Missouri Code of State Regulations › Title 20 - DEPARTMENT OF COMMERCE AND INSURANCE › Division 1140 - Division of Finance › Chapter 6 - Interpretive Rulings › Section 20 CSR 1140-6.075 - Bank Offices-Definitions and Procedures for Non-Branch Offices

Current through Register Vol. 49, No. 14, July 15, 2024
PURPOSE: This amendment expands the business
				  activities that can be conducted at non-bank branch locations, which will allow
				  Missouri state-chartered banks to better compete with national banks that
				  already possess the authority to conduct the same activities under federal law;
				  eliminates state restrictions not applicable to nationally chartered banks,
				  which put Missouri banks at a competitive disadvantage; and eliminates a
				  burdensome annual reporting requirement that Missouri banks must file under the
				  current rule.
PURPOSE: This rule defines non-branch offices in a
				  manner consistent with federal definitions, implements procedures regarding the
				  establishment of non-branch offices, and provides parity for Missouri
				  state-chartered banks with national banks regarding the establishment of
				  branches and other types of banking facilities.
(1)   Definitions-
(A)   "Administrative office" means a bank
				  facility to which the bank does not permit members of the public to have
				  physical access for purposes of making deposits, paying checks, or borrowing
				  money (such as an office established by the bank that receives deposits or loan
				  payments only electronically or through the mail or involves staff engaged only
				  in "back office" administrative work or loan approvals);
(B)   "Bank" means any bank or depository trust
				  company chartered by Missouri or any other state;
(C)   "Branch," for purposes of this rule-
1.   "Branch" means any branch bank, branch
				  office, branch agency, additional office, or any branch place of business
				  established by a bank at which deposits are received or checks paid or money
				  lent. A "branch" may include a temporary, seasonal, or mobile
				  facility that meets these criteria;
2.   "Branch" does not include-
A.   A loan production office;
B.   A deposit production office;
C.   An automated teller machine, an interactive video
				  terminal, remote capture terminal or remote service unit, including but not
				  limited to an automated loan machine, a personal computer, mobile device or
				  similar device used in providing financial services, or a drop box for deposit
				  and payment purposes;
D.   An administrative office;
E.   A facility that is located at the site of, or is an
				  extension of, an approved main office or branch; or
F.   Any other office that does not engage in any of the
				  activities in paragraph (1)(C)1. of this rule, including any office combining
				  any of the activities or facilities permitted in the exemptions listed in
				  subparagraphs (1) (C)2.A. through D.;
(D)   "Deposit production office" means a bank
				  office at which deposit-related functions are conducted, but at which deposits
				  are not received, checks are not paid, nor money lent;
(E)   "Deposit-related functions" means including
				  assembling and providing information about deposit products and services,
				  soliciting and processing deposit account applications, approving or denying
				  deposit account applications, and conducting deposit account set-up activities,
				  such as execution of documents, but not including "receipt of
				  deposits";
(F)   "Deposits are received" or "receipt
				  of deposits" includes the bank accepting funds to be deposited from the
				  depositor, in-person;
(G)   "Loan production office" means a bank
				  office at which loan-related functions are conducted, but at which deposits are
				  not received, checks are not paid, nor money lent;
(H)   "Loan-related functions" includes
				  assembling and providing information about loan products and services,
				  soliciting and processing loan applications, approving or denying loan
				  applications, and conducting loan closing activities, such as execution of
				  documents but not including "money lent";
(I)   "Money lent" means disbursing to the
				  borrower, in- person, loan proceeds directly from bank funds-
1.   From the lending bank or its subsidiary; or
2.   At a facility that is established by the lending bank or
				  its subsidiary;
(J)   "Non-branch banking facility" means any
				  item described in paragraph (1)(C)2. of this rule; and
(K)   "Trust office" means an office of a bank or
				  nondepository trust company chartered in Missouri, other than a main office or
				  a branch, at which the bank or trust company engages in one (1) or more
				  fiduciary activities requiring trust powers and/or activities incidental to the
				  exercise of such trust powers, but at which deposits are not received, checks
				  are not paid, nor money lent.