner and form as provided in this part.
Acts 1988, ch. 724, § 5.
Tenn. Code Ann. § 45-3-1109 — TN Code / Title 45 / Chapter 3 / Section 45-3-1109
Effect of conversion
Status: in_force

When an association subject to this chapter or a federal association effects a conversion in accordance with this chapter, the corporate existence of the association shall not be interrupted, but the identity of the association shall continue, together with all of the obligations and liabilities of the association, and all of its rights, franchises, and interests in and to every kind of property shall continue without the necessity of a deed or other transfer. Any reference to the association before conversion, contained in writing, whether executed or effective before or after the conversion, shall be deemed a reference also to the association after conversion, if not inconsistent with the other provisions of the writing. No pending action or other judicial or administrative proceeding to which the association is a party shall be abated or discontinued by reason of the conversion, but the same may be prosecuted to final judgment, order, or decree in the same manner as if the conversion had not occurred. Acts 1978, ch. 708, § 4.17; T.C.A., § 45-1617.
When an association subject to this chapter or a federal association effects a conversion in accordance with this chapter, the corporate existence of the association shall not be interrupted, but the identity of the association shall continue, together with all of the obligations and liabilities of the association, and all of its rights, franchises, and interests in and to every kind of property shall continue without the necessity of a deed or other transfer. Any reference to the association before conversion, contained in writing, whether executed or effective before or after the conversion, shall be deemed a reference also to the association after conversion, if not inconsistent with the other provisions of the writing. No pending action or other judicial or administrative proceeding to which the association is a party shall be abated or discontinued by reason of the conversion, but the same may be prosecuted to final judgment, order, or decree in the same manner as if the conversion had not occurred.
Acts 1978, ch. 708, § 4.17; T.C.A., § 45-1617.
Tenn. Code Ann. § 45-2-2107 — TN Code / Title 45 / Chapter 2 / Section 45-2-2107
Adequate capital structure - Factors considered
Status: in_force

(a) No state trust company shall be organized with capital of less than five hundred thousand dollars ($500,000), or such greater amount as may be required by the commissioner after considering the factors in this section. (b) The commissioner may at any time prescribe a capital structure for a state trust company that the commissioner deems adequate for it to operate in a safe and sound manner. The commissioner shall consider the following factors in determining an adequate capital structure: (1) The nature and type of business conducted or to be conducted; (2) The nature and liquidity of assets currently held or to be held in the state trust company's own account; (3) The amount of fiduciary assets currently or projected to be under management or administration; (4) The type of fiduciary assets currently held or proposed to be held, and the depository of such assets; (5) The complexity of fiduciary duties and degree of discretion proposed currently or to be undertaken; (6) The competence and experience of current or proposed management; (7) The extent and adequacy of internal controls; (8) The reasonableness of any business plan for retaining or acquiring additional equity capital; (9) The existence and adequacy of insurance for protecting the state trust company's fiduciary assets; and (10) Any other factors the commissioner may deem relevant. Added by 2014 Tenn. Acts, ch. 642,s 3, eff. 7/1/2014.
(a) No state trust company shall be organized with capital of less than five hundred thousand dollars ($500,000), or such greater amount as may be required by the commissioner after considering the factors in this section.
(b) The commissioner may at any time prescribe a capital structure for a state trust company that the commissioner deems adequate for it to operate in a safe and sound manner. The commissioner shall consider the following factors in determining an adequate capital structure: (1) The nature and type of business conducted or to be conducted; (2) The nature and liquidity of assets currently held or to be held in the state trust company's own account; (3) The amount of fiduciary assets currently or projected to be under management or administration; (4) The type of fiduciary assets currently held or proposed to be held, and the depository of such assets; (5) The complexity of fiduciary duties and degree of discretion proposed currently or to be undertaken; (6) The competence and experience of current or proposed management; (7) The extent and adequacy of internal controls; (8) The reasonableness of any business plan for retaining or acquiring additional equity capital; (9) The existence and adequacy of insurance for protecting the state trust company's fiduciary assets; and (10) Any other factors the commissioner may deem relevant.
(1) The nature and type of business conducted or to be conducted;
(2) The nature and liquidity of assets currently held or to be held in the state trust company's own account;
(3) The amount of fiduciary assets currently or projected to be under management or administration;
(4) The type of fiduciary assets currently held or proposed to be held, and the depository of such assets;
(5) The complexity of fiduciary duties and degree of discretion proposed currently or to be undertaken;
(6) The competence and experience of current or proposed management;
(7) The extent and adequacy of internal controls;
(8) The reasonableness of any business plan for retaining or acquiring additional equity capital;
(9) The existence and adequacy of insurance for protecting the state trust company's fiduciary assets; and
(10) Any other factors the commissioner may deem relevant.
Added by 2014 Tenn. Acts, ch. 642,s 3, eff. 7/1/2014.
Tenn. Code Ann. § 45-18-114 — TN Code / Title 45 / Chapter 18 / Section 45-18-114
Required records
Status: in_force

(a) Each licensee shall make, keep and preserve the books, accounts, records, and documents as the commissioner may determine by rule. (b) All records of the check cashing business shall be maintained separately by the licensee from any other business in which the licensee may engage. Acts 1997, ch. 309, § 14.
(a) Each licensee shall make, keep and preserve the books, accounts, records, and documents as the commissioner may determine by rule.
(b) All records of the check cashing business shall be maintained separately by the licensee from any other business in which the licensee may engage.
Acts 1997, ch. 309, § 14.
Tenn. Code Ann. § 45-2-904 — TN Code / Title 45 / Chapter 2 / Section 45-2-904
Lease to minor
Status: in_force

A bank may lease a safe deposit box to and in connection therewith deal with a minor with the same effect as if leasing to and dealing with a person of full legal capacity. Acts 1969, ch. 36, § 1 (3.223); T.C.A., § 45-418.
A bank may lease a safe deposit box to and in connection therewith deal with a minor with the same effect as if leasing to and dealing with a person of full legal capacity.
Acts 1969, ch. 36, § 1 (3.223); T.C.A., § 45-418.
Tenn. Code Ann. § 45-4-601 — TN Code / Title 45 / Chapter 4 / Section 45-4-601
Part definitions
Status: in_force

(a) As used in this part, unless the context otherwise requires: (1) "Installment loan" means a loan repayable in installments, whether the payments are regular or irregular, whether the payments are in substantially equal amounts or otherwise, whether the payments are made on closed-end loans or open-end loans, and whether or not interest on the loan has been precomputed; and (2) "Loans" are transactions involving the transfer, or the crediting, by a lender to, or for the benefit of, a borrower or another, of any amount of money, with a promise of repayment. (b) Other terms used in this part, not defined in this part, have the same meanings given to them by the general statute pertaining to interest and other charges by lenders or creditors. Acts 1923, ch. 68, § 17; Shan. Supp., § 2198a24; Code 1932, § 3851; Acts 1951, ch. 192, § 2; 1976, ch. 525, § 2; 1979, ch. 207, § 1; T.C.A. (orig. ed.), § 45-1820.
(a) As used in this part, unless the context otherwise requires: (1) "Installment loan" means a loan repayable in installments, whether the payments are regular or irregular, whether the payments are in substantially equal amounts or otherwise, whether the payments are made on closed-end loans or open-end loans, and whether or not interest on the loan has been precomputed; and (2) "Loans" are transactions involving the transfer, or the crediting, by a lender to, or for the benefit of, a borrower or another, of any amount of money, with a promise of repayment.
(1) "Installment loan" means a loan repayable in installments, whether the payments are regular or irregular, whether the payments are in substantially equal amounts or otherwise, whether the payments are made on closed-end loans or open-end loans, and whether or not interest on the loan has been precomputed; and
(2) "Loans" are transactions involving the transfer, or the crediting, by a lender to, or for the benefit of, a borrower or another, of any amount of money, with a promise of repayment.
(b) Other terms used in this part, not defined in this part, have the same meanings given to them by the general statute pertaining to interest and other charges by lenders or creditors.
Acts 1923, ch. 68, § 17; Shan. Supp., § 2198a24; Code 1932, § 3851; Acts 1951, ch. 192, § 2; 1976, ch. 525, § 2; 1979, ch. 207, § 1; T.C.A. (orig. ed.), § 45-1820.
Tenn. Code Ann. § 45-8-101 — TN Code / Title 45 / Chapter 8 / Section 45-8-101
Functions and powers - Supervision
Status: in_force

Small business investment companies chartered by the secretary of state and licensed by the small business administration shall be authorized to perform all the functions and exercise all the powers in this state and be subject to all the limitations as prescribed by the Small Business Investment Act of 1958, Public Law 85-699, 85th Congress, second session, 72 Stat. 689 ( 15 U.S.C. § 661 et seq.), and all rules and regulations promulgated under that act. So long as the company is licensed, regulated, supervised and inspected by the small business administration, it shall not be subject to supervision by agencies of the state, except by the department of commerce and insurance under title 48, chapter 1, part 1. Acts 1959, ch. 22, § 1 (T.C.A. (Supp.), § 48-827); impl. am. Acts 1971, ch. 137, § 1; T.C.A., § 45-2501.
Small business investment companies chartered by the secretary of state and licensed by the small business administration shall be authorized to perform all the functions and exercise all the powers in this state and be subject to all the limitations as prescribed by the Small Business Investment Act of 1958, Public Law 85-699, 85th Congress, second session, 72 Stat. 689 ( 15 U.S.C. § 661 et seq.), and all rules and regulations promulgated under that act. So long as the company is licensed, regulated, supervised and inspected by the small business administration, it shall not be subject to supervision by agencies of the state, except by the department of commerce and insurance under title 48, chapter 1, part 1.
Acts 1959, ch. 22, § 1 (T.C.A. (Supp.), § 48-827); impl. am. Acts 1971, ch. 137, § 1; T.C.A., § 45-2501.
Tenn. Code Ann. § 45-4-301 — TN Code / Title 45 / Chapter 4 / Section 45-4-301
Membership - Qualifications - Entrance fee
Status: in_force

(a) The membership shall consist of incorporators and persons, societies, associations, copartnerships and corporations that have been duly elected to membership and have subscribed to one (1) or more shares and have paid for the same in whole or in part, with the entrance fee as required by the bylaws, and have complied with other requirements that the certificate of organization may contain; except that a credit union shall be limited to groups having a common bond of occupation or association or to groups within a well-defined neighborhood, community, or rural district. (b) A credit union may charge an entrance fee as may be provided in the bylaws. Acts 1923, ch. 68, §§ 7, 15; Shan. Supp., §§ 2198a10, 2198a22; Code 1932, §§ 3838, 3849; Acts 1931, ch. 67, § 1; 1937, ch. 264, § 5; C. Supp. 1950, §§ 3838, 3849; Acts 1951, ch. 192, § 1; 1979, ch. 86, § 1; T.C.A. (orig. ed.), § 45-1807.
(a) The membership shall consist of incorporators and persons, societies, associations, copartnerships and corporations that have been duly elected to membership and have subscribed to one (1) or more shares and have paid for the same in whole or in part, with the entrance fee as required by the bylaws, and have complied with other requirements that the certificate of organization may contain; except that a credit union shall be limited to groups having a common bond of occupation or association or to groups within a well-defined neighborhood, community, or rural district.
(b) A credit union may charge an entrance fee as may be provided in the bylaws.
Acts 1923, ch. 68, §§ 7, 15; Shan. Supp., §§ 2198a10, 2198a22; Code 1932, §§ 3838, 3849; Acts 1931, ch. 67, § 1; 1937, ch. 264, § 5; C. Supp. 1950, §§ 3838, 3849; Acts 1951, ch. 192, § 1; 1979, ch. 86, § 1; T.C.A. (orig. ed.), § 45-1807.
Tenn. Code Ann. § 45-4-401 — TN Code / Title 45 / Chapter 4 / Section 45-4-401
Premiums for shares prohibited
Status: in_force

Credit union shares shall in no event be sold at a premium by any credit union to its members. Acts 1931, ch. 67, § 1; C. Supp. 1950, § 3849; Acts 1979, ch. 86, § 6; T.C.A. (orig. ed.), § 45-1817.
Credit union shares shall in no event be sold at a premium by any credit union to its members.
Acts 1931, ch. 67, § 1; C. Supp. 1950, § 3849; Acts 1979, ch. 86, § 6; T.C.A. (orig. ed.), § 45-1817.
Tenn. Code Ann. § 45-4-1902 — TN Code / Title 45 / Chapter 4 / Section 45-4-1902
Conversion of state credit union into federal credit union
Status: in_force

A state credit union may be converted into a federal credit union by complying with the following requirements: (1) A majority of the directors of the state credit union shall first approve the proposition for conversion and the date set for a vote by the members of the state credit union either at a regular meeting or by written ballot to be filed before the date set for the vote. Written notice of the proposition and of the date set for the vote shall then be delivered in person to each member, or mailed to each member at the address for the member appearing on the records of the credit union, not more than thirty (30) nor less than seven (7) days prior to the date. Approval of the proposition for conversion shall be by the affirmative vote of a majority of the members who vote on the proposal. The written notice of the proposition shall in boldfaced type state the issue that will be decided by a majority of the members who vote; (2) A statement of the results of the vote, verified by the affidavits of the president or vice president and of the secretary, shall be filed with the commissioner of financial institutions within ten (10) days after the vote is taken; (3) Promptly after the vote is taken and in no event later than ninety (90) days thereafter, if the proposition for conversion was approved by the vote, the credit union shall take action that may be necessary under the federal Credit Union Act to make it a federal credit union, and within ten (10) days after receipt of the federal credit union charter, there shall be filed with the commissioner a copy of the charter thus issued. Upon filing, the credit union shall cease to be a state credit union; and (4) Upon ceasing to be a state credit union, the credit union shall no longer be subject to this chapter. The successor federal credit union shall be vested with all the assets and shall continue to be responsible for all the obligations of the state credit union to the same extent as though the conversion had not taken place. Acts 1963, ch. 31, § 1; 1973, ch. 294, § 6; 1978, ch. 633, § 1; 1979, ch. 86, § 10; T.C.A., §§ 45-1831, 45-4-1202; Acts 1993, ch. 56, § 2.
A state credit union may be converted into a federal credit union by complying with the following requirements:
(1) A majority of the directors of the state credit union shall first approve the proposition for conversion and the date set for a vote by the members of the state credit union either at a regular meeting or by written ballot to be filed before the date set for the vote. Written notice of the proposition and of the date set for the vote shall then be delivered in person to each member, or mailed to each member at the address for the member appearing on the records of the credit union, not more than thirty (30) nor less than seven (7) days prior to the date. Approval of the proposition for conversion shall be by the affirmative vote of a majority of the members who vote on the proposal. The written notice of the proposition shall in boldfaced type state the issue that will be decided by a majority of the members who vote;
(2) A statement of the results of the vote, verified by the affidavits of the president or vice president and of the secretary, shall be filed with the commissioner of financial institutions within ten (10) days after the vote is taken;
(3) Promptly after the vote is taken and in no event later than ninety (90) days thereafter, if the proposition for conversion was approved by the vote, the credit union shall take action that may be necessary under the federal Credit Union Act to make it a federal credit union, and within ten (10) days after receipt of the federal credit union charter, there shall be filed with the commissioner a copy of the charter thus issued. Upon filing, the credit union shall cease to be a state credit union; and
(4) Upon ceasing to be a state credit union, the credit union shall no longer be subject to this chapter. The successor federal credit union shall be vested with all the assets and shall continue to be responsible for all the obligations of the state credit union to the same extent as though the conversion had not taken place.
Acts 1963, ch. 31, § 1; 1973, ch. 294, § 6; 1978, ch. 633, § 1; 1979, ch. 86, § 10; T.C.A., §§ 45-1831, 45-4-1202; Acts 1993, ch. 56, § 2.
Tenn. Code Ann. § 45-3-201 — TN Code / Title 45 / Chapter 3 / Section 45-3-201
Application to organize
Status: in_force

Any five (5) or more individuals, referred to as the incorporators, who are residents of this state, may form a capital stock or mutual savings and loan association subject to the commissioner's approval as hereinafter provided, by filing a written application for authority to organize with the commissioner in a form and manner prescribed by the commissioner. The application shall be signed by each of the incorporators and shall include: (1) Home Office. The name and the proposed location of the home office of the proposed association; (2) Incorporators. The name and address of each incorporator; (3) Capital. In the case of a capital stock association, the total amount of capital stock proposed and subscribed, if any has then been subscribed, and in the case of a mutual association, the total amount of subscribed deposit accounts, if any, together with the name and address of each subscriber; and (4) Other Information. Detailed financial and biographical information for each incorporator and subscriber that the commissioner may require, and economic data, projections of business volume, income, expense, and other information that the commissioner may require. Acts 1978, ch. 708, § 1.15; T.C.A., § 45-1315.
Any five (5) or more individuals, referred to as the incorporators, who are residents of this state, may form a capital stock or mutual savings and loan association subject to the commissioner's approval as hereinafter provided, by filing a written application for authority to organize with the commissioner in a form and manner prescribed by the commissioner. The application shall be signed by each of the incorporators and shall include:
(1) Home Office. The name and the proposed location of the home office of the proposed association;
(2) Incorporators. The name and address of each incorporator;
(3) Capital. In the case of a capital stock association, the total amount of capital stock proposed and subscribed, if any has then been subscribed, and in the case of a mutual association, the total amount of subscribed deposit accounts, if any, together with the name and address of each subscriber; and
(4) Other Information. Detailed financial and biographical information for each incorporator and subscriber that the commissioner may require, and economic data, projections of business volume, income, expense, and other information that the commissioner may require.
Acts 1978, ch. 708, § 1.15; T.C.A., § 45-1315.
Tenn. Code Ann. § 45-4-1202 — TN Code / Title 45 / Chapter 4 / Section 45-4-1202
Purposes
Status: in_force

The general purposes of the corporation are to: (1) Aid and assist its member credit unions in providing needed service functions; (2) Provide a source for liquidity management; (3) Provide financial, custodial and related services for credit unions; associations of credit unions; and corporations, organizations or agencies owned or operated by a credit union or credit unions; and (4) Provide management for mergers and joint ventures and for other credit unions. Acts 1981, ch. 76, § 2; 1984, ch. 714, § 2.
The general purposes of the corporation are to:
(1) Aid and assist its member credit unions in providing needed service functions;
(2) Provide a source for liquidity management;
(3) Provide financial, custodial and related services for credit unions; associations of credit unions; and corporations, organizations or agencies owned or operated by a credit union or credit unions; and
(4) Provide management for mergers and joint ventures and for other credit unions.
Acts 1981, ch. 76, § 2; 1984, ch. 714, § 2.
Tenn. Code Ann. § 45-3-1304 — TN Code / Title 45 / Chapter 3 / Section 45-3-1304
Improper maintenance of accounts - False or deceptive entries and statements
Status: in_force

(a) It is unlawful for any director, officer, agent, or employee of an association, directly or indirectly, to: (1) Maintenance of Accounts. Maintain or authorize the maintenance of any account of the association in a manner that, to the person's knowledge, does not conform to the requirements prescribed by this chapter; (2) False Entries, etc. With intent to deceive, make any false or misleading statement or entry or omit any statement or entry that should be made in any book, account, report, or statement of the association; or (3) Obstruction of Examination. Obstruct or endeavor to obstruct a lawful examination of the association by the commissioner, an examiner, or other employee of the department. (b) A violation of this section is a Class B misdemeanor. Acts 1978, ch. 708, § 5.08; T.C.A., § 45-1708.
(a) It is unlawful for any director, officer, agent, or employee of an association, directly or indirectly, to: (1) Maintenance of Accounts. Maintain or authorize the maintenance of any account of the association in a manner that, to the person's knowledge, does not conform to the requirements prescribed by this chapter; (2) False Entries, etc. With intent to deceive, make any false or misleading statement or entry or omit any statement or entry that should be made in any book, account, report, or statement of the association; or (3) Obstruction of Examination. Obstruct or endeavor to obstruct a lawful examination of the association by the commissioner, an examiner, or other employee of the department.
(1) Maintenance of Accounts. Maintain or authorize the maintenance of any account of the association in a manner that, to the person's knowledge, does not conform to the requirements prescribed by this chapter;
(2) False Entries, etc. With intent to deceive, make any false or misleading statement or entry or omit any statement or entry that should be made in any book, account, report, or statement of the association; or
(3) Obstruction of Examination. Obstruct or endeavor to obstruct a lawful examination of the association by the commissioner, an examiner, or other employee of the department.
(b) A violation of this section is a Class B misdemeanor.
Acts 1978, ch. 708, § 5.08; T.C.A., § 45-1708.
Tenn. Code Ann. § 45-3-804 — TN Code / Title 45 / Chapter 3 / Section 45-3-804
Misdescription of assets
Status: in_force

No association by any system of accounting or any device of bookkeeping shall, either directly or indirectly, enter any of its assets upon its books in the name of any other person or under any title or designation that is not truly descriptive of the assets. Acts 1978, ch. 708, § 3.04; T.C.A., § 45-1511.
No association by any system of accounting or any device of bookkeeping shall, either directly or indirectly, enter any of its assets upon its books in the name of any other person or under any title or designation that is not truly descriptive of the assets.
Acts 1978, ch. 708, § 3.04; T.C.A., § 45-1511.
Tenn. Code Ann. § 45-17-106 — TN Code / Title 45 / Chapter 17 / Section 45-17-106
Filing fees - Financial statements
Status: in_force

(a) Each application for a license shall be accompanied by: (1) A nonrefundable supervision fee, as provided in § 45-1-118(i) ; and (2) A balance sheet and income statement for the immediately preceding fiscal year end, prepared in accordance with generally accepted accounting principles by a certified public accountant or public accounting firm. For a newly created entity, the commissioner may accept a balance sheet only, accompanied by a projected income statement demonstrating that the licensee will have adequate capital after payment of start-up costs. (b) The supervision fee set forth in subdivision (a)(1) shall be applicable to each location. Amended by 2014 Tenn. Acts, ch. 736,s 21, eff. 7/1/2015. Amended by 2014 Tenn. Acts, ch. 736,s 20, eff. 7/1/2015. Acts 1997, ch. 255, § 7; 1999, ch. 14, § 1.
(a) Each application for a license shall be accompanied by: (1) A nonrefundable supervision fee, as provided in § 45-1-118(i) ; and (2) A balance sheet and income statement for the immediately preceding fiscal year end, prepared in accordance with generally accepted accounting principles by a certified public accountant or public accounting firm. For a newly created entity, the commissioner may accept a balance sheet only, accompanied by a projected income statement demonstrating that the licensee will have adequate capital after payment of start-up costs.
(1) A nonrefundable supervision fee, as provided in § 45-1-118(i) ; and
(2) A balance sheet and income statement for the immediately preceding fiscal year end, prepared in accordance with generally accepted accounting principles by a certified public accountant or public accounting firm. For a newly created entity, the commissioner may accept a balance sheet only, accompanied by a projected income statement demonstrating that the licensee will have adequate capital after payment of start-up costs.
(b) The supervision fee set forth in subdivision (a)(1) shall be applicable to each location.
Amended by 2014 Tenn. Acts, ch. 736,s 21, eff. 7/1/2015.
Amended by 2014 Tenn. Acts, ch. 736,s 20, eff. 7/1/2015.
Acts 1997, ch. 255, § 7; 1999, ch. 14, § 1.
Tenn. Code Ann. § 45-13-308 — TN Code / Title 45 / Chapter 13 / Section 45-13-308
Provisional mortgage loan originator license
Status: in_force

Notwithstanding any provision of this chapter or the Industrial Loan and Thrift Companies Act, compiled in chapter 5 of this title, to the contrary, the commissioner is authorized to issue a provisional mortgage loan originator license to any individual who has not completed the prelicensing education requirements set forth in § 45-13-304 or passed a written test that meets the test requirement described in § 45-13-305 ; provided, that the individual meets all other requirements for a license under this part; and provided, further, that no provisional mortgage loan originator license shall be issued after or be valid after July 30, 2010. A provisional mortgage loan originator license shall for all purposes be considered a mortgage loan originator license issued under this part, except that a provisional license shall expire on July 30, 2010, unless the individual holding the license has by such date, completed the prelicensing education requirements set forth in § 45-13-304 and passed a written test that meets the test requirement described in § 45-13-305 . If these education requirements are timely accomplished, and so long as the individual has furnished fingerprints to the Nationwide Mortgage Licensing System and Registry if requested to do so under § 45-13-302(f) , the provisional nature of the license shall be removed, and the license shall not expire until the end of the calendar year in which the last of all the requirements have been met. Subject to the July 30, 2010, expiration date, a provisional mortgage loan originator license issued in 2009 may be renewed for 2010 pursuant to § 45-13-306 without satisfying the annual continuing education requirements described in § 45-13-307 . Acts 2009, ch. 499, § 8.
Notwithstanding any provision of this chapter or the Industrial Loan and Thrift Companies Act, compiled in chapter 5 of this title, to the contrary, the commissioner is authorized to issue a provisional mortgage loan originator license to any individual who has not completed the prelicensing education requirements set forth in § 45-13-304 or passed a written test that meets the test requirement described in § 45-13-305 ; provided, that the individual meets all other requirements for a license under this part; and provided, further, that no provisional mortgage loan originator license shall be issued after or be valid after July 30, 2010. A provisional mortgage loan originator license shall for all purposes be considered a mortgage loan originator license issued under this part, except that a provisional license shall expire on July 30, 2010, unless the individual holding the license has by such date, completed the prelicensing education requirements set forth in § 45-13-304 and passed a written test that meets the test requirement described in § 45-13-305 . If these education requirements are timely accomplished, and so long as the individual has furnished fingerprints to the Nationwide Mortgage Licensing System and Registry if requested to do so under § 45-13-302(f) , the provisional nature of the license shall be removed, and the license shall not expire until the end of the calendar year in which the last of all the requirements have been met. Subject to the July 30, 2010, expiration date, a provisional mortgage loan originator license issued in 2009 may be renewed for 2010 pursuant to § 45-13-306 without satisfying the annual continuing education requirements described in § 45-13-307 .
Acts 2009, ch. 499, § 8.
Tenn. Code Ann. § 45-3-704 — TN Code / Title 45 / Chapter 3 / Section 45-3-704
Construction lenders liability
Status: in_force

An association that makes a loan, the proceeds of which are used or may be used by the borrower to finance the design, manufacture, construction, repair, modification, or improvement of real property for sale or lease to others, shall not be held liable to third persons for any loss or damage occasioned by any defect in the real property so designed, manufactured, constructed, repaired, modified, or improved, or for any loss or damage resulting from the failure of the borrower to use due care in the design, manufacture, construction, repair, modification, or improvement of the real property, unless the loss or damage is a result of an act of the association outside the scope of the activities of a lender of money that is tantamount to assuming direct and active responsibility for, or assuring the structural integrity of, the design, manufacture, construction, repair, modification, or improvement of the property or unless the association has been a party to misrepresentation with respect to the real property. Acts 1978, ch. 708, § 2.27; T.C.A., § 45-1427.
An association that makes a loan, the proceeds of which are used or may be used by the borrower to finance the design, manufacture, construction, repair, modification, or improvement of real property for sale or lease to others, shall not be held liable to third persons for any loss or damage occasioned by any defect in the real property so designed, manufactured, constructed, repaired, modified, or improved, or for any loss or damage resulting from the failure of the borrower to use due care in the design, manufacture, construction, repair, modification, or improvement of the real property, unless the loss or damage is a result of an act of the association outside the scope of the activities of a lender of money that is tantamount to assuming direct and active responsibility for, or assuring the structural integrity of, the design, manufacture, construction, repair, modification, or improvement of the property or unless the association has been a party to misrepresentation with respect to the real property.
Acts 1978, ch. 708, § 2.27; T.C.A., § 45-1427.
Tenn. Code Ann. § 45-7-129 — TN Code / Title 45 / Chapter 7 / Section 45-7-129
Timely transmission
Status: in_force

(a) A licensee shall forward all money received for transmission in accordance with the terms of the agreement between the licensee and the sender unless the licensee has a reasonable belief or a reasonable basis to believe that the sender may be a victim of fraud or that a crime or violation of law, rule, or regulation has occurred, is occurring, or may occur. (b) If a licensee fails to forward money received for transmission in accordance with this section, the licensee must respond to inquiries by the sender with the reason for the failure unless providing a response would violate a state or federal law, rule, or regulation. Amended by 2023 Tenn. Acts, ch. 115, s 1, eff. 1/1/2024. Acts 2013, ch. 103, § 4; T.C.A., § 45-7-229 .
(a) A licensee shall forward all money received for transmission in accordance with the terms of the agreement between the licensee and the sender unless the licensee has a reasonable belief or a reasonable basis to believe that the sender may be a victim of fraud or that a crime or violation of law, rule, or regulation has occurred, is occurring, or may occur.
(b) If a licensee fails to forward money received for transmission in accordance with this section, the licensee must respond to inquiries by the sender with the reason for the failure unless providing a response would violate a state or federal law, rule, or regulation.
Amended by 2023 Tenn. Acts, ch. 115, s 1, eff. 1/1/2024.
Acts 2013, ch. 103, § 4; T.C.A., § 45-7-229 .
Tenn. Code Ann. § 45-2-215 — TN Code / Title 45 / Chapter 2 / Section 45-2-215
Approval or denial of application - Action by commissioner - Limitation of bank or trust company to fiduciary purposes and powers
Status: in_force

(a) If the commissioner approves the application, the commissioner shall promptly issue a certificate of authority and mail the same to the incorporators. If the commissioner denies the application, the commissioner shall promptly mail a notice of the denial to the incorporators, stating therein the reason or reasons for denying the application. (b) A state bank or trust company, for which the commissioner has approved the filing of a charter and has issued a certificate of authority, is not illegally organized because its purposes and powers are, or have been required by the commissioner to be, limited to fiduciary purposes and powers. Acts 1969, ch. 36, § 1 (3.312); 1973, ch. 294, § 6; T.C.A., § 45-215; Acts 1980, ch. 620, § 1; 1996, ch. 768, § 14.
(a) If the commissioner approves the application, the commissioner shall promptly issue a certificate of authority and mail the same to the incorporators. If the commissioner denies the application, the commissioner shall promptly mail a notice of the denial to the incorporators, stating therein the reason or reasons for denying the application.
(b) A state bank or trust company, for which the commissioner has approved the filing of a charter and has issued a certificate of authority, is not illegally organized because its purposes and powers are, or have been required by the commissioner to be, limited to fiduciary purposes and powers.
Acts 1969, ch. 36, § 1 (3.312); 1973, ch. 294, § 6; T.C.A., § 45-215; Acts 1980, ch. 620, § 1; 1996, ch. 768, § 14.
Tenn. Code Ann. § 45-3-1305 — TN Code / Title 45 / Chapter 3 / Section 45-3-1305
Unlawful payments of penalties and judgments
Status: in_force

Except as otherwise expressly permitted by this chapter, it is a Class B misdemeanor for an association, directly or indirectly, to pay a fine or penalty imposed by law upon any other person or any judgment against the person, or to reimburse, directly or indirectly, any person by whom the fine, penalty, or judgment has been paid, except in settlement of its own liability or in connection with the acquisition of property against which the judgment is a lien. Acts 1978, ch. 708, § 5.09; T.C.A., § 45-1709.
Except as otherwise expressly permitted by this chapter, it is a Class B misdemeanor for an association, directly or indirectly, to pay a fine or penalty imposed by law upon any other person or any judgment against the person, or to reimburse, directly or indirectly, any person by whom the fine, penalty, or judgment has been paid, except in settlement of its own liability or in connection with the acquisition of property against which the judgment is a lien.
Acts 1978, ch. 708, § 5.09; T.C.A., § 45-1709.
Tenn. Code Ann. § 45-2-1015 — TN Code / Title 45 / Chapter 2 / Section 45-2-1015
Name of trust institution
Status: in_force

A state trust company or out-of-state trust institution may use any name in connection with establishing an office in this state pursuant to this chapter, except that the commissioner may determine that a name proposed to be used is potentially misleading to the public and require the company or institution to select a name that is not potentially misleading. Acts 1999, ch. 112, § 10.
A state trust company or out-of-state trust institution may use any name in connection with establishing an office in this state pursuant to this chapter, except that the commissioner may determine that a name proposed to be used is potentially misleading to the public and require the company or institution to select a name that is not potentially misleading.
Acts 1999, ch. 112, § 10.
Tenn. Code Ann. § 45-12-110 — TN Code / Title 45 / Chapter 12 / Section 45-12-110
License nontransferable and nonassignable - Change in control of licensee - Notification to department of change in place of business
Status: in_force

(a) A license issued pursuant to this chapter is not transferable or assignable. (b) (1) The prior written approval of the commissioner is required for the continued operation of a flex loan business whenever a change in control of a licensee is proposed. The commissioner may require information deemed necessary to determine whether a new application is required. Reasonable and actual costs incurred by the commissioner in investigating a change of control request shall be paid by the person requesting approval. (2) Whenever control is acquired or exercised in violation of this section, the license shall be deemed revoked as of the date of the unlawful acquisition of control. The licensee or its controlling person shall surrender the license to the commissioner on demand. (c) A licensee shall notify the department five (5) days before any change in the licensee's principal place of business, branch office or name. Added by 2014 Tenn. Acts, ch. 969,s 1, eff. 1/1/2015.
(a) A license issued pursuant to this chapter is not transferable or assignable.
(b) (1) The prior written approval of the commissioner is required for the continued operation of a flex loan business whenever a change in control of a licensee is proposed. The commissioner may require information deemed necessary to determine whether a new application is required. Reasonable and actual costs incurred by the commissioner in investigating a change of control request shall be paid by the person requesting approval. (2) Whenever control is acquired or exercised in violation of this section, the license shall be deemed revoked as of the date of the unlawful acquisition of control. The licensee or its controlling person shall surrender the license to the commissioner on demand.
(1) The prior written approval of the commissioner is required for the continued operation of a flex loan business whenever a change in control of a licensee is proposed. The commissioner may require information deemed necessary to determine whether a new application is required. Reasonable and actual costs incurred by the commissioner in investigating a change of control request shall be paid by the person requesting approval.
(2) Whenever control is acquired or exercised in violation of this section, the license shall be deemed revoked as of the date of the unlawful acquisition of control. The licensee or its controlling person shall surrender the license to the commissioner on demand.
(c) A licensee shall notify the department five (5) days before any change in the licensee's principal place of business, branch office or name.
Added by 2014 Tenn. Acts, ch. 969,s 1, eff. 1/1/2015.
Tenn. Code Ann. § 45-3-120 — TN Code / Title 45 / Chapter 3 / Section 45-3-120
Liberal construction
Status: in_force

This chapter shall be liberally construed to promote and foster a sound and efficient system of savings and loan associations. Acts 1978, ch. 708, § 5.27; T.C.A., § 45-1727.
This chapter shall be liberally construed to promote and foster a sound and efficient system of savings and loan associations.
Acts 1978, ch. 708, § 5.27; T.C.A., § 45-1727.
Tenn. Code Ann. § 45-3-522 — TN Code / Title 45 / Chapter 3 / Section 45-3-522
Final adjustment of statements of account
Status: in_force

(a) (1) When a statement of account has been rendered by an association to a depositor or has been mailed to the depositor's last known address, showing the condition of the depositor's account, the account shall, after the period of six (6) years from the date of the rendition of the statement, in the event no objection to the statement in writing has been theretofore made by the depositor or suit brought to correct same, be deemed finally adjusted and settled and its correctness conclusively presumed, and the depositor shall thereafter be barred from questioning the account for any cause. (2) Associations shall accordingly not be required to preserve or keep their records or files relating thereto for a longer period than six (6) years. (b) Nothing in this section shall be construed to relieve the depositor from the duty imposed by law of exercising due diligence in the examination of the account and vouchers, if any, accompanying the statement, when rendered by the association and of immediate notification to the association upon discovery of any error in the statement, nor from the legal consequences of neglect of that duty. (c) Nothing herein shall be construed as exempting associations from compliance with title 66, chapter 29 to the extent applicable. Acts 1983, ch. 191, § 1.
(a) (1) When a statement of account has been rendered by an association to a depositor or has been mailed to the depositor's last known address, showing the condition of the depositor's account, the account shall, after the period of six (6) years from the date of the rendition of the statement, in the event no objection to the statement in writing has been theretofore made by the depositor or suit brought to correct same, be deemed finally adjusted and settled and its correctness conclusively presumed, and the depositor shall thereafter be barred from questioning the account for any cause. (2) Associations shall accordingly not be required to preserve or keep their records or files relating thereto for a longer period than six (6) years.
(1) When a statement of account has been rendered by an association to a depositor or has been mailed to the depositor's last known address, showing the condition of the depositor's account, the account shall, after the period of six (6) years from the date of the rendition of the statement, in the event no objection to the statement in writing has been theretofore made by the depositor or suit brought to correct same, be deemed finally adjusted and settled and its correctness conclusively presumed, and the depositor shall thereafter be barred from questioning the account for any cause.
(2) Associations shall accordingly not be required to preserve or keep their records or files relating thereto for a longer period than six (6) years.
(b) Nothing in this section shall be construed to relieve the depositor from the duty imposed by law of exercising due diligence in the examination of the account and vouchers, if any, accompanying the statement, when rendered by the association and of immediate notification to the association upon discovery of any error in the statement, nor from the legal consequences of neglect of that duty.
(c) Nothing herein shall be construed as exempting associations from compliance with title 66, chapter 29 to the extent applicable.
Acts 1983, ch. 191, § 1.
Tenn. Code Ann. § 45-7-108 — TN Code / Title 45 / Chapter 7 / Section 45-7-108
Confidentiality
Status: in_force

(a) Notwithstanding any law to the contrary and except as otherwise provided in subsection (b), all information or reports obtained by the commissioner from an applicant, licensee, or authorized delegate, whether obtained through reports, applications, examination, audits, investigation, or otherwise, including, but not limited to, all information contained in or related to an examination, investigation, operating report, and condition report prepared by, on behalf of, or for the use of the commissioner, or financial statements, balance sheets, and authorized delegate information, are confidential and must not be disclosed or distributed outside the department by the commissioner or any officer or employee of the department, and are not open for inspection by members of the public. (b) (1) The commissioner may disclose confidential information in a manner the commissioner deems proper to: (A) Local, state, or federal agencies; and (B) The Conference of State Bank Supervisors and the Money Transmission Regulator Association; provided, that these associations have entered into confidentiality agreements with the commissioner. (2) A licensed money transmitter is entitled to access to a copy of the report of examination on the money transmitter prepared by the commissioner or the commissioner's designee. The report of examination in the possession of a licensee remains confidential and is not subject to subpoena. (3) This section does not prohibit the commissioner from disclosing to the public a list of all licensees or the aggregated financial or transactional data concerning those licensees. Amended by 2023 Tenn. Acts, ch. 115, s 1, eff. 1/1/2024. Acts 1994, ch. 715, § 1; T.C.A., § 45-7-208 .
(a) Notwithstanding any law to the contrary and except as otherwise provided in subsection (b), all information or reports obtained by the commissioner from an applicant, licensee, or authorized delegate, whether obtained through reports, applications, examination, audits, investigation, or otherwise, including, but not limited to, all information contained in or related to an examination, investigation, operating report, and condition report prepared by, on behalf of, or for the use of the commissioner, or financial statements, balance sheets, and authorized delegate information, are confidential and must not be disclosed or distributed outside the department by the commissioner or any officer or employee of the department, and are not open for inspection by members of the public.
(b) (1) The commissioner may disclose confidential information in a manner the commissioner deems proper to: (A) Local, state, or federal agencies; and (B) The Conference of State Bank Supervisors and the Money Transmission Regulator Association; provided, that these associations have entered into confidentiality agreements with the commissioner. (2) A licensed money transmitter is entitled to access to a copy of the report of examination on the money transmitter prepared by the commissioner or the commissioner's designee. The report of examination in the possession of a licensee remains confidential and is not subject to subpoena. (3) This section does not prohibit the commissioner from disclosing to the public a list of all licensees or the aggregated financial or transactional data concerning those licensees.
(1) The commissioner may disclose confidential information in a manner the commissioner deems proper to: (A) Local, state, or federal agencies; and (B) The Conference of State Bank Supervisors and the Money Transmission Regulator Association; provided, that these associations have entered into confidentiality agreements with the commissioner.
(A) Local, state, or federal agencies; and
(B) The Conference of State Bank Supervisors and the Money Transmission Regulator Association; provided, that these associations have entered into confidentiality agreements with the commissioner.
(2) A licensed money transmitter is entitled to access to a copy of the report of examination on the money transmitter prepared by the commissioner or the commissioner's designee. The report of examination in the possession of a licensee remains confidential and is not subject to subpoena.
(3) This section does not prohibit the commissioner from disclosing to the public a list of all licensees or the aggregated financial or transactional data concerning those licensees.
Amended by 2023 Tenn. Acts, ch. 115, s 1, eff. 1/1/2024.
Acts 1994, ch. 715, § 1; T.C.A., § 45-7-208 .
Tenn. Code Ann. § 45-5-606 — TN Code / Title 45 / Chapter 5 / Section 45-5-606
Rules concerning investment and thrift certificates
Status: in_force

In addition to the other rulemaking powers conferred upon the commissioner by this title, the commissioner is authorized and directed to adopt rules governing the issuance, offering and sale of investment certificates by industrial investment companies or thrift certificates by industrial banks and all operations of industrial investment companies and industrial banks in connection therewith, in order to protect the interests of the holders of the certificates, including, but not limited to, the maintenance of appropriate reserves. Acts 1983, ch. 274, § 20.
In addition to the other rulemaking powers conferred upon the commissioner by this title, the commissioner is authorized and directed to adopt rules governing the issuance, offering and sale of investment certificates by industrial investment companies or thrift certificates by industrial banks and all operations of industrial investment companies and industrial banks in connection therewith, in order to protect the interests of the holders of the certificates, including, but not limited to, the maintenance of appropriate reserves.
Acts 1983, ch. 274, § 20.
Tenn. Code Ann. § 45-14-103 — TN Code / Title 45 / Chapter 14 / Section 45-14-103
Commissioner of financial institutions - Authority - Savings banks - Authorized activities - Applicable law - Definitions - Deposit insurance
Status: in_force

(a) The commissioner of financial institutions, hereinafter referred to as the "commissioner," is authorized to provide for the organization, chartering, incorporation, examination, operation, regulation, safety and soundness of savings banks. (b) A savings bank may organize, convert and engage in acquisitions, mergers, consolidations, share exchanges and purchase of assets and assumption of liabilities, in the same manner as is provided for associations in chapter 3 of this title. (c) The commissioner may by regulation define any term used in this chapter that is not specifically defined in this chapter. (d) The provisions of chapter 2 of this title, and the regulations thereunder, that are applicable to commercial banks and related parties regarding insolvency, conservatorship, receivership, the termination of unsafe and unsound practices, and the enforcement of laws, regulations and orders, are likewise applicable to savings banks. (e) All savings banks chartered under this chapter shall be subject to this chapter and the regulations issued under this chapter, and a foreign depository institution operating in this state that meets the definition of a savings bank under § 3(g) of the Federal Deposit Insurance Act ( 12 U.S.C. § 1813(g) ), as in effect as of September 1, 1990, is likewise subject to the act and regulations. (f) Except where the context requires otherwise, "savings bank," as used in this chapter, means a depository institution chartered pursuant to this chapter. (g) The deposits of each savings bank subject to this chapter must be insured by the federal deposit insurance corporation pursuant to the Federal Deposit Insurance Act. Acts 1991, ch. 177, § 3; 1996, ch. 768, § 29.
(a) The commissioner of financial institutions, hereinafter referred to as the "commissioner," is authorized to provide for the organization, chartering, incorporation, examination, operation, regulation, safety and soundness of savings banks.
(b) A savings bank may organize, convert and engage in acquisitions, mergers, consolidations, share exchanges and purchase of assets and assumption of liabilities, in the same manner as is provided for associations in chapter 3 of this title.
(c) The commissioner may by regulation define any term used in this chapter that is not specifically defined in this chapter.
(d) The provisions of chapter 2 of this title, and the regulations thereunder, that are applicable to commercial banks and related parties regarding insolvency, conservatorship, receivership, the termination of unsafe and unsound practices, and the enforcement of laws, regulations and orders, are likewise applicable to savings banks.
(e) All savings banks chartered under this chapter shall be subject to this chapter and the regulations issued under this chapter, and a foreign depository institution operating in this state that meets the definition of a savings bank under § 3(g) of the Federal Deposit Insurance Act ( 12 U.S.C. § 1813(g) ), as in effect as of September 1, 1990, is likewise subject to the act and regulations.
(f) Except where the context requires otherwise, "savings bank," as used in this chapter, means a depository institution chartered pursuant to this chapter.
(g) The deposits of each savings bank subject to this chapter must be insured by the federal deposit insurance corporation pursuant to the Federal Deposit Insurance Act.
Acts 1991, ch. 177, § 3; 1996, ch. 768, § 29.
Tenn. Code Ann. § 45-2-1307 — TN Code / Title 45 / Chapter 2 / Section 45-2-1307
Conversion of national into state bank
Status: in_force

(a) Except as provided in § 45-2-1310 , a national bank located in this state that follows the procedure prescribed by the laws of the United States to convert into a state bank may be granted a state charter by the commissioner if the commissioner finds that each office of the national bank is legally in operation, that the resulting state bank will have an adequate capital structure, including surplus, in relation to its deposit liabilities and its other activities, not less than the capital structure required for a new state bank, and that the officers and directors of the resulting bank are persons of sound judgment and discretion. (b) The national bank may apply for the charter by filing with the commissioner: (1) A certificate signed by its president and cashier and by a majority of the entire board of directors, setting forth the corporate action taken in compliance with the laws of the United States governing the conversion of a national to a state bank; and (2) The plan of conversion and the proposed articles of incorporation approved by the stockholders, for the operation of the bank as a state bank. Acts 1969, ch. 36, § 1 (3.407); 1973, ch. 294, § 6; T.C.A., § 45-607.
(a) Except as provided in § 45-2-1310 , a national bank located in this state that follows the procedure prescribed by the laws of the United States to convert into a state bank may be granted a state charter by the commissioner if the commissioner finds that each office of the national bank is legally in operation, that the resulting state bank will have an adequate capital structure, including surplus, in relation to its deposit liabilities and its other activities, not less than the capital structure required for a new state bank, and that the officers and directors of the resulting bank are persons of sound judgment and discretion.
(b) The national bank may apply for the charter by filing with the commissioner: (1) A certificate signed by its president and cashier and by a majority of the entire board of directors, setting forth the corporate action taken in compliance with the laws of the United States governing the conversion of a national to a state bank; and (2) The plan of conversion and the proposed articles of incorporation approved by the stockholders, for the operation of the bank as a state bank.
(1) A certificate signed by its president and cashier and by a majority of the entire board of directors, setting forth the corporate action taken in compliance with the laws of the United States governing the conversion of a national to a state bank; and
(2) The plan of conversion and the proposed articles of incorporation approved by the stockholders, for the operation of the bank as a state bank.
Acts 1969, ch. 36, § 1 (3.407); 1973, ch. 294, § 6; T.C.A., § 45-607.
Tenn. Code Ann. § 45-2-1206 — TN Code / Title 45 / Chapter 2 / Section 45-2-1206
[Repealed] Legislative intent
Status: repealed

It is the intent of the general assembly in adopting this part to allow financial service providers the discretion to take actions to assist in detecting and preventing financial exploitation without liability. The general assembly recognizes that financial service providers are in a unique position by conducting financial transactions on behalf of and at the request of their customers. Financial service providers have duties imposed by contract and duties imposed by both federal and state law to conduct financial transactions requested by their customers faithfully and timely in accordance with the customer's instructions. Further, financial service providers do not have a duty to contravene the valid instructions of their customers, nor to prevent criminal activity directed at their customers, and nothing in this part creates such a duty. Acts 2017, ch. 264, § 1.
It is the intent of the general assembly in adopting this part to allow financial service providers the discretion to take actions to assist in detecting and preventing financial exploitation without liability. The general assembly recognizes that financial service providers are in a unique position by conducting financial transactions on behalf of and at the request of their customers. Financial service providers have duties imposed by contract and duties imposed by both federal and state law to conduct financial transactions requested by their customers faithfully and timely in accordance with the customer's instructions. Further, financial service providers do not have a duty to contravene the valid instructions of their customers, nor to prevent criminal activity directed at their customers, and nothing in this part creates such a duty.
Acts 2017, ch. 264, § 1.
Tenn. Code Ann. § 45-18-123 — TN Code / Title 45 / Chapter 18 / Section 45-18-123
Agent for channeling information
Status: in_force

The commissioner is authorized to use a multi-state automated licensing system as an agent for channeling information, whether criminal or noncriminal in nature, and whether derived from or distributed to the United States department of justice, any other state or federal governmental agency, or any other source, that the commissioner is authorized to request or distribute under this chapter. Added by 2017 Tenn. Acts, ch. 122,s 11, eff. 7/1/2017.
The commissioner is authorized to use a multi-state automated licensing system as an agent for channeling information, whether criminal or noncriminal in nature, and whether derived from or distributed to the United States department of justice, any other state or federal governmental agency, or any other source, that the commissioner is authorized to request or distribute under this chapter.
Added by 2017 Tenn. Acts, ch. 122,s 11, eff. 7/1/2017.
Tenn. Code Ann. § 45-4-1207 — TN Code / Title 45 / Chapter 4 / Section 45-4-1207
Membership - State credit unions, federal credit unions and foreign credit unions
Status: in_force

Any credit union legally chartered under federal law or chartered under the laws of any state may become a member of the corporation, in accordance with provisions of this part and the bylaws, rules and regulations adopted for carrying out the purposes of this part. Acts 1981, ch. 76, § 7; 1995, ch. 23, § 4.
Any credit union legally chartered under federal law or chartered under the laws of any state may become a member of the corporation, in accordance with provisions of this part and the bylaws, rules and regulations adopted for carrying out the purposes of this part.
Acts 1981, ch. 76, § 7; 1995, ch. 23, § 4.
Tenn. Code Ann. § 45-2-1309 — TN Code / Title 45 / Chapter 2 / Section 45-2-1309
Dissenting stockholders
Status: in_force

The owners of shares of a state bank shall have dissenters rights as provided by the Tennessee Business Corporation Act, compiled in title 48, ch. 23, part 1, with respect to any plan of merger, merger agreement, plan of conversion, plan of share exchange or any other corporate action described in § 48-23-102 . Acts 1969, ch. 36, § 1 (3.409); 1973, ch. 294, § 6; T.C.A., § 45-609; Acts 1981, ch. 330, § 2; 1983, ch. 441, § 2; 1994, ch. 551, § 15.
The owners of shares of a state bank shall have dissenters rights as provided by the Tennessee Business Corporation Act, compiled in title 48, ch. 23, part 1, with respect to any plan of merger, merger agreement, plan of conversion, plan of share exchange or any other corporate action described in § 48-23-102 .
Acts 1969, ch. 36, § 1 (3.409); 1973, ch. 294, § 6; T.C.A., § 45-609; Acts 1981, ch. 330, § 2; 1983, ch. 441, § 2; 1994, ch. 551, § 15.
Tenn. Code Ann. § 45-3-109 — TN Code / Title 45 / Chapter 3 / Section 45-3-109
Capital stock - Nature
Status: in_force

(a) Capital stock shall constitute a reserve out of which losses shall be paid after all other available reserves have been exhausted, and shall have a par value, or if the capital stock has no par value, then a stated value, of one dollar ($1.00) per share or another amount that the charter may prescribe. (b) (1) Nonwithdrawability. Capital stock shall be nonwithdrawable, except as otherwise specifically provided by this chapter, or by the Tennessee Business Corporation Act, compiled in title 48, chapters 11-27. (2) Dividends. Capital stock shall be entitled to dividends, unless limited by this chapter, or by the Tennessee Business Corporation Act, compiled in title 48, chapters 11-27. Acts 1978, ch. 708, § 1.09; T.C.A., § 45-1309; Acts 1994, ch. 551, § 19.
(a) Capital stock shall constitute a reserve out of which losses shall be paid after all other available reserves have been exhausted, and shall have a par value, or if the capital stock has no par value, then a stated value, of one dollar ($1.00) per share or another amount that the charter may prescribe.
(b) (1) Nonwithdrawability. Capital stock shall be nonwithdrawable, except as otherwise specifically provided by this chapter, or by the Tennessee Business Corporation Act, compiled in title 48, chapters 11-27. (2) Dividends. Capital stock shall be entitled to dividends, unless limited by this chapter, or by the Tennessee Business Corporation Act, compiled in title 48, chapters 11-27.
(1) Nonwithdrawability. Capital stock shall be nonwithdrawable, except as otherwise specifically provided by this chapter, or by the Tennessee Business Corporation Act, compiled in title 48, chapters 11-27.
(2) Dividends. Capital stock shall be entitled to dividends, unless limited by this chapter, or by the Tennessee Business Corporation Act, compiled in title 48, chapters 11-27.
Acts 1978, ch. 708, § 1.09; T.C.A., § 45-1309; Acts 1994, ch. 551, § 19.
Tenn. Code Ann. § 45-1-206 — TN Code / Title 45 / Chapter 1 / Section 45-1-206
Commissioner to notify parties of effect of award, right to appeal
Status: in_force

The commissioner shall advise both parties in writing, at the time the award is made, that the commissioner's decision will be binding on both parties unless appealed to a court of law within thirty (30) days, as provided in § 45-1-205 . Acts 1981, ch. 25, § 6; T.C.A., § 45-1-306 .
The commissioner shall advise both parties in writing, at the time the award is made, that the commissioner's decision will be binding on both parties unless appealed to a court of law within thirty (30) days, as provided in § 45-1-205 .
Acts 1981, ch. 25, § 6; T.C.A., § 45-1-306 .
Tenn. Code Ann. § 45-2-1711 — TN Code / Title 45 / Chapter 2 / Section 45-2-1711
False reports
Status: in_force

Any employee of the department who makes a report on oath, as to the result of any examination made by the employee, that is knowingly and willfully false, commits a Class C misdemeanor. Acts 1969, ch. 36, § 1 (3.611); T.C.A., § 45-1111; Acts 1989, ch. 591, § 113.
Any employee of the department who makes a report on oath, as to the result of any examination made by the employee, that is knowingly and willfully false, commits a Class C misdemeanor.
Acts 1969, ch. 36, § 1 (3.611); T.C.A., § 45-1111; Acts 1989, ch. 591, § 113.
Tenn. Code Ann. § 45-5-505 — TN Code / Title 45 / Chapter 5 / Section 45-5-505
Change of control
Status: in_force

(a) A change in control of a registrant shall require thirty (30) days prior notice in writing to the commissioner. However, in the case of a publicly traded corporation, notification shall be made in writing within thirty (30) days of a change or acquisition of control of a registrant. (b) Upon notification, the commissioner may require information deemed necessary to determine whether an application for registration is required. The commissioner may waive the filing of an application if, in the commissioner's discretion, the change in control does not pose any risk to the interests of the public. (c) Whenever control of a registrant is acquired or exercised in violation of this section, the registration of the registrant shall be deemed revoked as of the date of the unlawful acquisition of control. The registrant, or its controlling person, shall surrender the registration to the commissioner on demand. Acts 2001, ch. 165, § 9.
(a) A change in control of a registrant shall require thirty (30) days prior notice in writing to the commissioner. However, in the case of a publicly traded corporation, notification shall be made in writing within thirty (30) days of a change or acquisition of control of a registrant.
(b) Upon notification, the commissioner may require information deemed necessary to determine whether an application for registration is required. The commissioner may waive the filing of an application if, in the commissioner's discretion, the change in control does not pose any risk to the interests of the public.
(c) Whenever control of a registrant is acquired or exercised in violation of this section, the registration of the registrant shall be deemed revoked as of the date of the unlawful acquisition of control. The registrant, or its controlling person, shall surrender the registration to the commissioner on demand.
Acts 2001, ch. 165, § 9.
Tenn. Code Ann. § 45-1-123 — TN Code / Title 45 / Chapter 1 / Section 45-1-123
Legal counsel for commissioner
Status: in_force

(a) The district attorneys general in each county, when requested by the commissioner, shall, as a part of their official duty and without compensation, represent the commissioner in any suit that the commissioner may desire to bring, or that may be brought against the commissioner, in the commissioner's official capacity, in their respective counties. (b) The attorney general and reporter shall advise the commissioner on any question of law submitted to the attorney general and reporter by the commissioner, respecting the commissioner's authority and duties under the law. Acts 1969, ch. 36, § 1 (2.115); 1973, ch. 294, § 6; modified; T.C.A., § 45-122.
(a) The district attorneys general in each county, when requested by the commissioner, shall, as a part of their official duty and without compensation, represent the commissioner in any suit that the commissioner may desire to bring, or that may be brought against the commissioner, in the commissioner's official capacity, in their respective counties.
(b) The attorney general and reporter shall advise the commissioner on any question of law submitted to the attorney general and reporter by the commissioner, respecting the commissioner's authority and duties under the law.
Acts 1969, ch. 36, § 1 (2.115); 1973, ch. 294, § 6; modified; T.C.A., § 45-122.
Tenn. Code Ann. § 45-10-111 — TN Code / Title 45 / Chapter 10 / Section 45-10-111
Wrapping and delivery of copy of records
Status: in_force

The copy of the records shall be separately enclosed in an inner envelope or wrapper, sealed, with the title and number of the action, name of custodian and date of subpoena clearly inscribed on the sealed envelope or wrapper. The sealed envelope or wrapper shall then be enclosed in an outer envelope or wrapper, sealed, and directed as follows: (1) If the subpoena directs attendance in court, to the clerk of the court or to the judge of the court; (2) If the subpoena directs attendance at a deposition, to the officer before whom the deposition is to be taken, at the place designated in the subpoena for the taking of the deposition or at the officer's place of business; or (3) In other cases, to the issuer. Acts 1983, ch. 224, § 11.
The copy of the records shall be separately enclosed in an inner envelope or wrapper, sealed, with the title and number of the action, name of custodian and date of subpoena clearly inscribed on the sealed envelope or wrapper. The sealed envelope or wrapper shall then be enclosed in an outer envelope or wrapper, sealed, and directed as follows:
(1) If the subpoena directs attendance in court, to the clerk of the court or to the judge of the court;
(2) If the subpoena directs attendance at a deposition, to the officer before whom the deposition is to be taken, at the place designated in the subpoena for the taking of the deposition or at the officer's place of business; or
(3) In other cases, to the issuer.
Acts 1983, ch. 224, § 11.
Tenn. Code Ann. § 45-2-1712 — TN Code / Title 45 / Chapter 2 / Section 45-2-1712
False swearing on examination by commissioner or bank examiner
Status: in_force

Any person who willfully and corruptly swears or affirms falsely when being examined under oath by any bank examiner or the commissioner in regard to any material matter or thing commits a Class C misdemeanor. Acts 1969, ch. 36, § 1 (3.612); 1973, ch. 294, § 6; T.C.A., § 45-1112; Acts 1989, ch. 591, § 113.
Any person who willfully and corruptly swears or affirms falsely when being examined under oath by any bank examiner or the commissioner in regard to any material matter or thing commits a Class C misdemeanor.
Acts 1969, ch. 36, § 1 (3.612); 1973, ch. 294, § 6; T.C.A., § 45-1112; Acts 1989, ch. 591, § 113.
Tenn. Code Ann. § 45-2-2201 — TN Code / Title 45 / Chapter 2 / Section 45-2-2201
Short title
Status: in_force

This part is known and may be cited as the "Second Amendment Financial Privacy Act." Added by 2024 Tenn. Acts, ch. 773,s 1, eff. 7/1/2024.
This part is known and may be cited as the "Second Amendment Financial Privacy Act."
Added by 2024 Tenn. Acts, ch. 773,s 1, eff. 7/1/2024.
Tenn. Code Ann. § 45-2-1410 — TN Code / Title 45 / Chapter 2 / Section 45-2-1410
Notice of subsequent merger
Status: in_force

(a) Each out-of-state state bank that has established and maintains a branch in this state pursuant to this part shall give at least thirty (30) days' prior written notice to the commissioner of any merger, consolidation, or other transaction that would cause a change of control with respect to the bank or any bank holding company that controls the bank, with the result that an application would be required to be filed pursuant to the federal Change In Bank Control Act of 1978 ( 12 U.S.C. § 1817(j) ), or the federal Bank Holding Company Act of 1956 ( 12 U.S.C. § 1841 et seq.), or any successor statutes. In the case of an emergency transaction, the out-of-state state bank shall provide a shorter notice that is consistent with applicable state or federal law. The home state supervisory agency of the bank may provide the prior written notice required. (b) The notice requirement of subsection (a) shall apply to out-of-state trust institutions that maintain an office in this state pursuant to this chapter. The notice shall also be required of: (1) Any transfer of all or substantially all of the trust accounts or trust assets of the out-of-state trust institution to another person; or (2) The closing or disposition of any office in this state. Acts 1996, ch. 562, § 1; 1999, ch. 112, § 12.
(a) Each out-of-state state bank that has established and maintains a branch in this state pursuant to this part shall give at least thirty (30) days' prior written notice to the commissioner of any merger, consolidation, or other transaction that would cause a change of control with respect to the bank or any bank holding company that controls the bank, with the result that an application would be required to be filed pursuant to the federal Change In Bank Control Act of 1978 ( 12 U.S.C. § 1817(j) ), or the federal Bank Holding Company Act of 1956 ( 12 U.S.C. § 1841 et seq.), or any successor statutes. In the case of an emergency transaction, the out-of-state state bank shall provide a shorter notice that is consistent with applicable state or federal law. The home state supervisory agency of the bank may provide the prior written notice required.
(b) The notice requirement of subsection (a) shall apply to out-of-state trust institutions that maintain an office in this state pursuant to this chapter. The notice shall also be required of: (1) Any transfer of all or substantially all of the trust accounts or trust assets of the out-of-state trust institution to another person; or (2) The closing or disposition of any office in this state.
(1) Any transfer of all or substantially all of the trust accounts or trust assets of the out-of-state trust institution to another person; or
(2) The closing or disposition of any office in this state.
Acts 1996, ch. 562, § 1; 1999, ch. 112, § 12.
Tenn. Code Ann. § 45-8-216 — TN Code / Title 45 / Chapter 8 / Section 45-8-216
Examination by commissioner
Status: in_force

(a) The commissioner shall visit and examine each licensee as frequently as the commissioner deems it necessary or expedient. On the occasion of every visit and examination, the commissioner shall, in company with one (1) or more of the officers of the licensee, if requested by the licensee, be given free access to every part of the office or place of business and to the assets, securities, books, papers and records of the licensee. (b) If, in the commissioner's opinion, it is necessary for a thorough examination of a licensee, the commissioner may retain one (1) or more accountants, attorneys, appraisers, or other third parties to assist the commissioner in the examination. Within ten (10) days after receipt of a statement from the commissioner, the licensee shall pay or reimburse the fees, costs and expenses of any third parties retained by the commissioner under this subsection (b). (c) The commissioner shall also have the power to examine or cause to be examined subsidiary corporations of BIDCOs subject to the commissioner's supervision under this part. (d) Any examination under this section may be made by any person or persons designated by the commissioner, and in that case, all the powers vested in the commissioner by this section shall be possessed by the person or persons so designated. The commissioner shall furnish to each examiner a commission under the signature of the commissioner and official seal of the department, which the examiner shall exhibit to the officer or officers of the BIDCO proposed to be examined as the examiner's authority for making the examination. Acts 1989, ch. 124, § 16.
(a) The commissioner shall visit and examine each licensee as frequently as the commissioner deems it necessary or expedient. On the occasion of every visit and examination, the commissioner shall, in company with one (1) or more of the officers of the licensee, if requested by the licensee, be given free access to every part of the office or place of business and to the assets, securities, books, papers and records of the licensee.
(b) If, in the commissioner's opinion, it is necessary for a thorough examination of a licensee, the commissioner may retain one (1) or more accountants, attorneys, appraisers, or other third parties to assist the commissioner in the examination. Within ten (10) days after receipt of a statement from the commissioner, the licensee shall pay or reimburse the fees, costs and expenses of any third parties retained by the commissioner under this subsection (b).
(c) The commissioner shall also have the power to examine or cause to be examined subsidiary corporations of BIDCOs subject to the commissioner's supervision under this part.
(d) Any examination under this section may be made by any person or persons designated by the commissioner, and in that case, all the powers vested in the commissioner by this section shall be possessed by the person or persons so designated. The commissioner shall furnish to each examiner a commission under the signature of the commissioner and official seal of the department, which the examiner shall exhibit to the officer or officers of the BIDCO proposed to be examined as the examiner's authority for making the examination.
Acts 1989, ch. 124, § 16.
Tenn. Code Ann. § 45-17-101 — TN Code / Title 45 / Chapter 17 / Section 45-17-101
Short title
Status: in_force

This chapter shall be known and may be cited as the "Deferred Presentment Services Act." Acts 1997, ch. 255, § 2; 1999, ch. 14, § 1.
This chapter shall be known and may be cited as the "Deferred Presentment Services Act."
Acts 1997, ch. 255, § 2; 1999, ch. 14, § 1.
Tenn. Code Ann. § 45-7-125 — TN Code / Title 45 / Chapter 7 / Section 45-7-125
Records
Status: in_force

(a) A licensee shall maintain the following records for at least three (3) years: (1) A record of each outstanding money transmission obligation sold; (2) A general ledger posted at least monthly containing all asset, liability, capital, income, and expense accounts; (3) Bank statements and bank reconciliation records; (4) Records of outstanding money transmission obligations; (5) Records of each outstanding money transmission obligation paid within the three-year period; (6) A list of the last known names and addresses of all of the licensee's authorized delegates; and (7) Any other records the commissioner reasonably requires. (b) The items specified in subsection (a) may be maintained in any form of record. (c) Records specified in subsection (a) may be maintained outside this state if they are made accessible to the commissioner upon the commissioner's request. (d) All records maintained by the licensee as required by subsection (a) are open to inspection by the commissioner pursuant to § 45-7-107 . Amended by 2023 Tenn. Acts, ch. 115, s 1, eff. 1/1/2024. Acts 1994, ch. 715, § 1; T.C.A., § 45-7-225 .
(a) A licensee shall maintain the following records for at least three (3) years: (1) A record of each outstanding money transmission obligation sold; (2) A general ledger posted at least monthly containing all asset, liability, capital, income, and expense accounts; (3) Bank statements and bank reconciliation records; (4) Records of outstanding money transmission obligations; (5) Records of each outstanding money transmission obligation paid within the three-year period; (6) A list of the last known names and addresses of all of the licensee's authorized delegates; and (7) Any other records the commissioner reasonably requires.
(1) A record of each outstanding money transmission obligation sold;
(2) A general ledger posted at least monthly containing all asset, liability, capital, income, and expense accounts;
(3) Bank statements and bank reconciliation records;
(4) Records of outstanding money transmission obligations;
(5) Records of each outstanding money transmission obligation paid within the three-year period;
(6) A list of the last known names and addresses of all of the licensee's authorized delegates; and
(7) Any other records the commissioner reasonably requires.
(b) The items specified in subsection (a) may be maintained in any form of record.
(c) Records specified in subsection (a) may be maintained outside this state if they are made accessible to the commissioner upon the commissioner's request.
(d) All records maintained by the licensee as required by subsection (a) are open to inspection by the commissioner pursuant to § 45-7-107 .
Amended by 2023 Tenn. Acts, ch. 115, s 1, eff. 1/1/2024.
Acts 1994, ch. 715, § 1; T.C.A., § 45-7-225 .
Tenn. Code Ann. § 45-12-120 — TN Code / Title 45 / Chapter 12 / Section 45-12-120
Complaints against licensees to be filed with commissioner - Investigative powers - Enforcement
Status: in_force

(a) Any person aggrieved by the conduct of a licensee under this chapter in connection with the licensee's regulated activities may file a written complaint with the commissioner who may investigate the complaint. (b) In the course of the investigation of the complaint, the commissioner may: (1) Subpoena witnesses; (2) Administer oaths; (3) Examine any individual under oath or affirmation; and (4) Compel the production of records, books, papers, contracts or other documents relevant to the investigation. (c) If any person fails to comply with a subpoena of the commissioner under this chapter or to testify concerning any matter about which the person may be interrogated under this chapter, the commissioner may petition any court of competent jurisdiction for enforcement. (d) The license of any licensee under this chapter who fails to comply with a subpoena of the commissioner may be suspended pending compliance with the subpoena. (e) The commissioner shall have exclusive administrative power to investigate and enforce any and all complaints relating to the business of making flex loans filed by any person that are not criminal in nature. Added by 2014 Tenn. Acts, ch. 969,s 1, eff. 1/1/2015.
(a) Any person aggrieved by the conduct of a licensee under this chapter in connection with the licensee's regulated activities may file a written complaint with the commissioner who may investigate the complaint.
(b) In the course of the investigation of the complaint, the commissioner may: (1) Subpoena witnesses; (2) Administer oaths; (3) Examine any individual under oath or affirmation; and (4) Compel the production of records, books, papers, contracts or other documents relevant to the investigation.
(1) Subpoena witnesses;
(2) Administer oaths;
(3) Examine any individual under oath or affirmation; and
(4) Compel the production of records, books, papers, contracts or other documents relevant to the investigation.
(c) If any person fails to comply with a subpoena of the commissioner under this chapter or to testify concerning any matter about which the person may be interrogated under this chapter, the commissioner may petition any court of competent jurisdiction for enforcement.
(d) The license of any licensee under this chapter who fails to comply with a subpoena of the commissioner may be suspended pending compliance with the subpoena.
(e) The commissioner shall have exclusive administrative power to investigate and enforce any and all complaints relating to the business of making flex loans filed by any person that are not criminal in nature.
Added by 2014 Tenn. Acts, ch. 969,s 1, eff. 1/1/2015.
Tenn. Code Ann. § 45-3-1507 — TN Code / Title 45 / Chapter 3 / Section 45-3-1507
Appointment of personnel - Bonding requirements
Status: in_force

The commissioner shall appoint, subject to any applicable provisions of law, a supervisor, such examiners, employees, experts and special assistants as may be necessary to effectively carry out this part. The commissioner shall require each supervisor, examiner, expert, and special assistant employed or appointed by the commissioner to give bond, with security to be approved by the commissioner, in an amount set by the commissioner, conditioned for the faithful discharge of the person's duties. Premium on the bond shall be paid by the commissioner from funds appropriated for that purpose. The bond, together with verification of payment of the premium on the bond, shall be on file in the office of the commissioner and subject to public inspection. Acts 1989, ch. 354, § 7.
The commissioner shall appoint, subject to any applicable provisions of law, a supervisor, such examiners, employees, experts and special assistants as may be necessary to effectively carry out this part. The commissioner shall require each supervisor, examiner, expert, and special assistant employed or appointed by the commissioner to give bond, with security to be approved by the commissioner, in an amount set by the commissioner, conditioned for the faithful discharge of the person's duties. Premium on the bond shall be paid by the commissioner from funds appropriated for that purpose. The bond, together with verification of payment of the premium on the bond, shall be on file in the office of the commissioner and subject to public inspection.
Acts 1989, ch. 354, § 7.
Tenn. Code Ann. § 45-3-802 — TN Code / Title 45 / Chapter 3 / Section 45-3-802
Books and records
Status: in_force

Every association shall keep at the home office correct and complete books of account and minutes of the proceedings of stockholders or members, as the case may be, and of directors. Complete records of all business transacted at the home office shall be maintained at the home office. Records of business transacted at any branch office may be kept at the branch office; provided, that control records of all business transacted at each branch office or agency shall be maintained at the home office. Acts 1978, ch. 708, § 3.02; T.C.A., § 45-1509.
Every association shall keep at the home office correct and complete books of account and minutes of the proceedings of stockholders or members, as the case may be, and of directors. Complete records of all business transacted at the home office shall be maintained at the home office. Records of business transacted at any branch office may be kept at the branch office; provided, that control records of all business transacted at each branch office or agency shall be maintained at the home office.
Acts 1978, ch. 708, § 3.02; T.C.A., § 45-1509.
Tenn. Code Ann. § 45-2-1601 — TN Code / Title 45 / Chapter 2 / Section 45-2-1601
Supervision of banks
Status: in_force

(a) Every person doing a banking business under the laws of this state shall be subject to supervision and regulation by the commissioner. (b) In addition to other powers conferred by chapters 1-9 of this title, the commissioner has the power to require banks subject to the commissioner's supervision to: (1) Maintain their accounts and to value their assets in accordance with generally accepted principles of accounting; (2) Charge off the whole or part of an asset that at the time of its acquisition could not lawfully have been acquired and that could not lawfully be retained at the time of the commissioner's action; provided, that the commissioner's action is within two (2) years of the aforementioned acquisition; (3) Record liens and security in property or, at the option of the bank, insure against losses from not recording; (4) Obtain a financial statement from a borrower to the extent that the bank can do so; (5) Search, or obtain insurance of, the title to real estate taken as security; and (6) Maintain adequate insurance against the risks that the commissioner determines are necessary and appropriate for the protection of depositors. (c) No person shall be subjected to any civil or criminal liability for any act or omission to act in good faith in reliance upon a subsisting order, regulation or interpretation of the commissioner, notwithstanding a subsequent decision by a court invalidating the order, regulation or interpretation. Acts 1969, ch. 36, § 1 (2.201); 1973, ch. 294, § 6; T.C.A., § 45-701.
(a) Every person doing a banking business under the laws of this state shall be subject to supervision and regulation by the commissioner.
(b) In addition to other powers conferred by chapters 1-9 of this title, the commissioner has the power to require banks subject to the commissioner's supervision to: (1) Maintain their accounts and to value their assets in accordance with generally accepted principles of accounting; (2) Charge off the whole or part of an asset that at the time of its acquisition could not lawfully have been acquired and that could not lawfully be retained at the time of the commissioner's action; provided, that the commissioner's action is within two (2) years of the aforementioned acquisition; (3) Record liens and security in property or, at the option of the bank, insure against losses from not recording; (4) Obtain a financial statement from a borrower to the extent that the bank can do so; (5) Search, or obtain insurance of, the title to real estate taken as security; and (6) Maintain adequate insurance against the risks that the commissioner determines are necessary and appropriate for the protection of depositors.
(1) Maintain their accounts and to value their assets in accordance with generally accepted principles of accounting;
(2) Charge off the whole or part of an asset that at the time of its acquisition could not lawfully have been acquired and that could not lawfully be retained at the time of the commissioner's action; provided, that the commissioner's action is within two (2) years of the aforementioned acquisition;
(3) Record liens and security in property or, at the option of the bank, insure against losses from not recording;
(4) Obtain a financial statement from a borrower to the extent that the bank can do so;
(5) Search, or obtain insurance of, the title to real estate taken as security; and
(6) Maintain adequate insurance against the risks that the commissioner determines are necessary and appropriate for the protection of depositors.
(c) No person shall be subjected to any civil or criminal liability for any act or omission to act in good faith in reliance upon a subsisting order, regulation or interpretation of the commissioner, notwithstanding a subsequent decision by a court invalidating the order, regulation or interpretation.
Acts 1969, ch. 36, § 1 (2.201); 1973, ch. 294, § 6; T.C.A., § 45-701.