reglab/statecodes huggingface dataset:
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 21 - Reverse Mortgages. › § 53-258 - Authority and procedures governing reverse mortgage loans.

§ 53-258. Authority and procedures governing reverse mortgage loans.
(a) Except as provided in subsection (b1) of this section, no person, firm, or corporation shall engage in the business of making reverse mortgage loans without first being approved as an authorized reverse mortgage lender by the Commissioner. Mortgage lenders licensed under Article 19B of this Chapter must also be authorized under this Article before making reverse mortgage loans.
(b) An application for authorization to make reverse mortgage loans shall be in writing to the Commissioner and in the form prescribed by the Commissioner. The application shall contain the name and complete business address or addresses of the applicant. The application shall also include affirmation of financial solvency and all capitalization requirements that are required by the Commissioner. The application shall be accompanied by a nonrefundable fee, payable to the Commissioner, of five hundred dollars ($500.00).
(b1) Each of the following lenders shall be considered authorized to engage in the business of making reverse mortgage loans without being required to apply pursuant to subsection (b) of this section and may represent to the public that it is so authorized:
(1) The North Carolina Housing Finance Agency.
(2) A bank, savings institution, or credit union formed under the laws of this or any other state or of the United States.
(3) A wholly owned subsidiary of an entity described in subdivision (2) of this subsection.
Each lender listed in this subsection may, upon written request to the Commissioner, obtain written confirmation of its authority to engage in the business of making reverse mortgage loans. In the case of lenders listed in subdivisions (2) and (3) of this subsection, the request shall be accompanied by the fee set forth in subsection (d) of this section.
(c) Repealed by Session Laws 2004-171, s. 16, effective October 1, 2004, and applicable to acts occurring and transactions or agreements entered into on or after that date.
(d) The Commissioner shall, upon determination that an applicant should be authorized to make reverse mortgage loans, issue notice of this authority to the lender. The authority to issue reverse mortgage loans is valid for the period of time specified by the Commissioner. A lender to whom a notice of authority is issued shall display the notice prominently in any and all offices of the lender that make reverse mortgage loans. Authorizations issued under this section are nontransferable. Except for lenders described in subsection (b1) of this section, each lender to which an authorization is issued shall pay an annual renewal fee of two hundred fifty dollars ($250.00). (1991, c. 546, s. 1; 1995, c. 115, s. 1; 2004-171, s. 16; 2021-93, s. 11.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 21 - Reverse Mortgages. › § 53-259 - Application of rules.

§ 53-259. Application of rules.
In addition to the provisions of this Article, authorized lenders shall comply with rules adopted by the Commissioner that are reasonable and necessary to effectuate the purposes of this Article and to protect the public interest. Provided, however, that provisions in Chapters 24 or 45 of the General Statutes and the rules adopted under those Chapters that conflict with this Article shall not apply to reverse mortgage transactions governed by this Article. (1991, c. 546, s. 1; 1995, c. 115, s. 1.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 21 - Reverse Mortgages. › § 53-260 - Interest.

§ 53-260. Interest.
Notwithstanding any other provisions of law to the contrary, the parties to a reverse mortgage loan may contract for the payment of interest at a rate agreed to by the parties. Interest shall be deferred until the earliest occurrence of one or more events specified in the reverse mortgage loan contract. Payment of interest on deferred interest shall be as agreed upon by the parties to the contract. The parties may agree that the deferred interest may be added to the outstanding balance of the loan. The Commissioner may determine that the total annual percentage rate is excessive. If the Commissioner determines the total annual percentage rate to be excessive, that determination shall be included in the information provided to counselors under G.S. 53-264(a)(7), and to applicants for reverse mortgage loans under G.S. 53-264(b). (1991, c. 546, s. 1; 1995, c. 115, s. 1.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 21 - Reverse Mortgages. › § 53-261 - Taxes, insurance, and assessments.

§ 53-261. Taxes, insurance, and assessments.
A reverse mortgage loan contract may provide that it is the primary obligation of the borrower to pay all property taxes, insurance premiums, and assessments in a timely manner, and that the failure of the borrower to make these payments and to provide evidence of payment to the lender may constitute grounds for default of the loan. A reverse mortgage loan contract shall state that if a borrower fails to pay property taxes, insurance premiums, or assessments, the lender may choose, at the lender's option, to pay the amounts due, charge them to the reverse mortgage loan, and recalculate regularly scheduled payments under the loan to account for the increased outstanding loan balance. (1991, c. 546, s. 1; 1995, c. 115, s. 1.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 21 - Reverse Mortgages. › § 53-262 - Renegotiation of loan; calculation of outstanding balance; prepayment.

§ 53-262. Renegotiation of loan; calculation of outstanding balance; prepayment.
(a) If a reverse mortgage loan contract allows for a change in the payments or payment options, the lender may charge a reasonable fee when payments are recalculated.
(b) The outstanding loan balance shall be calculated by adding the current totals of items described in subdivisions (1) through (4) below, and subtracting the current totals of all reverse mortgage loan payments made by the borrower to the lender:
(1) The sum of all disbursements made by the lender to the borrower, or to another party on the borrower's behalf.
(2) All taxes, assessments, insurance premiums, and other similar charges paid to date by the lender under G.S. 53-261 and not reimbursed by the borrower within 60 days of the date payment was made by the lender.
(3) All actual closing costs the borrower has deferred, if a deferral provision is contained in the loan agreement.
(4) The total accrued interest to date.
(c) Prepayment of the reverse mortgage loan, in whole or part, shall be permitted without penalty at any time during the term of the loan. (1991, c. 546, s. 1; 1995, c. 115, s. 1.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 21 - Reverse Mortgages. › § 53-263 - Limits on borrowers' liability.

§ 53-263. Limits on borrowers' liability.
(a) When a reverse mortgage loan becomes due, if the borrower mortgaged one hundred percent (100%) of the full value of the house then the amount owed by the borrower shall not be greater than (i) the fair market value of the house, minus sale costs, or (ii) the outstanding balance of the loan, whichever amount is less.
(b) If the borrower mortgaged less than one hundred percent (100%) of the full value of the house, the amount owed by the borrower shall not be greater than (i) the outstanding balance of the loan, or (ii) the percentage of the fair market value, minus sale costs, as provided in the contract, whichever amount is less.
(c) The lender shall enforce the debt only through the sale of the property and shall not obtain a deficiency judgment against the borrower. (1991, c. 546, s. 1; 1995, c. 115, s. 1.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 21 - Reverse Mortgages. › § 53-264 - Disclosures of loan terms.

§ 53-264. Disclosures of loan terms.
(a) On forms prescribed by the Commissioner, all authorized lenders shall provide all of the following information to the Commissioner for dissemination to all counselors who provide counseling to prospective reverse mortgage borrowers:
(1) The borrower's rights, obligations, and remedies with respect to the borrower's temporary absence from the home, late payments by the lender, and payment default by the lender.
(2) Conditions or events that require the borrower to repay the loan obligation.
(3) The right of the borrower to mortgage less than the full value of the home, if permitted by the reverse mortgage loan contract.
(4) The projected total annual percentage rate applicable under various loan terms and appreciation rates and interest rates applicable at sample ages of borrowers.
(5) Standard closing costs.
(6) All service fees to be charged during the term of the loan.
(7) Other information required by the Commissioner.
(8) Information relating to contracts for shared appreciation or shared value, as required by G.S. 53-270.1.
(b) Within 10 business days after application is made by a borrower, but not less than 20 business days before closing of the loan, lenders shall provide applicants with the same information required in subsection (a) of this section, shall inform applicants that reverse mortgage counseling is required before the loan can be closed, and shall provide the names and addresses of counselors listed with the Commissioner's office. (1991, c. 546, s. 1; 1995, c. 115, s. 1; 1998-116, s. 4.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 21 - Reverse Mortgages. › § 53-265 - Information required of lender.

§ 53-265. Information required of lender.
(a) At the closing of the reverse mortgage loan, the lender shall provide to the borrower the name of the lender's employee or agent who has been designated specifically to respond to inquiries concerning reverse mortgage loans. This information shall be provided by the lender to the borrower at least annually, and whenever the information concerning the designated employee or agent changes.
(b) On an annual basis and when the loan becomes due, the lender shall issue to the borrower, without charge, a statement of account regarding the activity of the mortgage for the preceding calendar year, or for the period since the last statement of account was provided. The statement shall include all of the following information for the preceding year:
(1) The outstanding balance of the loan at the beginning of the statement period.
(2) Disbursements to the borrower.
(3) The total amount of interest added to the outstanding balance of the loan.
(4) Any property taxes, insurance premiums, or assessments paid by the lender.
(5) Payments made to the lender.
(6) The total mortgage balance owed to date.
(7) The remaining amount available to the borrower in reverse mortgage loans wherein proceeds have been reserved to be disbursed in one or more lump sum amounts. (1991, c. 546, s. 1; 1995, c. 115, s. 1.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 21 - Reverse Mortgages. › § 53-266 - Effects of lender's default.

§ 53-266. Effects of lender's default.
(a) A lender's failure to make loan advances to the borrower under the reverse mortgage loan contract shall be deemed the lender's default of the contract. Upon the lender's default, the lender shall forfeit any right to collect interest or service charges under the contract. The lender's right to recovery at loan maturity shall be limited to the outstanding balance as of the date of default, minus all interest. Lenders may also be subject to other default penalties established by the Commissioner.
(b) Subsection (a) of this section shall not apply if the lender has previously declared the borrower in default under G.S. 53-267, or if the lender makes the required loan advance within the time stated in the mortgage contract or within 30 days of receipt of notice from the borrower that the loan advance was not received. (1991, c. 546, s. 1; 1995, c. 115, s. 1.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 21 - Reverse Mortgages. › § 53-267 - Repayment upon borrower's default.

§ 53-267. Repayment upon borrower's default.
A reverse mortgage loan contract may provide for a borrower's default, thereby triggering early repayment of the loan, based only upon one or more of the following terms and conditions:
(1) The borrower fails to maintain the residence as required by the contract.
(2) The borrower sells or otherwise conveys title to the home to a third party.
(3) The borrower dies and the home is not the principal residence of the surviving borrower.
(4) The home is not the principal residence of at least one of the borrowers for a period of 12 consecutive months for reasons of physical or mental illness.
(5) For reasons other than physical or mental illness, the home ceases to be the principal residence of the borrower for a period of 180 consecutive days and is not the principal residence of another borrower under the loan, without prior written permission from the lender.
(6) The borrower fails to pay property taxes, insurance premiums, and assessments under G.S. 53-261. (1991, c. 546, s. 1; 1995, c. 115, s. 1.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 21 - Reverse Mortgages. › § 53-268 - Time for initiation of foreclosure.

§ 53-268. Time for initiation of foreclosure.
When a borrower's obligation to repay the reverse mortgage loan is triggered under G.S. 53-267, in addition to all rights conferred upon owners and borrowers under Chapter 45 of the General Statutes, the lender must give the borrower not less than 90 days' notice of its intent to initiate foreclosure proceedings. If the contract so provides, interest will continue to accrue during the 90-day period. (1991, c. 546, s. 1; 1995, c. 115, s. 1.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 21 - Reverse Mortgages. › § 53-269 - Counseling provisions.

§ 53-269. Counseling provisions.
(a) The North Carolina Housing Finance Agency shall adopt rules governing the training of counselors and necessary standards for counselor training and shall establish reasonable fees for training. The North Carolina Housing Finance Agency shall forward the names of all persons satisfying counselor training requirements to the Commissioner.
(b) The Commissioner shall maintain a list of counselors who have satisfied training requirements and shall periodically provide an up-to-date copy of the list to all authorized lenders.
(c) The Commissioner shall provide to all counselors who have satisfied training requirements information provided to the Commissioner by authorized lenders under G.S. 53-265. (1991, c. 546, s. 1; 1995, c. 115, s. 1.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 21 - Reverse Mortgages. › § 53-270 - Prohibited acts.

§ 53-270. Prohibited acts.
Reverse mortgage lenders are prohibited from engaging in any of the following acts in connection with the making, servicing, or collecting of a reverse mortgage loan:
(1) Misrepresenting material facts, making false promises, or engaging in a course of misrepresentation through agents or otherwise.
(2) Failing to disburse funds in accordance with the terms of the reverse mortgage loan contract or other written commitment.
(3) Improperly refusing to issue a satisfaction of a mortgage.
(4) Engaging in any action or practice that is unfair or deceptive, or that operates a fraud on any person.
(5) Contracting for or receiving shared appreciation or shared value, except as provided in G.S. 53-270.1.
(6) Closing a reverse mortgage loan without receiving certification from a person who is certified as a reverse mortgage counselor by the State that the borrower has received counseling on the advisability of a reverse mortgage loan and the various types of reverse mortgage loans and the availability of other financial options and resources for the borrower, as well as potential tax consequences.
(7) Failing to comply with this Article. (1991, c. 546, s. 1; 1995, c. 115, s. 1; 1998-116, s. 1.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 21 - Reverse Mortgages. › § 53-271 - Commissioner's authority to enforce; penalties.

§ 53-271. Commissioner's authority to enforce; penalties.
(a) The Commissioner shall adopt rules necessary to implement and enforce the provisions of this Article. Upon finding probable cause to believe that an authorized lender is in violation of this Article, or of any law or any rule or regulation of this State, the United States, or an agency of the State or the United States, the Commissioner shall, after affording reasonable notice and opportunity to be heard to the lender, order the lender to cease and desist from the violation.
(b) If a lender fails to comply with or appeal the Commissioner's cease and desist order, the lender shall be subject to a civil penalty of one thousand dollars ($1,000) for each violation that is the subject of the cease and desist order. The penalty imposed under this section shall be in addition to and not in lieu of penalties available under any other provision of law applicable to a reverse mortgage lender.
(c) Upon a finding that a reverse mortgage lender has violated this Article, the Commissioner may revoke, temporarily or permanently, the authority of the lender to make reverse mortgage loans.
(d) A person damaged by a lender's actions may file an action in civil court to recover actual and punitive damages. Attorneys' fees shall be awarded to a prevailing borrower. Nothing in this Article shall limit any statutory or common law right of a person to bring an action in court for any act, nor shall this Article limit the right of the State to punish a person for the violation of any law. (1991, c. 546, s. 1; 1995, c. 115, s. 1.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 21 - Reverse Mortgages. › § 53-272 - Appeals.

§ 53-272. Appeals.
The Banking Commission may review any rule, regulation, order, or act of the Commissioner done pursuant to or with respect to the provisions of this Article. Any person aggrieved by any such rule, regulation, order, or act may appeal, pursuant to G.S. 53C-2-6, to the Commission for review upon giving notice in writing within 20 days after such rule, regulation, order, or act complained of is adopted, issued, or done. Notwithstanding any other provision of law, any aggrieved party to a decision of the Banking Commission shall be entitled to petition for judicial review pursuant to G.S. 53C-2-6. (1991, c. 546, s. 1; 1995, c. 115, s. 1; c. 129, s. 42; 2009-57, s. 9; 2012-56, s. 27.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 22 - Check-Cashing Businesses. › § 53-275 - Definitions.

§ 53-275. Definitions.
As used in this Article, unless the context clearly requires otherwise, the term:
(1) "Cashing" means providing currency for payment instruments, but does not include the bona fide sale or exchange of travelers checks and foreign denomination payment instruments.
(2) "Check-cashing service" means any person or entity engaged in the business of cashing checks, drafts, or money orders for a fee, service charge, or other consideration.
(3) "Commission" means the State Banking Commission.
(4) "Commissioner" means the Commissioner of Banks.
(5) "Licensee" means a person or entity licensed to engage in a check-cashing business under this Article.
(6) "Person" means an individual, partnership, association, or corporation. (1997-391, s. 1.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 22 - Check-Cashing Businesses. › § 53-276 - License required.

§ 53-276. License required.
No person or other entity may engage in the business of cashing checks, drafts, or money orders for consideration without first obtaining a license under this Article. No person or other entity providing a check-cashing service may avoid the requirements of this Article by providing a check or other currency equivalent instead of currency when cashing payment instruments. (1997-391, s. 1.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 22 - Check-Cashing Businesses. › § 53-277 - Exemptions.

§ 53-277. Exemptions.
(a) This Article does not apply to any of the following:
(1) A bank, savings institution, credit union, or farm credit system organized under the laws of the United States or any state.
(2) Any person or entity principally engaged in the bona fide retail sale of goods or services that, either as an incident to or independently of a retail sale or service and not holding itself out to be a check-cashing service, from time to time cashes checks, drafts, or money orders for a fee or other consideration and charges no more than two dollars ($2.00) for the service.
(b) A person licensed under Article 16B of this Chapter (Money Transmitters Act) is exempt from G.S. 53-276, 53-278, 53-279, and 53-284, but is deemed a licensee for purposes of the remaining provisions of this Article. This exemption does not apply to an authorized delegate of a person licensed under Article 16B of this Chapter. (1997-391, s. 1; 2001-443, s. 4; 2021-93, s. 12.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 22 - Check-Cashing Businesses. › § 53-278 - Application for license; investigation; application fee.

§ 53-278. Application for license; investigation; application fee.
(a) An application for licensure under this Article shall be in writing, under oath, and on a form prescribed by the Commissioner. The application shall set forth all of the following:
(1) The name and address of the applicant.
(2) If the applicant is a firm or partnership, the name and address of each member of the firm or partnership.
(3) If the applicant is a corporation, the name and address of each officer, director, registered agent, and principal.
(4) The addresses of the locations of the business to be licensed.
(5) Other information concerning the financial responsibility, background experience, and activities of the applicant and its members, officers, directors, and principals as the Commissioner requires.
(b) The Commissioner may make such investigations as the Commissioner deems necessary to determine if the applicant has complied with all applicable provisions of this Article and State and federal law.
(c) The application shall be accompanied by payment of a two hundred fifty dollar ($250.00) application fee and a five hundred dollar ($500.00) investigation fee. These fees are not refundable or abatable, but, if the license is granted, payment of the application fee shall satisfy the fee requirement for the first license year or remaining part thereof.
(d) Licenses shall expire annually and may be renewed upon payment of a license fee of two hundred fifty dollars ($250.00) plus a fifty dollar ($50.00) fee for each branch location certificate issued under a license. (1997-391, s. 1.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 22 - Check-Cashing Businesses. › § 53-279 - Liquid assets required; other qualifications; denial of license; hearing.

§ 53-279. Liquid assets required; other qualifications; denial of license; hearing.
(a) Every licensee and applicant shall have and maintain liquid assets of at least fifty thousand dollars ($50,000) per licensee.
(b) Upon the filing and investigation of an application, and compliance by the applicant with G.S. 53-278, and this section, the Commissioner shall issue and deliver to the applicant the license applied for to engage in business under this Article at the locations specified in the application, provided that the Commissioner finds that the financial responsibility, character, reputation, experience, and general fitness of the applicant and its members, officers, directors, and principals are such as to warrant belief that the business will be operated efficiently and fairly, in the public interest, and in accordance with law. If the Commissioner fails to make such findings, no license shall be issued, and the Commissioner shall notify the applicant of the denial and the reasons therefor. The applicant shall be entitled to an informal hearing on the denial provided the applicant requests the hearing in writing within 30 days after the Commissioner has mailed the notice required under this subsection to the applicant. In the event of a hearing, which shall be held in the offices of the Commissioner of Banks in Raleigh, the Commissioner shall reconsider the application and, after hearing, issue a written order granting or denying the application. (1997-391, s. 1.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 22 - Check-Cashing Businesses. › § 53-280 - Maximum fees for service; fees posted; endorsement of checks cashed.

§ 53-280. Maximum fees for service; fees posted; endorsement of checks cashed.
(a) Notwithstanding any other provision of law, no check-cashing business licensed under this Article shall directly or indirectly charge or collect fees or other consideration for check-cashing services in excess of the following:
(1) Three percent (3%) of the face amount of the check or five dollars ($5.00), whichever is greater, for checks issued by the federal government, State government, or any agency of the State or federal government, or any county or municipality of this State.
(2) Ten percent (10%) of the face amount of the check or five dollars ($5.00), whichever is greater, for personal checks.
(3) Five percent (5%) of the face amount of the check or five dollars ($5.00), whichever is greater, for all other checks, or for money orders.
(b) A licensee may not advance monies on the security of any check unless the account from which the check being presented is drawn is legitimate, open, and active. Except as provided by G.S. 53-281(a), any licensee who cashes a check for a fee shall deposit the check not later than three business days from the date the check is cashed.
(c) A licensee shall ensure that in every location conducting business under a license issued under this Article, there is conspicuously posted and at all times displayed a notice stating the fees charged for cashing checks, drafts, and money orders. A licensee shall further ensure that notice of the fees currently charged at every location shall be filed with the Commissioner.
(d) A licensee shall endorse every check, draft, or money order presented by the licensee for payment in the name of the licensee. (1997-391, s. 1.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 22 - Check-Cashing Businesses. › § 53-282 - Record keeping; receipt requirements.

§ 53-282. Record keeping; receipt requirements.
(a) Every person required to be licensed under this Article shall maintain in its offices such books, accounts, and records as the Commissioner may reasonably require. The books, accounts, and records shall be maintained separate from any other business in which the person is engaged, and shall be retained for a period prescribed by the Commissioner. A person required to be licensed under this Article that derives less than twenty percent (20%) of the person's annual gross revenues from check cashing shall not be required to maintain separate accounts and records.
(b) The licensee shall ensure that each customer cashing a check shall be provided a receipt showing the name or trade name of the licensee, the transaction date, amount of the check, and the fee charged.
(c) The Commissioner may examine the books, accounts, and records in order to determine whether the person is complying with this Article and rules adopted pursuant thereto. The cost of the examination shall be paid by the licensee and shall be determined by applying the hourly rate for special examinations adopted by the State Banking Commission by regulation. (1997-391, s. 1; 2011-325, s. 10.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 22 - Check-Cashing Businesses. › § 53-283 - Prohibited practices.

§ 53-283. Prohibited practices.
No person required to be licensed under this Article shall do any of the following:
(1) Charge fees in excess of those authorized under this Article.
(2) Engage in the business of making loans of money, or extensions of credit, or discounting notes, bills of exchange, items, or other evidences of debt; or accepting deposits or bailments of money or items, except as expressly provided by G.S. 53-281.
(3) Use or cause to be published or disseminated any advertising communication which contains any false, misleading, or deceptive statement or representation.
(4) Conduct business at premises or locations other than locations licensed by the Commissioner.
(5) Engage in unfair, deceptive, or fraudulent practices.
(6) Cash a check, draft, or money order made payable to a payee other than a natural person unless the licensee has previously obtained appropriate documentation from the executive entity of the payee clearly indicating the authority of the natural person or persons cashing the check, draft, or money order on behalf of the payee. (1997-391, s. 1.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 22 - Check-Cashing Businesses. › § 53-284 - Suspension and revocation of license; grounds; procedure.

§ 53-284. Suspension and revocation of license; grounds; procedure.
(a) The Commissioner may suspend or revoke any license or licenses issued pursuant to this Article if, after notice and opportunity for hearing, the Commissioner issues written findings that the licensee has engaged in any of the following conduct:
(1) Violated this Article or applicable State or federal law or rules.
(2) Made a false statement on the application for a license under this Article.
(3) Refused to permit investigation by the Commissioner authorized under this Article.
(4) Failed to comply with an order of the Commissioner.
(5) Demonstrated incompetency or untrustworthiness to engage in the business of check cashing.
(6) Been convicted of a felony or misdemeanor involving fraud, misrepresentation, or deceit.
(b) The Commissioner may not suspend or revoke any license issued under this Article unless the licensee has been given notice and opportunity for hearing in accordance with Article 3A of Chapter 150B of the General Statutes. (1997-391, s. 1.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 22 - Check-Cashing Businesses. › § 53-285 - Cease and desist orders.

§ 53-285. Cease and desist orders.
If the Commissioner determines that a person required to be licensed under this Article has violated this Article or rules adopted pursuant to it, then the Commissioner may, upon notice and opportunity for hearing in accordance with Article 3A of Chapter 150B of the General Statutes, order the person to cease and desist from the violations and to comply with this Article. The Commissioner may enforce compliance with an order issued pursuant to this section by the imposition and collection of civil penalties authorized under this Article. (1997-391, s. 1.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 22 - Check-Cashing Businesses. › § 53-286 - Civil penalties and restitution.

§ 53-286. Civil penalties and restitution.
The Commissioner may order and impose civil penalties upon any person required to be licensed under this Article for violations of this Article or rules adopted thereunder. Civil penalties shall not exceed one thousand dollars ($1,000) per violation. All civil money penalties collected under this Article shall be paid to the county school fund. The Commissioner may also order repayment of unlawful or excessive fees charged to customers. (1997-391, s. 1.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 22 - Check-Cashing Businesses. › § 53-287 - Criminal penalties.

§ 53-287. Criminal penalties.
A violation of G.S. 53-276 by a person required to obtain a license under this Article is a Class I felony. Each transaction involving the unlawful cashing of a check, draft, or money order constitutes a separate offense. (1997-391, s. 1.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 22 - Check-Cashing Businesses. › § 53-288 - Commissioner to adopt rules.

§ 53-288. Commissioner to adopt rules.
The Commissioner may adopt rules necessary to carry out the purposes of this Article, to provide for the protection of the public, and to assist licensees in interpreting and complying with this Article. (1997-391, s. 1.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 22 - Check-Cashing Businesses. › § 53-289 - Commission may review rules, orders, or acts by Commissioner.

§ 53-289. Commission may review rules, orders, or acts by Commissioner.
The Commission may review any rule, regulation, order, or act of the Commissioner done pursuant to or with respect to the provisions of this Article. Any person aggrieved by any such rule, regulation, order, or act may appeal, pursuant to G.S. 53C-2-6, to the Commission for review upon giving notice in writing within 20 days after such rule, regulation, order, or act complained of is adopted, issued, or done. Notwithstanding any other provision of law, any aggrieved party to a decision of the Banking Commission shall be entitled to petition for judicial review pursuant to G.S. 53C-2-6. (1997-391, s. 1; 2009-57, s. 10; 2012-56, s. 28.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 23 - Continuity of Contract Under European Monetary Union. › § 53-295 - Definitions.

§ 53-295. Definitions.
The following definitions shall apply in this Article:
(1) Euro. – The currency of participating member states of the European Union that adopt a single currency in accordance with the Treaty on European Union dated February 7, 1992.
(2) European Currency Unit (ECU). – The currency as defined in the European Council regulation number 3320/94.
(3) Introduction of the Euro. – The implementation of economic and monetary union of member states of the European Union in accordance with the Treaty on European Union dated February 7, 1992. (1999-312, s. 1.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 23 - Continuity of Contract Under European Monetary Union. › § 53-296 - Continuity of contract.

§ 53-296. Continuity of contract.
(a) If a subject of medium of payment of a contract, security, or instrument is a currency that has been substituted or replaced by the euro, the euro shall be a commercially reasonable substitute and substantial equivalent that may either be used in determining the value of that currency, or tendered at the conversion rate specified in and otherwise calculated in accordance with the regulations adopted by the Council of the European Union.
(b) If a subject or medium of payment of a contract, security, or instrument is the ECU, the euro will be a commercially reasonable substitute and substantial equivalent that may be either used in determining the value of that currency, or tendered at the conversion rate specified in and otherwise calculated in accordance with the regulations adopted by the Council of the European Union.
(c) Performance of any of the obligations described in subsection (a) or (b) may be made in the currencies originally designated in the contract, security, or instrument, so long as the currencies remain legal tender, or in euro, but not in any other currency, whether or not the currency has been substituted or replaced by the euro, or is a currency that is considered a denomination of the euro and has a fixed conversion rate with respect to the euro. (1999-312, s. 1.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 23 - Continuity of Contract Under European Monetary Union. › § 53-297 - Effect of currency substitution on performance.

§ 53-297. Effect of currency substitution on performance.
None of the following shall have the effect of discharging or excusing performance under any contract, security, or instrument, or give a party the right unilaterally to alter or terminate any contract, security, or instrument:
(1) Introduction of the euro.
(2) Tender of euros in connection with any obligation in compliance with G.S. 53-296.
(3) Determination of the value of any obligation in compliance with G.S. 53-296.
(4) Calculation or determination of the subject or medium of payment of a contract, security, or instrument with reference to an interest rate or other basis that has been substituted or replaced due to the introduction of the euro and that is a commercially reasonable substitute and substantial equivalent. (1999-312, s. 1.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 23 - Continuity of Contract Under European Monetary Union. › § 53-298 - References to ECU in contracts.

§ 53-298. References to ECU in contracts.
(a) References to the ECU in a contract, security, or other instrument that also refers in substance to the definition of the ECU as set forth in G.S. 53-295 shall be replaced by references to the euro at a rate of one euro to one ECU.
(b) References to the ECU in a contract, security, or instrument without a definition as set forth in G.S. 53-295 shall be presumed, rebuttable by proof of the contrary intention of the parties, to be references to the currency basket that is from time to time used as the unit of account of the European community. (1999-312, s. 1.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 23 - Continuity of Contract Under European Monetary Union. › § 53-300 - No application to other currency alteration.

§ 53-300. No application to other currency alteration.
In circumstances of currency alteration other than the introduction of the euro, this Article shall not be interpreted as creating any negative inference or negative presumption regarding the validity or enforceability of contracts, securities, or instruments denominated in whole or in part in a currency affected by that alteration. (1999-312, s. 1.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 24 - Trust Companies and Interstate Trust Business. › § 53-302 - Title and purposes.

§ 53-302. Title and purposes.
(a) This Part may be cited as the Multistate Trust Institutions Act.
(b) It is the express intent of this Part to permit trust institutions to engage in trust business on a multistate and international basis subject to the provisions of this Part. (2001-263, s. 1.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 24 - Trust Companies and Interstate Trust Business. › § 53-303 - Companies authorized to engage in trust business.

§ 53-303. Companies authorized to engage in trust business.
(a) No company shall engage in trust business in this State except:
(1) A State trust company;
(2) A State bank;
(3) A State savings association;
(4) A national bank having its principal office in this State;
(5) A federally chartered savings association having its principal office in this State;
(6) An out-of-state trust institution in accordance with and subject to the provisions of Subpart D of this Part;
(7) A foreign trust institution in accordance with and subject to the provisions of Subpart E of this Part; or
(8) A company otherwise authorized to engage in trust business or to act in a particular capacity described in G.S. 53-331(b)(2) under the laws of this State or of the United States.
(b) No company shall engage in unauthorized trust activity, and all companies shall engage in trust business in accordance with and subject to all applicable laws of this State. (2001-263, s. 1.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 24 - Trust Companies and Interstate Trust Business. › § 53-304 - Activities not requiring a charter, license, or approval.

§ 53-304. Activities not requiring a charter, license, or approval.
Notwithstanding any other provision of this Article, a company does not act as a fiduciary; engage in trust business or in any other business requiring a charter, license, or approval under the provisions of this Chapter; or engage in unauthorized trust activity by:
(1) Acting in a manner authorized by law as an agent of a trust institution with respect to any activity that is not unauthorized trust activity;
(2) Rendering legal services in a manner authorized by the North Carolina State Bar;
(3) Acting as trustee under a deed of trust delivered only as security for the payment of money or for the performance of another act;
(4) Receiving and distributing rents and proceeds of sales of real property in a manner authorized by the North Carolina Real Estate Commission;
(5) Engaging in securities transactions or providing investment advisory services in accordance with applicable securities laws;
(6) Engaging in the issuance, sale, or administration of an insurance or annuity product in a manner authorized by the North Carolina Department of Insurance;
(7) Engaging in the lawful sale of prepaid funeral benefits in accordance with and subject to Article 13D of Chapter 90 of the General Statutes or engaging in the lawful business of a perpetual care cemetery corporation in accordance with and subject to Chapter 65 of the General Statutes;
(8) Acting as trustee under a voting trust;
(9) Acting as fiduciary by an organization described in paragraphs (1) through (5) of section 170(c) or section 501(c) of the Internal Revenue Code of 1986, as amended, with respect to endowment funds or other funds owned, controlled, provided to, or otherwise made available to the organization with respect to its exempt purposes (including, without limitation, trust funds in which the organization has a beneficial interest).
(10) Engaging in other activities expressly excluded from the application of this Article by rule, order, or declaratory ruling of the Commissioner;
(11) Rendering services as a certified public accountant in a manner authorized by the North Carolina State Board of Certified Public Accountant Examiners;
(12) Provided the company is a trust institution and is not barred by order of the Commissioner from engaging in trust marketing in this State pursuant to G.S. 53-321(b), (i) marketing or soliciting in this State with respect to acting as a fiduciary outside this State; (ii) delivering money or other intangible assets to, and receiving money or other intangible assets for administration outside this State from, a person in this State; or (iii) accepting an account outside this State or otherwise engaging in trust business outside this State; or
(13) Receiving, holding, administering, or distributing real or personal property for or on behalf of another person solely incidental to a lawfully conducted activity or transaction. (2001-263, s. 1.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 24 - Trust Companies and Interstate Trust Business. › § 53-305 - Trust business of State trust institution.

§ 53-305. Trust business of State trust institution.
A State trust institution may conduct any activities outside this State that are permissible for a trust institution in the host state, subject to the laws of this State and, in the case of a State bank or a State trust company, subject to rules, orders, or declaratory rulings of the Commissioner. (2001-263, s. 1.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 24 - Trust Companies and Interstate Trust Business. › § 53-306 - Trust business of out-of-state trust institution.

§ 53-306. Trust business of out-of-state trust institution.
An out-of-state trust institution that establishes or acquires and maintains one or more trust offices or representative trust offices in this State under the provisions of this Part or that maintains one or more branches in this State may, subject to the provisions of this Part, conduct any activity through such a trust office, representative trust office, or branch that a State trust company or a State bank is authorized to conduct through a trust office, representative trust office, or branch under the laws of this State. (2001-263, s. 1; 2005-269, s. 4.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 24 - Trust Companies and Interstate Trust Business. › § 53-307 - Trust business of foreign trust institution.

§ 53-307. Trust business of foreign trust institution.
A foreign trust institution that establishes or acquires and maintains one or more trust offices in this State under the provisions of this Part may, subject to the provisions of this Part, also establish or acquire one or more representative trust offices and conduct any activity through the trust offices or representative trust offices that a State trust company is authorized to conduct through trust offices or representative trust offices under the laws of this State. (2001-263, s. 1; 2005-269, s. 5.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 24 - Trust Companies and Interstate Trust Business. › § 53-308 - Name of trust institution.

§ 53-308. Name of trust institution.
Subject to other provisions of applicable law, a person may register or reserve any name with the Secretary of State in connection with engaging or proposing to engage in trust business or trust marketing in this State, except that the Commissioner may determine that a name registered or reserved is potentially misleading to the public and require the use of a name that is not potentially misleading. (2001-263, s. 1.)
2023 North Carolina General Statutes › Chapter 53 - Regulation of Financial Services › Article 24 - Trust Companies and Interstate Trust Business. › § 53-309 - Trust deposits of authorized trust institutions.

§ 53-309. Trust deposits of authorized trust institutions.
(a) Subsection (b) of G.S. 36A-63 shall not apply to an authorized trust institution.
(b) In the absence of a contrary provision in an instrument governing an account, an authorized trust institution may deposit client funds with itself to satisfy its duties under G.S. 36A-63(a) provided:
(1) It maintains, as collateral for the deposits, a separate fund of readily marketable commercial bonds having not less than a recognized "A" rating equal to one hundred and twenty-five percent (125%) of the funds so deposited;
(2) The separate fund is designated as such; and
(3) The separate fund either is maintained under the control of another trust institution, a bank, or a government agency, or is held by the authorized trust institution for the benefit of the accounts with deposits secured by the separate fund; provided, that the Commissioner may require such a separate fund of an authorized trust institution that is insolvent, in a hazardous condition, or jeopardized, to be held by a separate trust institution or bank approved by the Commissioner.
(c) An authorized trust institution may make periodic withdrawals from or additions to the separate fund required by subsection (b) of this section as long as the required value is maintained. Income from the separate fund belongs to the authorized trust institution.
(d) Collateral is not required for a deposit under subsection (b) of this section to the extent the deposit is insured by the Federal Deposit Insurance Corporation. (2001-263, s. 1.)