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BOARD OF GOVERNORS

OF THE

FEDERAL RESERVE SYSTEM

WASHINGTON, D.C. 20551 

DIVISION OF BANKING

SUPERVISION AND REGULATION

SR 11-12 

July 21, 2011 

TO THE OFFICER IN CHARGE OF SUPERVISION

 AT EACH FEDERAL RESERVE BANK

SUBJECT: Deregistration Procedures for Certain Savings and Loan Holding Companies

 Under the Home Owners’ Loan Act (HOLA), a savings and loan holding company 

(SLHC) includes any company that directly or indirectly controls either a savings association or 

any other company that is an SLHC.1 The Dodd-Frank Wall Street Reform and Consumer 

Protection Act (Dodd-Frank Act) amended HOLA to exclude from the definition of an SLHC 

any company that controls only one savings association subsidiary, provided that subsidiary 

functions solely in a trust or fiduciary capacity as described in section 2(c)(2)(D) of the Bank 

Holding Company Act (BHC Act).

2

 Accordingly, as of July 22, 2011, an SLHC that qualifies

for this exclusion may submit a request to the Board to deregister as an SLHC.

3

 All other 

deregistration requests (i.e., those that are not filed pursuant to 12 USC 1467a(1)(D)(ii)(II)) 

should be directed to the appropriate Reserve Bank.

 In requesting deregistration as an SLHC, the company must affirm that its sole savings 

association’s activities meet the requirements for this exclusion as follows: 

(1) all or substantially all of the deposits of such institution are in trust funds and 

are received in a bona fide fiduciary capacity;

(2) no deposits of such institution which are insured by the Federal Deposit 

Insurance Corporation are offered or marketed by or through an affiliate of 

such institution; 

 

1

 12 USC 1467a(a)(1)(D)(i).

2

 12 USC 1467a(a)(1)(D)(ii)(II), as amended by section 604(i) of the Dodd-Frank Act. 12 USC 1841(c)(2)(D) lists 

the relevant factors considered for establishing that an institution functions solely in a trust or fiduciary capacity.

3

 Requests should be addressed to the Domestic Applications Section, Division of Banking Supervision and 

Regulation, Board of Governors of the Federal Reserve System, Mail Stop 1808, 20th Street and Constitution 

Avenue, NW, Washington, DC 20551. 
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(3) such institution does not accept demand deposits or deposits that the 

depositor may withdraw by check or similar means for payment to third 

parties or others or make commercial loans; and 

(4) such institution does not 

(a) obtain payment or payment-related services from any Federal Reserve 

Bank, including any service referred to in 12 USC 248a; or 

(b) exercise discount or borrowing privileges pursuant to 12 USC 

467(b)(7). 

In reviewing the request to deregister, the Board will obtain a copy of the most recent 

examination report of the SLHC’s trust company, will consult with the primary regulator of the 

trust company, and may request other additional information in order to verify that the company 

satisfies the statutory requirements in order to qualify for the exclusion. The Board will also 

formally acknowledge and act on the deregistration request.

 

Questions regarding this letter may be directed to Amanda Allexon, Counsel, Legal 

Division, at (202) 452-3818; or Robert Brooks, Senior Supervisory Financial Analyst, Domestic 

Banking Acquisitions & Activities, Division of Banking Supervision and Regulation, at 

(202) 452-3103. In addition, questions may be sent via the Board’s public website.4

Maryann F. Hunter

Acting Director

 

4 See http://www.federalreserve.gov/feedback.cfm.