reglab/statecodes huggingface dataset:
Compilation of Rules and Regulations of the State of Georgia › Department 80 - RULES OF DEPARTMENT OF BANKING AND FINANCE › Chapter 80-2 - CREDIT UNIONS › Subject 80-2-4 - INVESTMENT OF CREDIT UNION FUNDS › Rule 80-2-4-.09 - Relocation or Simultaneous Redesignation of Two or More Credit Union Locations

Current through Rules and Regulations filed through June 27, 2024
(1) Definitions:
(a) Relocation. The location of an existing branch location is to be moved to a new or additional location which is to be constructed, purchased or leased within the same immediate vicinity of the existing branch.
(b) Redesignation. Where two existing credit union locations exchange their designations, a redesignation occurs. Under a redesignation, a branch office becomes the main office and the main office, if it is not closed, becomes a branch office.
Compilation of Rules and Regulations of the State of Georgia › Department 80 - RULES OF DEPARTMENT OF BANKING AND FINANCE › Chapter 80-2 - CREDIT UNIONS › Subject 80-2-5 - SURETY BOND COVERAGE › Rule 80-2-5-.01 - Minimum Requirements for Fidelity Bond Coverage

Current through Rules and Regulations filed through June 27, 2024
(1) The Board of Directors of each credit union shall review the bond coverage annually in order to ascertain its adequacy in relation to the exposure and to any minimum requirements that may be fixed from time to time by the Commissioner.
(2) All fidelity bonds must provide for faithful-performance-of-duty coverage for any officer or employee while performing any of the duties of the treasurer as prescribed in the credit union's bylaws, applicable statutes, and rules and regulations of the Department.
(3) It shall be the duty of the Board of Directors of the credit union to provide adequate fidelity bond coverage.
(4) The Commissioner may require additional coverage for any credit union when, in his opinion, the fidelity bonds in force are insufficient to provide adequate fidelity coverage, and it shall be the duty of the Board of Directors of the credit union to obtain such additional coverage within thirty (30) days after the date of written notice from the Commissioner of the requirement to obtain such additional coverage.
O.C.G.A. Secs. 7-1-61, 7-1-663.
Compilation of Rules and Regulations of the State of Georgia › Department 80 - RULES OF DEPARTMENT OF BANKING AND FINANCE › Chapter 80-2 - CREDIT UNIONS › Subject 80-2-6 - SUPERVISORY AUDITS › Rule 80-2-6-.01 - Audits

Current through Rules and Regulations filed through June 27, 2024
(1) Every Audit Committee shall have an annual audit of the credit union performed, which must be comprehensive in scope covering the period elapsed since the last annual audit, and submit a summary of the audit results at the next annual meeting of the members of the credit union.
(2) The annual audit must be performed by a licensed independent accountant or firm of accountants. However, if the credit union has assets of less than $15 million, the Audit Committee may elect to have the annual audit conducted by the internal auditors of any sponsoring group, concern, or association of credit unions approved by the Department in writing.
(3)
(a) Audit reports in which a licensed independent accountant expresses an unqualified opinion shall be provided to the Department upon request. All other audit reports in which a licensed independent accountant expresses anything other than an unqualified opinion, including, but not limited to, a qualified opinion, an adverse opinion, or a disclaimer of opinion, shall be provided to the Department within fifteen (15) days following receipt by the financial institution. All audit reports generated by anyone besides a licensed independent accountant in accordance with Paragraph 2 of this rule, shall be provided to the Department within fifteen (15) days following receipt by the financial institution. Audit reports submitted to the Department shall be accompanied by the Letter to Management, if applicable, detailing any reportable conditions discovered during the audit engagement.
(b) Failure to obtain the required audit, or the auditor's report thereof, shall be reported to the Department within fifteen (15) days of discovery.
(c) The engagement letter should clearly define the extent of the audit work including, the scope of the audit, the objectives, the resource requirements, the audit timeframes, and the resulting reports, as well as detail the methods utilized by the auditor to handle and protect member information. The credit union shall provide the Department with a copy of the engagement letter at the same time the audit report is provided to the Department.
(d) The auditor shall also provide the Department with a copy of the audit as well as the engagement letter at the request of the Department.
Compilation of Rules and Regulations of the State of Georgia › Department 80 - RULES OF DEPARTMENT OF BANKING AND FINANCE › Chapter 80-2 - CREDIT UNIONS › Subject 80-2-6 - SUPERVISORY AUDITS › Rule 80-2-6-.03 - Applicable Auditing Standards

Current through Rules and Regulations filed through June 27, 2024
An audit of a credit union by an independent accountant or firm of such accountants or the internal auditors of any sponsoring group, concern, or association of credit unions shall be made in accordance with generally accepted auditing standards as set forth in pronouncements of the American Institute of Certified Public Accountants.
Ga. L. 1974, pp. 705, 733, 904; 1981, pp. 1245, 1250.
Compilation of Rules and Regulations of the State of Georgia › Department 80 - RULES OF DEPARTMENT OF BANKING AND FINANCE › Chapter 80-2 - CREDIT UNIONS › Subject 80-2-6 - SUPERVISORY AUDITS › Rule 80-2-6-.04 - Scope of Audit

Current through Rules and Regulations filed through June 27, 2024
(1) The auditor should be generally familiar with the statutes, rules, and regulations under which the credit union being audited operates, and with its charter and bylaw provisions. The annual audit should incorporate the necessary procedures to satisfy the auditor that there is compliance with the applicable requirements that might materially affect the credit union's financial position of operation.
(2) Such annual audit shall include a review of the credit union's internal controls and such other tests and reviews of the credit union's records as deemed appropriate by the auditor, including, but not limited to, verifications of the credit union's loan and deposit accounts as well as adequate testing and review of the credit union's information technology activities.
(3) Specific Requirements for the annual audit:
(a) The audit must state the method and degree of direct verification of loan and share accounts and analyze the results by schedule. The audit should indicate whether positive or negative account confirmations were used, number of confirmations mailed, number of replies received, number of undeliverable confirmations, analysis of discrepancies disclosed, and degree of follow-up confirmation for non-replies and undeliverable confirmations;
(b) The audit includes a verification of a timely and accurate cash reconciliation and an affirmative verification of investments and deposits made by the audited credit union as well as the adequacy of the internal controls over these processes;
(c) Verification of the status of funds borrowed by the audited credit union, including promissory notes and certificates;
(d) The audit must confirm that internal routines and controls were evaluated and no exceptions were found or that certain listed exceptions were noted; and
(e) The audit must set forth in sufficient detail the general scope of the audit performed.
Compilation of Rules and Regulations of the State of Georgia › Department 80 - RULES OF DEPARTMENT OF BANKING AND FINANCE › Chapter 80-2 - CREDIT UNIONS › Subject 80-2-6 - SUPERVISORY AUDITS › Rule 80-2-6-.05 - Internal Audit Program

Current through Rules and Regulations filed through June 27, 2024
(1) An institution shall have an internal audit program that is appropriate to the size of the institution and the nature and scope of its activities. An appropriate internal audit program consists of qualified persons and provides for effective:
(a) Monitoring and reporting on the system of internal controls;
(b) Testing and review of controls over information systems;
(c) Documenting of testing activities, findings, and corrective actions;
(d) Verifying and reviewing of management actions to address material weaknesses; and
(e) Engagement and oversight by the institution's Board of Directors.
Compilation of Rules and Regulations of the State of Georgia › Department 80 - RULES OF DEPARTMENT OF BANKING AND FINANCE › Chapter 80-2 - CREDIT UNIONS › Subject 80-2-7 - CREDIT UNION SERVICE CONTRACTS › Rule 80-2-7-.01 - General Provisions and Definitions

Current through Rules and Regulations filed through June 27, 2024
(1) A state credit union may contract with another financial institution or a third party service provider to provide certain services in a principal-agent relationship, provided both parties comply with the applicable rules and regulations of the Department.
(2) Agency relationships shall comport with safety and soundness principles to protect the financial integrity of the credit union and the accounts of its members.
(3) Definitions:
(a) "Credit Union Service Contract" shall mean a contract executed by a credit union and a third party service provider to provide financial services, whether direct or indirect, to the credit union.
(b) "Third party service provider" shall mean any provider of financial services to a credit union as authorized by O.C.G.A. §
										7-1-72.
Compilation of Rules and Regulations of the State of Georgia › Department 80 - RULES OF DEPARTMENT OF BANKING AND FINANCE › Chapter 80-2 - CREDIT UNIONS › Subject 80-2-7 - CREDIT UNION SERVICE CONTRACTS › Rule 80-2-7-.02 - Credit Union Service Contracts

Current through Rules and Regulations filed through June 27, 2024
(1) If a state-chartered credit union is required to disclose a credit union service contract to the National Credit Union Administration, a duplicate of such disclosure will simultaneously be submitted to the Department.
(2) A state-chartered credit union entering into a credit union service contract with a third party service provider must maintain the following information on file at the credit union and shall not execute a contract with a third party service provider unless this information has been obtained:
(a) A copy of the contract under which the services are provided;
(b) A schedule of fees to be charged for each type of service to be performed;
(c) Written assurance from the third party service provider that:
1. The records of the credit union for which the services are to be performed will be subject to examination and regulation by the department as if the records were maintained by the credit union on its own premises;
2. The records of the credit union in the service provider's possession shall be available to examiners promptly upon receipt of notice;
3. The department shall have the authority to periodically review the internal routine and controls of the service provider to ascertain that the operations are being conducted in a sound manner in keeping with generally accepted credit union procedures and industry standards;
(d) A listing of all reports and printouts which the third party service provider is offering the credit union and the time required, after receipt of notice of examination, to provide those reports in readable form to the examiners; and
(e) Evidence of financial stability to include a copy of the third party service provider's most recent audit and financial statement, both of which should be aged no more than 18 months. This is a continuous requirement.
Compilation of Rules and Regulations of the State of Georgia › Department 80 - RULES OF DEPARTMENT OF BANKING AND FINANCE › Chapter 80-2 - CREDIT UNIONS › Subject 80-2-7 - CREDIT UNION SERVICE CONTRACTS › Rule 80-2-7-.03 - Credit Union Service Contracts: Requirements of Third Party Service Providers

Current through Rules and Regulations filed through June 27, 2024
(1) Each third party service provider that enters into a credit union service contract with a state-chartered credit union shall be subject to examination and regulation by the department as if the entity were a state financial institution, as authorized by O.C.G.A. §
									7-1-72.
(2) In the event that a third party service provider has been examined by a federal agency that is a member of the Federal Financial Institutions Examination Council ("FFIEC"), or any successor entity, in the previous twenty-four (24) months and the department is provided a copy of the examination, the department shall accept the results of such examination in lieu of conducting its own examination. However, nothing contained herein, shall be construed as limiting or otherwise restricting the department from participating in such examination.
O.C.G.A. §§
											7-1-61, 7-1-663.
Compilation of Rules and Regulations of the State of Georgia › Department 80 - RULES OF DEPARTMENT OF BANKING AND FINANCE › Chapter 80-2 - CREDIT UNIONS › Subject 80-2-7 - CREDIT UNION SERVICE CONTRACTS › Rule 80-2-7-.04 - Debt Cancellation Contracts and Debt Suspension Agreements

Current through Rules and Regulations filed through June 27, 2024
(1) State chartered credit unions may offer Debt Cancellation Contracts and Debt Suspension Agreements to members, subject to this rule and policies and procedures of the Department. Policies of the Department include requirements for disclosures and certain prohibited practices. Credit unions are expected to comply with all these requirements. Such products will not be considered insurance products in this state when offered by credit unions.
(2) Definitions and Explanation:
(a) A "Debt Cancellation Contract" (DCC) is a contractual agreement modifying loan terms that is linked to a credit union's extension of credit, under which the credit union agrees to cancel all or part of a member's obligation to repay an extension of credit from that credit union upon the occurrence of a specified event.
(b) A "Debt Suspension Agreement" (DSA) is a contractual agreement that modifies loan terms and that is linked to an extension of credit, wherein the credit union agrees to suspend all or part of a member's obligation to repay an extension of credit upon the occurrence of some specified event.
(c) Typically, these products are tied to the life, injury or disability of the borrower, although some products are based on the occurrence of some other specified event, such as termination of employment.
(d) Fees are assessed to the borrower for the ability to cancel or suspend loan payments on the loan, in accordance with the terms of the agreement.
(e) To "underwrite" in the context of this rule means to directly provide for any losses resulting from the operation of the product.
Compilation of Rules and Regulations of the State of Georgia › Department 80 - RULES OF DEPARTMENT OF BANKING AND FINANCE › Chapter 80-2 - CREDIT UNIONS › Subject 80-2-8 - FIELD OF MEMBERSHIP › Rule 80-2-8-.01 - Definitions

Current through Rules and Regulations filed through June 27, 2024
(1) The field of membership of a state-chartered credit union shall consist of those persons, groups of persons, or organizations, each bound together by its own "common bond," i.e., a specific relationship of occupation, association or interest; residence or employment within a well-defined neighborhood, community, or rural district; employment; or membership in a bona fide cooperative, educational, fraternal, professional, religious, rural or similar organization. The common bond shall be such as would tend to create a mutual interest between persons sharing the relationship and must exist outside of the credit union itself. A common bond within a field of membership shall include persons related by blood, adoption, or marriage to or living in the same household with a person having the common bond as well as persons and surviving spouses of persons who are no longer within the common bond but who were members of the credit union in good standing when they left.
(2) Organizations, where more than 50% of the organization consists of employees, members, or owners within a non-geographic common bond shall be eligible for membership in the credit union under the same conditions as such employees, members or owners. Organizations that are headquartered within a geographic common bond shall be eligible for membership in the credit union under the same conditions as natural persons located within the field of membership.
O.C.G.A. §§
											7-1-61, 7-1-651, 7-1-663.
Compilation of Rules and Regulations of the State of Georgia › Department 80 - RULES OF DEPARTMENT OF BANKING AND FINANCE › Chapter 80-2 - CREDIT UNIONS › Subject 80-2-8 - FIELD OF MEMBERSHIP › Rule 80-2-8-.02 - Expedited Applications for Non-Geographic Group Common Bonds

Current through Rules and Regulations filed through June 27, 2024
(1) Requests for approval of non-geographic common bonds can be submitted to the Department via an expedited application form so long as the following conditions are satisfied:
(a) The credit union must have received a CAMELS composite rating of "1" or "2" as a result of the most recent state or federal examination;
(b) The credit union must not be subject to any agreements, orders, or other enforcement or administrative agreements with the Department or the NCUA;
(c) The requested field of membership addition consists of 5,000 potential members or less;
(d) The requested field of membership is not a geographic common bond;
(e) The requested field of membership is located entirely within the State of Georgia; and
(f) The requested field of membership satisfies all of the requirements in this rule and Rule  80-2-8-.03.
Compilation of Rules and Regulations of the State of Georgia › Department 80 - RULES OF DEPARTMENT OF BANKING AND FINANCE › Chapter 80-2 - CREDIT UNIONS › Subject 80-2-8 - FIELD OF MEMBERSHIP › Rule 80-2-8-.03 - Requirements for Adding Additional Common Bond Groups to a Credit Union's Field of Membership

Current through Rules and Regulations filed through June 27, 2024
(1) A field of membership may consist of more than one common bond. Pursuant to O.C.G.A. §
									7-1-634, application to the Department is required prior to a credit union amending its bylaws to add an additional common bond group.
(2) An application to add a common bond group must:
(a) Demonstrate that the application promotes competition and that broadens the availability of financial services to the proposed membership;
(b) Reserved;
(c) Be approved for inclusion into the field of membership by two-thirds of the credit union's Board of Directors;
(d) In the case of a non-geographic group common bond, demonstrate sponsor support for any new group sought such as the submission of a written request from a senior policy making official of the organization certifying that the organization desires inclusion in the credit union's field of membership; and
(e) Meet any additional requirements in this rule chapter.
Compilation of Rules and Regulations of the State of Georgia › Department 80 - RULES OF DEPARTMENT OF BANKING AND FINANCE › Chapter 80-2 - CREDIT UNIONS › Subject 80-2-8 - FIELD OF MEMBERSHIP › Rule 80-2-8-.04 - Requirements for Geographic Groups

Current through Rules and Regulations filed through June 27, 2024
(1) A credit union shall request approval from the department to add a geographic common bond group to its field of membership by an amendment to its bylaws. O.C.G.A. §
									7-1-630(b)  permits a common bond of a field of membership to be "residence or employment within a well-defined neighborhood, community, or rural district."
(2) Definitions for geographic groups:
(a) "Well defined" shall mean able to be described in writing and delineated by geographic or political boundaries on a map.
(b) "Neighborhood" shall mean a small part of a geographic unit considered in regard to its inhabitants or distinctive characteristics. It will have unifying characteristics such as recreational, associational or social facilities or functions for residents.
(c) "Community" shall mean an area where:
1. Residents share common political, environmental, geographical or economic characteristics that tend to create a mutual interest; or
2. Residents share common facilities or services such as an education or transportation system, recreational or cultural facilities, government, medical services, newspaper, fire or police protection, public utilities and services or other unifying characteristics that tend to create interaction or a mutual interest.
(d) "Rural District" shall mean an area that is outside a Metropolitan Statistical Area (MSA) as those areas are established from time to time by the United states Office of Management and Budget. It should also reflect a commonality of interest which may be participation or membership in agricultural, land use, or soil conservation districts or associations.
Compilation of Rules and Regulations of the State of Georgia › Department 80 - RULES OF DEPARTMENT OF BANKING AND FINANCE › Chapter 80-2 - CREDIT UNIONS › Subject 80-2-8 - FIELD OF MEMBERSHIP › Rule 80-2-8-.05 - Repealed

Current through Rules and Regulations filed through June 27, 2024
O.C.G.A. Secs. 7-1-61, 7-1-663.
Compilation of Rules and Regulations of the State of Georgia › Department 80 - RULES OF DEPARTMENT OF BANKING AND FINANCE › Chapter 80-2 - CREDIT UNIONS › Subject 80-2-8 - FIELD OF MEMBERSHIP › Rule 80-2-8-.06 - Emergency Changes

Current through Rules and Regulations filed through June 27, 2024
The department may waive any provisions of this chapter in its discretion to facilitate the merger or combination of any credit union with a troubled or failing credit union.
O.C.G.A. Secs. 7-1-61, 7-1-663.
Compilation of Rules and Regulations of the State of Georgia › Department 80 - RULES OF DEPARTMENT OF BANKING AND FINANCE › Chapter 80-2 - CREDIT UNIONS › Subject 80-2-9 - INVESTMENT SECURITIES › Rule 80-2-9-.01 - Investment Securities

Current through Rules and Regulations filed through June 27, 2024
(1) Subject to such further restrictions and limitations as its board of directors may set forth in this investment policy, a credit union may purchase, sell and hold securities:
(a) Without limitation if such securities are:
1. The general obligations of the United States Government or any agency or instrumentality thereof;
2. Guaranteed as to principal and interest by the United States Government or any agency or instrumentality thereof; or
3. Separate Trading of Registered Interest and Principal of Securities which are offered exclusively in book entry form, are direct obligations of the United States, and are issued under Chapter 31, Title 13 USC.
Compilation of Rules and Regulations of the State of Georgia › Department 80 - RULES OF DEPARTMENT OF BANKING AND FINANCE › Chapter 80-2 - CREDIT UNIONS › Subject 80-2-9 - INVESTMENT SECURITIES › Rule 80-2-9-.02 - Accounting and Record Keeping

Current through Rules and Regulations filed through June 27, 2024
(1) Securities transactions shall be accounted for in accordance with paragraph 1 of Rule  80-2-1-.01.
(2) Credit Unions shall maintain documentation sufficient to identify adequately the nature of all securities owned. For all securities other than direct investments in government bonds, notes, or debentures, documentation may include annual reports, offering circulars, credit analyses published by nationally recognized rating firms, or in-house analyses, reflecting an evaluation of the degree of risk in regard to liquidity, marketability, and price volatility.
(3) Investments in the form of "Zero Coupon" obligations shall be recorded at cost plus accretion to maturity over the life of the obligations. Legal limitations applicable to such securities shall be measured against the actual cost of the security. Provided, however, to the extent that the cash investment plus accretions of income earned, but not collected, exceed the legal limitation on any zero coupon security, such amount shall be set aside into a capital reserve and excluded in considering capital adequacy.
Ga. L. 1974, p. 733.
Compilation of Rules and Regulations of the State of Georgia › Department 80 - RULES OF DEPARTMENT OF BANKING AND FINANCE › Chapter 80-2 - CREDIT UNIONS › Subject 80-2-9 - INVESTMENT SECURITIES › Rule 80-2-9-.03 - Custody and Safekeeping

Current through Rules and Regulations filed through June 27, 2024
(1) Securities may be held in physical or book entry form.
(2) Physical possession of securities shall be maintained:
(a) In the vault of the investing credit union, or
(b) In safekeeping at any:
1. Federally-insured correspondent bank, credit union or trust company,
2. Federal Reserve or Federal Home Loan Bank,
3. Broker-dealer insured under the Securities Investors Protection Act provided the market value of such securities does not exceed $500,000, or
4. As otherwise specifically approved by the Department.
Compilation of Rules and Regulations of the State of Georgia › Department 80 - RULES OF DEPARTMENT OF BANKING AND FINANCE › Chapter 80-2 - CREDIT UNIONS › Subject 80-2-10 - CREDIT UNION VOTING PROCEDURES › Rule 80-2-10-.01 - Proxy

Current through Rules and Regulations filed through June 27, 2024
The prohibition of Section 7-1-661 regarding vote by proxy makes it unlawful for any individual representative to cast a vote for another individual member of the credit union at any meeting. This does not preclude the authorized representative vote exception as provided in that section.
Ga. L. 1968, p. 465, Sec. 1.
Compilation of Rules and Regulations of the State of Georgia › Department 80 - RULES OF DEPARTMENT OF BANKING AND FINANCE › Chapter 80-2 - CREDIT UNIONS › Subject 80-2-10 - CREDIT UNION VOTING PROCEDURES › Rule 80-2-10-.02 - Voting Procedures

Current through Rules and Regulations filed through June 27, 2024
(1) Members may vote in person, by written ballot, or electronically. Voting by written ballot or electronically may occur prior to the membership meeting by mail, electronically, or at established ballot box locations, provided:
(a) The credit union's bylaws specifically authorize voting electronically or by mail ballot and/or ballot box voting;
(b) The Board of Directors of the credit union have officially adopted electronic, written mail ballot and/or ballot box voting procedures which assure that such voting occurs in an orderly, secure and controlled environment designed to preserve the one member one vote statutory requirement;
(c) The notice of the meeting includes a copy of the voting procedures. In the case of ballot box voting, a copy of the voting procedures must be prominently posted at each ballot box location; and
(d) The question being considered is clearly and fully stated in the notice of the meeting.
Compilation of Rules and Regulations of the State of Georgia › Department 80 - RULES OF DEPARTMENT OF BANKING AND FINANCE › Chapter 80-2 - CREDIT UNIONS › Subject 80-2-11 - EXTENSIONS OF EXISTING OFFICES AND FACILITIES; AUXILIARY SERVICES › Rule 80-2-11-.01 - Automated Teller Machine ("ATM") and Night Depository

Current through Rules and Regulations filed through June 27, 2024
An ATM machine, which by definition in O.C.G.A. §
									7-1-664 takes deposits, and a night depository may be established anywhere in this state. Establishment of an ATM machine in this state does not constitute doing a banking business here.
O.C.G.A. §
											7-1-664.
Compilation of Rules and Regulations of the State of Georgia › Department 80 - RULES OF DEPARTMENT OF BANKING AND FINANCE › Chapter 80-2 - CREDIT UNIONS › Subject 80-2-11 - EXTENSIONS OF EXISTING OFFICES AND FACILITIES; AUXILIARY SERVICES › Rule 80-2-11-.02 - Mobile Credit Union Units

Current through Rules and Regulations filed through June 27, 2024
(1) A credit union may provide unlimited banking services through mobile credit union units that do not have a single, permanent site and use a vehicle that travels to various locations to enable members to conduct the business of banking.
(2) A mobile branch may provide banking services at various regularly scheduled locations or it may be open in a defined area at varying times and locations. If the mobile branch provides banking services at regularly scheduled locations, then it shall be accessible to credit union members in accordance with a published schedule available on the credit union's website. In all circumstances, each mobile branch is required to maintain logs indicating the specific locations and times in which the mobile unit is operating in order to track branch activities.
(3) Each credit union providing mobile credit union unit services shall carry adequate fidelity, robbery, and hazard insurance coverage commensurate with the risks associated with the operation of such units.
(4) Disclosures shall be given to all members regarding when deposits will be credited and when checks or other withdrawals will be debited.
(5) Since a mobile unit will function as a branch, application for approval must be made as it is for all other branches.
(6) Credit unions may alter the banking service area set forth in paragraph 2 of this Rule by submitting advance written notification to the Department.
O.C.G.A. §
											7-1-665.
Compilation of Rules and Regulations of the State of Georgia › Department 80 - RULES OF DEPARTMENT OF BANKING AND FINANCE › Chapter 80-2 - CREDIT UNIONS › Subject 80-2-11 - EXTENSIONS OF EXISTING OFFICES AND FACILITIES; AUXILIARY SERVICES › Rule 80-2-11-.03 - Account Service Representatives

Current through Rules and Regulations filed through June 27, 2024
Credit unions lawfully doing a banking business in Georgia may provide for account service representatives to visit public events and commercial locations including governmental, educational, and health facilities for the purpose of opening deposit accounts and providing services incidental thereto; provided, access to such locations and facilities is available to other credit unions on a nondiscriminatory basis. Account paying and receiving services may not be provided during such visits other than an initial deposit to a new account.
O.C.G.A. §§
											7-1-61; 7-1-241.
Compilation of Rules and Regulations of the State of Georgia › Department 80 - RULES OF DEPARTMENT OF BANKING AND FINANCE › Chapter 80-2 - CREDIT UNIONS › Subject 80-2-11 - EXTENSIONS OF EXISTING OFFICES AND FACILITIES; AUXILIARY SERVICES › Rule 80-2-11-.04 - School Savings and Banking Education Programs

Current through Rules and Regulations filed through June 27, 2024
Credit unions lawfully doing a banking business in Georgia may participate in school savings and banking education programs, where such programs: are provided for minors in order to promote thrift or to provide banking and financial education; are supervised by a school official or an organization affiliated with the school on school premises or at a facility utilized by the school; and are in a location where the credit union would otherwise be authorized to have a branch. School savings program deposits are not considered received until they have been delivered to a representative of and at the participating credit union. Under a school savings program, checks are not considered paid until received by the participating credit union either directly or through a messenger acting as agent for the customer. These programs shall not be considered a branch office, provided the above provisions are met.
O.C.G.A. §§
											7-1-241; 7-1-650.
Compilation of Rules and Regulations of the State of Georgia › Department 80 - RULES OF DEPARTMENT OF BANKING AND FINANCE › Chapter 80-2 - CREDIT UNIONS › Subject 80-2-11 - EXTENSIONS OF EXISTING OFFICES AND FACILITIES; AUXILIARY SERVICES › Rule 80-2-11-.05 - Expansion or Extension of Branch Location

Current through Rules and Regulations filed through June 27, 2024
(1) No notification is necessary for an extension that is an ATM, cash dispensing machine, night depository or point of sale terminal.
(2) If any other extension is located within the boundary lines of a single contiguous area of property owned or leased by the credit union and used as a branch location or if it is within 200 yards of such branch location, then the credit union must provide written notice to the Department of such extension. Such notification shall be in letter form and shall specify:
(a) Exact location of proposed extension;
(b) The nature of service that will be provided at the extension;
(c) Distance of extension from credit union;
(d) Ownership of the location; and
(e) Cost of establishing the extension, and if site is to be leased, a copy of the proposed lease agreement.
Compilation of Rules and Regulations of the State of Georgia › Department 80 - RULES OF DEPARTMENT OF BANKING AND FINANCE › Chapter 80-2 - CREDIT UNIONS › Subject 80-2-12 - CREDIT UNION LOANS › Rule 80-2-12-.02 - Real Estate Loans

Current through Rules and Regulations filed through June 27, 2024
(1) A real estate loan shall be any loan secured by real estate where the credit union relies upon such real estate as the primary security for the loan. If the proceeds of the loan are used for the purchase of the real estate pledged, the loan will be presumed to be a real estate loan. Where the credit union relies substantially upon other factors, such as the general credit standing of the borrower, guaranties, or security other than real estate, the loan does not constitute a real estate loan, although as a matter of prudent underwriting it may also be secured by real estate, provided:
(a) Current credit information on the borrower and/or the guarantors is maintained to sufficiently show the credit worthiness of the borrower or guarantors is adequate to support the debt; and
(b) The other collateral is properly pledged to the credit union, protected by adequate hazard insurance, and supported by a statement of appraised or estimated value.
Compilation of Rules and Regulations of the State of Georgia › Department 80 - RULES OF DEPARTMENT OF BANKING AND FINANCE › Chapter 80-2 - CREDIT UNIONS › Subject 80-2-12 - CREDIT UNION LOANS › Rule 80-2-12-.03 - Participation Loans and Whole Loans

Current through Rules and Regulations filed through June 27, 2024
(1) Credit unions may invest in loans made by other lenders. Credit unions may purchase one hundred percent or less of a loan as part of a participation. Alternatively, credit unions may purchase one hundred percent of a loan as a whole loan. Loans purchased must conform to all laws and regulations applicable to that category of loan to the same extent as if the purchasing credit union had originated the loan itself. Applicable statutory and regulatory requirements, including, but not limited to, collateral documentation requirements, loan to collateral value requirements, and loan limitations must be met. The purchasing credit union shall obtain from the selling lender copies of all pertinent collateral and credit documents or, solely in the case of a loan participation, a summary of information sufficient to conclude that all legal and regulatory requirements have been met.
(2) A credit union that purchases a loan has the responsibility of conducting loan underwriting procedures on the loan to determine that it complies with the policies of the credit union and meets the credit union's credit standards.
(3) The following additional requirements apply to a participation purchase in pools of loans and, those that are applicable, apply to a whole loan purchase in pools of loans:
(a) Loans in the pool or discount line must be specifically identifiable on the records of the selling lender.
(b) The participation agreement must call for the participant to share pro rata in losses experienced by the pool.
(c) The participation agreement must provide for a periodic, at least quarterly, report by the seller to the purchaser to account for settlement for losses incurred and to provide information on past due status of loans contained in the pool or discount line.
(d) Where the purchase exceeds the purchasing credit union's unsecured lending limit, the purchase must be accorded prior written approval from the Board or the Board-approved credit committee.
(e) The purchase in the pool must satisfy safety and soundness. In determining whether a participation in a pool of loans is safe and sound, the Department will consider:
1. The credit union's understanding of the selling lender's organization, business model, financial health, and the related risks of the participation;
2. The credit union's due diligence in monitoring and protecting against participation risks;
3. If contracts between the credit union and the selling lender grants the credit union sufficient control over the seller's actions and provides for replacing an inadequate servicer; and
4. Other factors relevant to safety and soundness.
Compilation of Rules and Regulations of the State of Georgia › Department 80 - RULES OF DEPARTMENT OF BANKING AND FINANCE › Chapter 80-2 - CREDIT UNIONS › Subject 80-2-12 - CREDIT UNION LOANS › Rule 80-2-12-.05 - Combination of Debt for Legal Lending Limit Purposes

Current through Rules and Regulations filed through June 27, 2024
(a) General Rule. Pursuant to Code Section 7-1-658, loans or extensions of credit to one person will be attributed to another person and each person will be deemed a borrower:
(1) When proceeds of a loan or extension of credit are to be used for the direct benefit of the other person, to the extent of the proceeds so used;
(2) When a common enterprise is deemed to exist between the persons as the persons within the group are directly or indirectly related through common control including where one borrower is directly or indirectly controlled by another borrower;
(3) When there is a common use of funds between the persons; or
(4) When a person has a financial obligation on a loan or an extension of credit, to the extent of such obligation.
Compilation of Rules and Regulations of the State of Georgia › Department 80 - RULES OF DEPARTMENT OF BANKING AND FINANCE › Chapter 80-2 - CREDIT UNIONS › Subject 80-2-13 - APPLICATIONS › Rule 80-2-13-.01 - Procedures for Other Transactions, Applications

Current through Rules and Regulations filed through June 27, 2024
(1) Conversion to state-chartered credit union. A meeting with the Department should precede filing a letter form application, which application should include all of the information requested in the Applications Manual.
(2) Mergers. The procedure for approval of a merger involves the filing of a letter application to the Department, which should include all of the information requested in the Applications Manual.
(3) Fiduciary Powers. A full application as detailed in the Applications Manual is required for exercise of full trust powers. Exercise of limited trust services and a single trust service requires a letter form application. Request to perform a single trust service may be expedited. No publication is required.
(4) Creation and Operation of a Subsidiary of a Credit Union. A credit union can exercise powers incidental to banking and create a separate subsidiary to effect such powers as may be financial in nature, incidental or complementary to the provision of financial services, subject in most cases to certain investment limitations. Most require a letter form application describing the activity, how it relates to the business of banking and finance, and what protections will be in place to deal with any associated risks. An application to create and operate a subsidiary of a credit union can be expedited if the requirements of Rule  80-1-1-.10  are satisfied.
(5) Letter form applications are required for name reservations and permissions set forth in O.C.G.A. §§
									7-1-130, 7-1-131, 7-1-242, and 7-1-243.
O.C.G.A. §
											7-1-61.
Compilation of Rules and Regulations of the State of Georgia › Department 80 - RULES OF DEPARTMENT OF BANKING AND FINANCE › Chapter 80-3 - MONEY TRANSMISSION › Subject 80-3-1 - DISCLOSURES, LOCATIONS, AUTHORIZED AGENTS, AND CUSTOMER INFORMATION › Rule 80-3-1-.01 - Definitions, Activities, and Locations

Current through Rules and Regulations filed through June 27, 2024
(1) For purposes of this Rule Chapter and Rule  80-5-1-.02(1), the terms that are defined in O.C.G.A. §
									7-1-680 shall have the identical meaning.
(2) "Outstanding money transmission obligations" shall be established and extinguished in accordance with applicable state law and shall mean:
(a) Any payment instrument or stored value issued or sold by the licensee to a person located in the United States or reported as sold by an authorized agent of the licensee to a person that is located in the United States that has not yet been paid or refunded by or for the licensee, or escheated in accordance with applicable abandoned property laws; or
(b) Any money received for transmission by the licensee or an authorized agent in the United States from a person located in the United States that has not been received by the payee, refunded to the sender, or escheated in accordance with applicable abandoned property laws.
(c) For purposes of this term, "in the United States" shall include, to the extent applicable, a person in any state, territory, or possession of the United States; the District of Columbia; the Commonwealth of Puerto Rico; or a U.S. military installation that is located in a foreign country.
Compilation of Rules and Regulations of the State of Georgia › Department 80 - RULES OF DEPARTMENT OF BANKING AND FINANCE › Chapter 80-3 - MONEY TRANSMISSION › Subject 80-3-1 - DISCLOSURES, LOCATIONS, AUTHORIZED AGENTS, AND CUSTOMER INFORMATION › Rule 80-3-1-.02 - Disclosures and Receipts

Current through Rules and Regulations filed through June 27, 2024
(1) Every licensee or authorized agent of a licensee, unless such authorized agent is a financial institution whose deposits are federally insured, shall display a copy of the licensee's license prominently in every physical location in this state where money transmission is conducted.
(2) Each customer shall be provided with a written receipt or other evidence of acceptance of money received for transmission showing the name of the licensee or trade name of the licensee that is registered with the Department, unique identifier of the licensee, authorized agent identifier information, the date of the receipt of money for transmission, the dollar amount of the money received for transmission, and the fee charged to the customer. The requirement to provide a receipt in this paragraph shall not apply to: money received for transmission subject to 12 C.F.R. Part 1005, Subpart B; money received for transmission that is not for personal, family, or household purposes; money received for transmission pursuant to a written agreement between the licensee and payee to process payments for goods and services provided by the payee; and payroll processing services.
(3) Every licensee or authorized agent of a licensee shall transmit money within ten (10) days of receipt unless the agreement satisfies the exception set forth in O.C.G.A. §
									7-1-691(3) or the licensee or its authorized agent has a reasonable belief that the customer may be a victim of fraud or that a crime or other violation of law, rule, or regulation has occurred, is occurring, or may occur. If a licensee or its authorized agent fails to forward money received for transmission in accordance with this subsection, the licensee must respond to an inquiry by the customer with the reason for the failure unless providing such response would violate a state or federal law, rule, or regulation.
O.G.G.A. §§
											7-1-61, 7-1-690.
Compilation of Rules and Regulations of the State of Georgia › Department 80 - RULES OF DEPARTMENT OF BANKING AND FINANCE › Chapter 80-3 - MONEY TRANSMISSION › Subject 80-3-1 - DISCLOSURES, LOCATIONS, AUTHORIZED AGENTS, AND CUSTOMER INFORMATION › Rule 80-3-1-.03 - Authorized Agents

Current through Rules and Regulations filed through June 27, 2024
(1) Licensees may designate authorized agents to engage in money transmission, and the place of business of such authorized agents will not be construed as a branch office of the licensee. The licensee must conduct a reasonable risk-based background investigation sufficient to determine whether the authorized agent has complied and likely will comply with applicable state and federal law. The licensee must establish and periodically review policies and procedures that are reasonably designed to ensure that the licensee's authorized agents comply with applicable state and federal law. The authorized agent must be bonded and the licensee made solely liable for the payment of the issued payment instruments or transmitted money upon proper presentation and demand. The licensee's blanket bond coverage shall extend to cover transactions by the authorized agent and the conveyance of the funds to the licensee or the licensee's depository financial institution. The responsibility of both the licensee and its authorized agent shall be defined in a written agreement setting forth the duties of both parties and providing for remuneration of the authorized agent. The written agreement between the licensee and its authorized agent must include the following:
(a) An acknowledgement by the authorized agent of its receipt of the licensee's written policies and procedures set forth above;
(b) A notification that the licensee is subject to regulation by the Department and that, as part of that regulation, the Department may issue administrative action against the licensee and its authorized agent, including but not limited to rescinding the authorization to act as an authorized agent of the licensee; and,
(c) An acknowledgment by the authorized agent that it is subject to and will cooperate with any investigation or examination conducted by the Department pursuant to O.C.G.A. §
										7-1-689.
Compilation of Rules and Regulations of the State of Georgia › Department 80 - RULES OF DEPARTMENT OF BANKING AND FINANCE › Chapter 80-3 - MONEY TRANSMISSION › Subject 80-3-1 - DISCLOSURES, LOCATIONS, AUTHORIZED AGENTS, AND CUSTOMER INFORMATION › Rule 80-3-1-.04 - Notice of Unauthorized Access to Personal Information

Current through Rules and Regulations filed through June 27, 2024
(1) In the event that a licensee provides notice under applicable federal or state law of an information security incident involving unauthorized access to personal information, then the licensee shall simultaneously provide a duplicate of such disclosure to the Department. For purposes of this rule, personal information is any record containing nonpublic personal information about a customer or potential customer whether in paper, electronic, or other form maintained by or on behalf of the licensee.
(2) Pursuant to O.C.G.A. §
									10-1-912, a business that satisfies the definition of an information broker is required to provide notice to Georgia residents in the event of a data breach that results in access or likely access to unencrypted personal information. In the event a licensee or an affiliate of a licensee is required to make such notification to Georgia residents, then a duplicate of the notification will simultaneously be submitted to the Department.
O.C.G.A. §§
											7-1-61, 7-1-690.
Compilation of Rules and Regulations of the State of Georgia › Department 80 - RULES OF DEPARTMENT OF BANKING AND FINANCE › Chapter 80-3 - MONEY TRANSMISSION › Subject 80-3-1 - DISCLOSURES, LOCATIONS, AUTHORIZED AGENTS, AND CUSTOMER INFORMATION › Rule 80-3-1-.05 - Information Security Safeguards for Consumer Financial Information

Current through Rules and Regulations filed through June 27, 2024
All licensees shall create and maintain an information security program to safeguard the nonpublic personal information of customers to the extent required by 16 C.F.R. Part 314 (the "Safeguards Rule"). As part of its regulatory oversight, the Department shall review, to the extent applicable, licensee's information security programs, risk assessments, incident response plans, and other required elements of the Safeguards Rule.
O.C.G.A. §§
											7-1-61, 7-1-690.
Compilation of Rules and Regulations of the State of Georgia › Department 80 - RULES OF DEPARTMENT OF BANKING AND FINANCE › Chapter 80-3 - MONEY TRANSMISSION › Subject 80-3-1 - DISCLOSURES, LOCATIONS, AUTHORIZED AGENTS, AND CUSTOMER INFORMATION › Rule 80-3-1-.06 - Repealed and Reserved

Current through Rules and Regulations filed through June 27, 2024
O.C.G.A. §
											7-1-61.