My fellow state regulators and I are continuing to evaluate the attributes of an effective, multi-state regulatory system for trust companies. Powers - The Powers subcommittee extensively reviewed the authority granted to national banks, savings institutions and other state institutions. This wildcard provision would allow a Texas bank, upon notice to the Banking Commissioner, to exercise any power authorized to another financial institution in the United States that is permitted under applicable federal law. The Banking Commissioner could veto the activity if the activity would jeopardize the safety and soundness of the bank. The provision would be innovative and flexible to promote the long-term economic development of financial institutions in the state, while providing important safeguards.
Current law allows service of a claim at any office at which there is a vice-president.
For banks, this is any branch office. A claim includes a writ of attachment, writ of garnishment, notice of freeze, notice of levy, notice of child support lien, notice of seizure, notice of receivership and other instruments asserting a claim against a customer's account. In order to avoid confusion, the subcommittee will recommend that a bank register with the Secretary of State and that service of a claim must be made at the office of the registered agent. Banks located only within Texas are also interested in the option of designating an office for service of process. Staff of the Banking Department will meet with staff of the Secretary of State's office to coordinate any recommended changes in this area.