Eliminates regulatory approval for opening or relocating a branch for qualified institutions. Because the potential adverse impact on communities, regulatory oversight of the closing of branches is retained. Generally, the most favorable powers accorded trust companies, savings banks, savings and loan associations will be granted to all institutions. All new charters granted by the Bureau of Banking will be known as Universal Banks as opposed to trust companies, savings banks, and savings and loan association, though Universal Banks will be able to use traditional names. These changes are contained in Part of I of the legislation.
More detail follows below.
All institutions are granted the same broad powers. Broad authority for institutions to make, sell, purchase, participate in loans for any purpose. Any issuance of capital must have prior review by the Superintendent. Broad authority for institutions to establish types and terms of deposits. Uniform trust powers are created for all banks and consolidates trust and fiduciary activities into one chapter.