reglab/statecodes huggingface dataset:
New Jersey Administrative Code › Title 3 - BANKING › Chapter 6 - GENERAL PROVISIONS › Subchapter 10 - UNSECURED DAYS FUNDS TRANSACTIONS › Section 3:6-10.1 - Description; unsecured days funds

Current through Register Vol. 56, No. 14, July 15, 2024
Unsecured days funds transactions represents the sale of
				  excess funds, usually on an unsecured basis, for a period longer than overnight
				  or a weekend. Such transactions are commonly referred to as "term federal
				  funds". Sales are restricted to an insured bank which is defined as being a
				  commercial bank whose deposits are insured by the Federal Deposit Insurance
				  Corporation.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 6 - GENERAL PROVISIONS › Subchapter 10 - UNSECURED DAYS FUNDS TRANSACTIONS › Section 3:6-10.2 - Limitation on such investments

Current through Register Vol. 56, No. 14, July 15, 2024
A bank or savings bank may sell unsecured days funds (term
				  Federal funds) to any insured bank, as defined in
				  3:6-10.1, provided the total amount
				  sold to any one insured bank does not exceed 15 percent of the capital funds of
				  the bank or savings bank as reported in the latest consolidated report of
				  condition on file with the Department of Banking and Insurance.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 6 - GENERAL PROVISIONS › Subchapter 11 - SHORT-TERM INVESTMENTS FOR TRUST CASH › Section 3:6-11.1 - Type of investment

Current through Register Vol. 56, No. 14, July 15, 2024
Cash held for various fiduciary accounts may be invested on
				  a short term basis utilizing the cost method in determining the value of
				  property and investments of the common trust fund.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 6 - GENERAL PROVISIONS › Subchapter 11 - SHORT-TERM INVESTMENTS FOR TRUST CASH › Section 3:6-11.2 - Provisions for cost valuation

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Investments
				must be limited largely to bonds, notes or other evidences of indebtedness
				which are payable on demand (including variable amount notes) or which have a
				maturity date not exceeding 91 days from the date of purchases. However, 20
				percent of the value of the fund may be invested in longer term
				obligations.
(b) Principal is to be
				valued at cost. The difference between cost and anticipated receipt on maturity
				is accrued on a straight-line basis.
(c) Assets of the fund must be held to
				maturity under usual circumstances.
(d) After effecting the entries and
				withdrawals not less than 40 percent of the value of the remaining assets of
				the fund must be composed of cash, demand obligations and assets that mature on
				the fund's next business day.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 6 - GENERAL PROVISIONS › Subchapter 14 - FOREIGN BANKS › Section 3:6-14.1 - Biennial fee

Current through Register Vol. 56, No. 14, July 15, 2024
The certificate of authority or certificate of renewal of a
				  certificate of authority for a foreign bank shall run from the date of issuance
				  to the end of the biennial period. When the initial certificate is issued in
				  the second year of the biennial certificate period, the certificate fee shall
				  be an amount equal to one-half of the fee for the biennial certificate period.
				  The biennial period shall commence as of April 1 of each odd numbered year. The
				  biennial fee shall be $1,000.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 6 - GENERAL PROVISIONS › Subchapter 14 - FOREIGN BANKS › Section 3:6-14.2 - Miscellaneous fees

Current through Register Vol. 56, No. 14, July 15, 2024
(a) A foreign bank
				shall pay to the Department of Banking and Insurance the following fees:
1.
For filing a copy of its certificate of
						  incorporation, or an amendment or change to the
						  certificate.......................................
$ 100.00;
2.
For filing a statement of its financial
						  condition..
$ 50.00;
3.
For filing a power of
						  attorney....................
$ 25.00.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 6 - GENERAL PROVISIONS › Subchapter 14 - FOREIGN BANKS › Section 3:6-14.3 - Certificate of authority to transact trust business

Current through Register Vol. 56, No. 14, July 15, 2024
(a) A foreign bank
				seeking to obtain or to renew a certificate of authority to transact trust
				business in this State pursuant to
				17:9A-316 and 318 shall submit the
				following:
1. A Consolidated Report of
				Condition, as required by the Federal or State regulator of the bank,
				indicating the bank's financial condition as of the close of business on the
				December 31st immediately prior to the application. This condition shall be
				deemed satisfied if the report is filed by the bank with its Federal or State
				regulator and adequate provision is made for the New Jersey Department of
				Banking and Insurance to have access to that filing;
2. The fee required by
				3:6-14.2(a)2  for
				filing a statement of financial condition. This fee may be waived if the
				Department obtains the financial statement from another regulator via the
				internet;
3. The biennial fee
				required by
				3:6-14.1; and
4. Proof of current insurance coverage
				consisting of a copy of the insurance policy covering the trust activities
				conducted or to be conducted by the foreign bank in New Jersey;
New Jersey Administrative Code › Title 3 - BANKING › Chapter 6 - GENERAL PROVISIONS › Subchapter 15 - SAVINGS BANKS: OFFICERS AND MANAGERS PERMITTED LOANS › Section 3:6-15.1 - Terms and conditions

Current through Register Vol. 56, No. 14, July 15, 2024
(a) A savings bank
				may permit its officers and managers and their families and affiliates to
				become liable to the savings bank only under the same terms and conditions and
				to the same degree of liability as a bank permits its directors, officers or
				the corporations or partnerships of the officers or directors of a bank to
				become liable to a bank under
				17:9A-71 to 74,
				17:9A-104 and N.J.A.C. 3:1-11 and
				3:6-3.
(b) A savings bank may not
				permit its officers and managers and their families and affiliates to become
				liable to the savings bank pursuant to the authority of N.J.A.C.
				3:6-12.
(c) The authority of a
				savings bank to permit its officers and managers and their families and
				affiliates to become liable to the savings bank under the same terms and
				conditions and to the same degree of liability as a bank is not to be construed
				as granting to the savings bank the authority to grant any form or type of loan
				it is not otherwise authorized to make.
(d) "Manager" of a savings bank means a
				trustee or director of a savings bank and where reference is made to a director
				of a bank it shall be deemed to refer to the manager of a savings
				bank.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 6 - GENERAL PROVISIONS › Subchapter 16 - QUALIFIED BANK ACQUISITION OF UNDERWRITTEN SECURITIES › Section 3:6-16.1 - Definitions

Current through Register Vol. 56, No. 14, July 15, 2024
The following words and terms, when used in the chapter,
				  shall have the following meanings unless the context clearly indicates
				  otherwise:
"Affiliate bank" means a bank at least 90 percent of whose
				  issued and outstanding stock is owned by the same corporation.
"Securities" means:
1. Bonds, notes or other obligations of or
				guaranteed by, this State or any agency, authority or instrumentality of this
				State; and
2. Bonds, notes or other
				obligations of any county, municipality, or other governmental unit or
				subdivision of this State, or any agency, authority, instrumentality of any
				county, municipality or other governmental unit or subdivision of this
				State.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 6 - GENERAL PROVISIONS › Subchapter 16 - QUALIFIED BANK ACQUISITION OF UNDERWRITTEN SECURITIES › Section 3:6-16.2 - Conditions placed on a qualified bank acquiring certain underwritten securities

Current through Register Vol. 56, No. 14, July 15, 2024
(a) A qualified
				bank may acquire securities, for one or more of its trust accounts, from
				itself, another member of the underwriting syndicate of the security, or from
				an affiliate bank, when the qualified bank or affiliate holds the security or
				securities as a result of its being the underwriter or a member of the
				underwriting syndicate of the security, provided the following conditions are
				met with respect to each acquisition:
1. The
				acquisition is a prudent and appropriate investment for each of the trust
				accounts for which it is acquired;
2. The price paid is fair as established by
				market quotation of the security or of securities of similar quality, yield and
				maturity or as established by independent appraisal; and
3. A notification of such acquisition shall
				be given by the qualified bank to the person or persons who receive the
				periodic account statements issued by the qualified bank with respect to the
				trust account for which the acquisition is made. The notification shall be in
				writing and may be sent as an individual notice by regular mail or it may be
				included as part of the next periodic statement. In the case of a common trust
				fund, notification shall be disclosed in the annual financial report of such
				fund.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 6 - GENERAL PROVISIONS › Subchapter 16 - QUALIFIED BANK ACQUISITION OF UNDERWRITTEN SECURITIES › Section 3:6-16.3 - Limitations

Current through Register Vol. 56, No. 14, July 15, 2024
A qualified bank shall not retain or purchase for its trust
				  accounts or retain or sell to any of its affiliate banks for their trust
				  accounts, securities which in the aggregate will exceed a total of more than 50
				  percent of an issue of securities regarding which it or any affiliate bank is
				  an issuer.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 6 - GENERAL PROVISIONS › Subchapter 16 - QUALIFIED BANK ACQUISITION OF UNDERWRITTEN SECURITIES › Section 3:6-16.4 - Required records

Current through Register Vol. 56, No. 14, July 15, 2024
(a) To support
				compliance with the provisions of
				3:6-16.2, a qualified bank shall
				retain its records relative to the transaction for two years from the date of
				the acquisition, which records shall include at a minimum:
1. The quality rating of the issue of the
				security;
2. The price, yield and
				term of the security;
3. Any and
				all fees and/or commissions paid;
4. The portion of the total issue of the
				security acquired by the qualified bank for its trust accounts and the trust
				accounts of any affiliated bank; and
5. The date or dates of purchase.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 6 - GENERAL PROVISIONS › Subchapter 16 - QUALIFIED BANK ACQUISITION OF UNDERWRITTEN SECURITIES › Section 3:6-16.5 - Exemption provision

Current through Register Vol. 56, No. 14, July 15, 2024
Nothing contained within the provisions of this subchapter
				  shall be deemed to prohibit a qualified bank from acquiring any securities as
				  permitted by other applicable law or regulation.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 6 - GENERAL PROVISIONS › Subchapter 17 - CONVERSIONS OF BANK CHARTERS › Section 3:6-17.1 - Authorization for conversion

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Any bank may
				apply to the Commissioner to convert itself to a capital stock savings bank by
				organizing and transferring its assets and liabilities to a newly-chartered
				capital stock savings bank.
(b)
				Before applying to the Commissioner for a conversion pursuant to (a) above, the
				bank shall obtain a resolution of the bank's board of directors indicating that
				the conversion is advisable and in the best interests of the
				shareholders.
(c) After the board
				of directors has adopted a resolution, a meeting of the stockholders shall be
				held upon not less than 10 days' written notice. The notice shall contain a
				statement of the time, place and purpose for which such meeting is called. At
				this meeting, the shareholders shall vote on whether the bank shall convert to
				a capital stock savings bank. An affirmative vote of shareholders of at least
				two-thirds of the stock represented at the meeting, either in person or by
				proxy, may approve the conversion.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 6 - GENERAL PROVISIONS › Subchapter 17 - CONVERSIONS OF BANK CHARTERS › Section 3:6-17.2 - Application for conversion

Current through Register Vol. 56, No. 14, July 15, 2024
(a) An application
				for a conversion from a bank to a capital stock savings bank shall contain the
				following:
1. A certified copy of the
				resolution of the board of directors authorizing the conversion;
2. A certified copy of the resolution adopted
				by the stockholders or members relating to the plan of conversion, containing
				the following information:
i. The total
				number of votes eligible to be cast;
ii. The total number of votes represented in
				person or by proxy at the special meeting;
iii. The total number of votes cast in favor
				and against each matter;
iv. The
				percentage of votes cast in favor and against each matter.
3. A certificate of incorporation for the new
				capital stock savings bank;
4.
				Biographical information for each of the incorporators and/or directors on
				forms approved by the Commissioner;
5. A completed form from the New Jersey State
				Police requesting criminal history record information for each director and/or
				incorporator, along with a cashier's check, certified check or money order for
				the applicable amount, payable to the State Police, stapled to the front of
				each form;
6. A copy of the bank's
				most recent quarterly Consolidated Report of Condition indicating the bank's
				financial condition. This condition shall be deemed satisfied if this
				information is accessible to the Department via the internet;
7. Financial projections for the converted
				capital stock savings bank for the next three years. Projections shall include
				a consolidated average balance sheet and a profit and loss statement at the end
				of each year. This financial information should include projections of all
				relevant regulatory capital requirements and capital ratios as well as
				appropriate income ratios;
8. A
				business plan for the capital stock savings bank for three years; and
9. Copies of all applications for Federal
				regulatory approval and all approvals required in connection with the
				conversion, or, if no application or approval is required, a statement or
				opinion of counsel to that effect.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 7 - SAFE AND SOUND METHODS OF BANKING › Subchapter 1 - FIDELITY BONDS › Section 3:7-1.1 - Required fidelity coverage of counsel

Current through Register Vol. 56, No. 14, July 15, 2024
(a) When a bank,
				savings bank or State association permits counsel to handle funds, either for
				distribution at the time of settlement of a mortgage loan or for any other
				reason, the bank, savings bank or State association shall procure an
				endorsement rider to its fidelity bond, procured pursuant to
				17:9A-115 or
				17:12B-73, which will cover
				counsel and all employees of his or her office concerned with such
				transactions.
(b) In lieu of
				procuring a rider to its fidelity bond, a bank, savings bank or State
				association may supply a letter obtained from its insurance company, certifying
				that attorneys and their employees who perform the services described in (a)
				above are covered by insurance as employees of the bank, savings bank or State
				associations.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 7 - SAFE AND SOUND METHODS OF BANKING › Subchapter 2 - INTERNAL OPERATIONS PROCEDURE › Section 3:7-2.1 - Review of fire insurance

Current through Register Vol. 56, No. 14, July 15, 2024
Banks, savings banks and State associations shall
				  periodically review all fire insurance policies supporting loans secured by
				  mortgages and real estate owned by the bank, savings bank or State association
				  to ascertain if the amount of insurance is sufficient considering present
				  values, especially where the policy contains a coinsurance clause. The bank,
				  savings bank or State association may use other prudent means instead of
				  periodic review, such as obtaining insurance for inadequate coverage, to
				  protect itself from exposure to loss from insufficient insurance coverage on
				  these properties.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 7 - SAFE AND SOUND METHODS OF BANKING › Subchapter 2 - INTERNAL OPERATIONS PROCEDURE › Section 3:7-2.2 - Retention of closing statements

Current through Register Vol. 56, No. 14, July 15, 2024
All banks, savings banks and State associations shall obtain
				  closing statements (settlement sheets) from counsel or title companies
				  immediately following mortgage loan closings and file such statements with the
				  documents evidencing the loans.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 7 - SAFE AND SOUND METHODS OF BANKING › Subchapter 2 - INTERNAL OPERATIONS PROCEDURE › Section 3:7-2.3 - Verification of payment of real estate taxes

Current through Register Vol. 56, No. 14, July 15, 2024
All banks, savings banks and State associations shall verify
				  the payment of taxes by mortgage borrowers at least annually on or before
				  January 15 of each year, either by requiring the presentation of receipted tax
				  bills or by examining or having examinations made of the tax records.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 7 - SAFE AND SOUND METHODS OF BANKING › Subchapter 3 - EXAMINATION OF BANKS AND SAVINGS BANKS UNDER DIRECTION OF BOARD OF DIRECTORS, BOARD OF MANAGERS OR BOARD OF TRUSTEES › Section 3:7-3.1 - Definitions

Current through Register Vol. 56, No. 14, July 15, 2024
The following words and terms, when used in this subchapter,
				  shall have the following meanings, unless the context clearly indicates
				  otherwise.
"Bank" means a bank or savings bank.
"Board of directors" shall include the board of directors of
				  a bank and the board of managers or trustees of a savings bank.
"Department" means the New Jersey Department of Banking and
				  Insurance.
"Financial statement audit report" means an audit report as
				  defined in 12 CFR 363.
"Internal auditor" means any full or part-time employee of
				  the bank appointed by the board of directors to perform the internal audit
				  function for the bank, including an employee of the bank's holding company who
				  has been delegated by the board of the bank and the board of the holding
				  company to perform the internal audit function.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 7 - SAFE AND SOUND METHODS OF BANKING › Subchapter 3 - EXAMINATION OF BANKS AND SAVINGS BANKS UNDER DIRECTION OF BOARD OF DIRECTORS, BOARD OF MANAGERS OR BOARD OF TRUSTEES › Section 3:7-3.2 - Date of examination

Current through Register Vol. 56, No. 14, July 15, 2024
The examination shall be commenced within the time period
				  specified in N.J.S.A. 17:9A-253B. Prior to commencing the examination, the
				  person scheduled to conduct the examination shall notify the Department so as
				  to avoid conflict with an examination pursuant to
				  17:9A-260. In the transmittal or
				  report to the bank, the person conducting the examination shall specify the
				  date of completion of the examination.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 7 - SAFE AND SOUND METHODS OF BANKING › Subchapter 3 - EXAMINATION OF BANKS AND SAVINGS BANKS UNDER DIRECTION OF BOARD OF DIRECTORS, BOARD OF MANAGERS OR BOARD OF TRUSTEES › Section 3:7-3.3 - Confirmation of deposits and debts

Current through Register Vol. 56, No. 14, July 15, 2024
The public accountant or other approved person examining for
				  the board of directors shall confirm with certain depositors and debtors the
				  correctness of the deposits due them and debts owed to the bank on various
				  types of loans and contracts purchased. Such confirmations, except for provided
				  exclusions, shall be either of the positive or negative type or any combination
				  of the two types and shall be mailed during each calendar year to the savings
				  deposit accounts and other time deposits, the demand deposit accounts and any
				  and all types of direct loans, serviced loans or contracts purchased.
				  Collateral pledged to secure a loan shall be included in the confirmation. The
				  person conducting the confirmation program will be responsible for resolving to
				  his or her satisfaction any differences disclosed through the confirmation
				  procedures which are deemed to be of a material nature and all such differences
				  which remain unresolved, shall be reported to the board of directors for its
				  further disposition. A schedule reflecting the confirmation program shall be
				  included as a part of the report or included in a supplement to the
				  report.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 7 - SAFE AND SOUND METHODS OF BANKING › Subchapter 3 - EXAMINATION OF BANKS AND SAVINGS BANKS UNDER DIRECTION OF BOARD OF DIRECTORS, BOARD OF MANAGERS OR BOARD OF TRUSTEES › Section 3:7-3.4 - Exclusions from confirmation program

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Unless the
				board of directors or the persons conducting the examination deem it necessary
				or advisable, the following are not required to be confirmed under this
				subchapter:
1. School savings and club
				accounts;
2. Dormant or inactive
				savings accounts with balances under $ 1,000 provided such accounts are
				contained in a square control unit and held under dual control;
3. Demand accounts, sometimes referred to as
				"special checking accounts" or some other similar type limited activity
				accounts;
4. Installment contracts,
				such as insurance premiums; which by their nature are drawn for periods of one
				year or less and in amounts of $ 1,000 or less;
5. Serviced loans, provided that the
				servicer's outside accountant included in his or her scope a confirmation
				program which encompasses the serviced loans and the person responsible for
				this bank's confirmation program receives a copy of the results of the
				confirmations and is satisfied that the procedures and methods utilized are
				acceptable; or if the accountant for the servicer states that his or her
				examination of the servicer encompassed the requirements of the single audit
				program for mortgage bankers.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 7 - SAFE AND SOUND METHODS OF BANKING › Subchapter 3 - EXAMINATION OF BANKS AND SAVINGS BANKS UNDER DIRECTION OF BOARD OF DIRECTORS, BOARD OF MANAGERS OR BOARD OF TRUSTEES › Section 3:7-3.5 - Confirmation by internal auditors

Current through Register Vol. 56, No. 14, July 15, 2024
The Commissioner may, in writing, excuse a bank from
				  compliance with the foregoing confirmation program if it furnishes the
				  Department with satisfactory proof that its own internal auditors have the
				  capacity to perform the confirmation program, as part of their internal audit
				  program. If such permission is granted, the internal auditor will be required
				  to file annually, in the Department, a recapitulation of the results of his or
				  her confirmation program.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 7 - SAFE AND SOUND METHODS OF BANKING › Subchapter 3 - EXAMINATION OF BANKS AND SAVINGS BANKS UNDER DIRECTION OF BOARD OF DIRECTORS, BOARD OF MANAGERS OR BOARD OF TRUSTEES › Section 3:7-3.6 - Provision for sampling

Current through Register Vol. 56, No. 14, July 15, 2024
Selection of accounts by random sampling, specific selection
				  or any other form of statistical sampling is permitted to provide the proper
				  latitude in achieving a satisfactory confirmation level.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 7 - SAFE AND SOUND METHODS OF BANKING › Subchapter 3 - EXAMINATION OF BANKS AND SAVINGS BANKS UNDER DIRECTION OF BOARD OF DIRECTORS, BOARD OF MANAGERS OR BOARD OF TRUSTEES › Section 3:7-3.7 - Review of internal controls and audit program

Current through Register Vol. 56, No. 14, July 15, 2024
(a) The public
				accountant or other approved person shall perform the minimum audit program
				outlined below unless the scope of the internal auditor's program encompasses
				said minimum audit program and the internal auditor has complied with the
				program. The public accountant or approved person shall make such documentation
				tests of the internal audit program as he or she deems necessary to determine
				that it encompasses the minimum audit program and that the internal auditor has
				complied with the program.
(b) The
				public accountant or other approved person shall indicate in his or her report
				the portions of the minimum audit program wherein deficiencies were noted and
				action taken to satisfy minimum standards.
(c) In addition, the public accountant or
				other approved person shall review the scope, frequency of performance and
				testing done under the internal audit program of the bank to determine if they
				are considered adequate for the institution under examination. If the internal
				audit program is deemed inadequate, he or she shall make suggestions for
				expansion and shall indicate in his or her report any conditions disclosed in
				the review which are deemed to reflect a material weakness in internal controls
				and offer any suggestions believed to strengthen them.
(d) The public accountant or other person
				shall determine the extent of confirmations that in his or her judgment are
				necessary pursuant to
				3:7-3.3 to achieve a satisfactory
				confirmation level. The report shall clearly disclose the number and dollar
				amount and percent of accounts confirmed. The report shall also disclose the
				type of confirmation used (that is, positive or negative) and the basis used to
				select accounts for confirmation. If statistical sampling is used as the basis
				for selecting accounts, the report must also disclose the method used and the
				confidence level achieved.
(e) If
				the internal auditor has been granted permission to perform the confirmation
				program, the public accountant or other approved person shall annually review
				the program and results to determine that the requirements in (d) above have
				been satisfactorily met and shall so note in his or her report. If the
				confirmation program performed by the internal auditor is deemed to be
				insufficient, it shall be the responsibility of the public accountant or other
				approved person to perform additional confirmations to satisfy the provisions
				of (d) above.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 7 - SAFE AND SOUND METHODS OF BANKING › Subchapter 3 - EXAMINATION OF BANKS AND SAVINGS BANKS UNDER DIRECTION OF BOARD OF DIRECTORS, BOARD OF MANAGERS OR BOARD OF TRUSTEES › Section 3:7-3.8 - Performance frequency of examination scope

Current through Register Vol. 56, No. 14, July 15, 2024
The frequency of performance or testing as it relates to the
				  various phases of the minimum audit program hereafter outlined shall be
				  determined by the internal auditor if performed by him or her, the public
				  accountant or other approved person, and scope, performance frequency or
				  testing adopted shall be approved by the board of directors.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 7 - SAFE AND SOUND METHODS OF BANKING › Subchapter 3 - EXAMINATION OF BANKS AND SAVINGS BANKS UNDER DIRECTION OF BOARD OF DIRECTORS, BOARD OF MANAGERS OR BOARD OF TRUSTEES › Section 3:7-3.9 - Audit program

Current through Register Vol. 56, No. 14, July 15, 2024
(a) The minimum
				audit scope to be performed in banks includes the following:
1. Cash, cash items and due from banks:
i. Cash shall be counted and reconciled with
				the general ledger control;
ii.
				Cash items shall be inspected, checked for propriety, reconciled to general
				ledger control and clearance of larger items shall be checked;
iii. Clearings and exchanges shall be
				confirmed. Large items shall be followed to disposition;
iv. Obtain direct confirmation of account
				balances with other banks; reconcile confirmed balance with general ledger
				controls, and check authenticity and disposition of reconciling
				items.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 7 - SAFE AND SOUND METHODS OF BANKING › Subchapter 3 - EXAMINATION OF BANKS AND SAVINGS BANKS UNDER DIRECTION OF BOARD OF DIRECTORS, BOARD OF MANAGERS OR BOARD OF TRUSTEES › Section 3:7-3.10 - Substitute examination

Current through Register Vol. 56, No. 14, July 15, 2024
A bank that undergoes a financial statement audit and
				  submits a copy of the report of such audit to the Department may do so in lieu
				  of undergoing a directors' examination and submitting the report as required by
				  3:7-3.3 to 3.9.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 7 - SAFE AND SOUND METHODS OF BANKING › Subchapter 5 - STATEMENT OF INTEREST OF DIRECTORS OF BANKS, TRUSTEES OR MANAGERS OF SAVINGS BANKS AND STATE ASSOCIATIONS AND EXECUTIVE OFFICERS OF BANKS, SAVINGS BANKS AND STATE ASSOCIATIONS › Section 3:7-5.2 - Filing a statement of interest

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Every director
				or executive officer of a bank shall, on forms furnished by the Commissioner,
				complete and file a statement of interest with the designated bank within 30
				days after the effective date of this regulation or within 30 days after
				becoming a director or executive officer of the designated bank. The statement
				of interest shall include the following information:
1. Name of the designated bank;
2. Name of the reporting person;
3. Title or position of the reporting person
				with the designated bank;
4. Name
				and address of the business enterprise in which the reporting person has an
				interest.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 7 - SAFE AND SOUND METHODS OF BANKING › Subchapter 5 - STATEMENT OF INTEREST OF DIRECTORS OF BANKS, TRUSTEES OR MANAGERS OF SAVINGS BANKS AND STATE ASSOCIATIONS AND EXECUTIVE OFFICERS OF BANKS, SAVINGS BANKS AND STATE ASSOCIATIONS › Section 3:7-5.3 - Annual review of statement of interest

Current through Register Vol. 56, No. 14, July 15, 2024
Every reporting person shall review annually, within 30 days
				  after the annual meeting, the statement of interest he or she has on file with
				  the designated bank or State association to determine if this statement
				  reflects his or her current status and, if so, shall indicate same. If the
				  reporting person's current status is not reflected accurately, he or she shall
				  update the present statement of interest or complete and file a new statement
				  of interest.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 7 - SAFE AND SOUND METHODS OF BANKING › Subchapter 5 - STATEMENT OF INTEREST OF DIRECTORS OF BANKS, TRUSTEES OR MANAGERS OF SAVINGS BANKS AND STATE ASSOCIATIONS AND EXECUTIVE OFFICERS OF BANKS, SAVINGS BANKS AND STATE ASSOCIATIONS › Section 3:7-5.4 - Location and retention of statements of interest

Current through Register Vol. 56, No. 14, July 15, 2024
(a) All statement
				of interest forms shall be maintained at the principal office or at such other
				office as may be designated by the board of directors. Statement of interest
				forms which have been superseded by new or corrected forms shall be retained
				with the new statement of interest forms for a period of two years.
(b) If any director or executive officer of a
				designated bank ceases to serve in that capacity, the bank shall retain for a
				period of two years the current statement of interest forms on file with the
				designated bank.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 7 - SAFE AND SOUND METHODS OF BANKING › Subchapter 5 - STATEMENT OF INTEREST OF DIRECTORS OF BANKS, TRUSTEES OR MANAGERS OF SAVINGS BANKS AND STATE ASSOCIATIONS AND EXECUTIVE OFFICERS OF BANKS, SAVINGS BANKS AND STATE ASSOCIATIONS › Section 3:7-5.5 - Access to statement of interest forms

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Each completed
				and filed statement of interest form shall be maintained for review by the
				State and Federal bank examiners and the following persons associated with the
				designated bank: directors, senior loan officers, the bank's designated auditor
				and the bank's designated public accounting firm.
(b) Nothing contained in this regulation
				shall be construed to prevent a bank from adopting reasonable procedures
				governing the manner in which persons associated with the bank and entitled
				under this regulation to review statement of interest forms to obtain access to
				such forms or copies thereof.
(c)
				Nothing contained in this regulation shall be construed to prevent a bank from
				permitting persons, other than those required by this regulation, access to
				statement of interest forms.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 7 - SAFE AND SOUND METHODS OF BANKING › Subchapter 5 - STATEMENT OF INTEREST OF DIRECTORS OF BANKS, TRUSTEES OR MANAGERS OF SAVINGS BANKS AND STATE ASSOCIATIONS AND EXECUTIVE OFFICERS OF BANKS, SAVINGS BANKS AND STATE ASSOCIATIONS › Section 3:7-5.6 - Confidentiality of statement of interest

Current through Register Vol. 56, No. 14, July 15, 2024
Pursuant to
				  17:9A-264, statement of interest
				  forms filed with a designated bank shall be confidential.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 8 - RESERVES AND RESERVE DEPOSITARIES › Subchapter 1 - APPROVAL OF RESERVE DEPOSITARIES › Section 3:8-1.1 - Reserve depositaries approved for nonmember banks of Federal Reserve System

Current through Register Vol. 56, No. 14, July 15, 2024
(a) The following
				are reserve depositaries approved for banks not members of the Federal Reserve
				System:
1. Banks and national banking
				associations with offices in New Jersey that have total assets in excess of $
				100 million; and
2. Banks and
				national banking associations with no offices in New Jersey, but with offices
				within the second and third Federal Reserve Districts, and that have total
				assets in excess of $ 300 million.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 8 - RESERVES AND RESERVE DEPOSITARIES › Subchapter 2 - APPROVED AS RESERVE DEPOSITARIES FOR SAVINGS BANKS › Section 3:8-2.1 - General approval

Current through Register Vol. 56, No. 14, July 15, 2024
For the purposes of
				  17:9A-187, "reserve depositary"
				  shall have the meaning of that term as set forth in
				  17:9A-49 and in
				  3:8-1.1, the rule implementing that
				  section.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 10 - MORTGAGES › Subchapter 5 - CHARGE FOR SUBSTITUTION OF POLICIES › Section 3:10-5.1 - Maximum charge

Current through Register Vol. 56, No. 14, July 15, 2024
No lender or other legal entity servicing mortgages shall
				  make any charge in excess of $ 5.00 for the substitution in midterm by the
				  mortgagor of an insurance policy or policies.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 10 - MORTGAGES › Subchapter 8 - APPRAISAL VALUE RELAXED FOR CERTAIN LOANS › Section 3:10-8.1 - Appraisal ratio relaxed for certain loans

Current through Register Vol. 56, No. 14, July 15, 2024
(a) A bank or
				savings bank may originate or acquire mortgage loans up to 100 percent of the
				appraised value of the property, provided that:
1. The applicant has insufficient resources
				to make a downpayment of 10 percent or more;
2. The loan does not exceed the lending
				limits for FHA loans by county (published at
http://www.fha.com
);
3. The aggregate amount of loans originated
				or acquired pursuant to this section shall not exceed five percent of the
				capital funds of the bank or savings bank as defined in
				17:9A-60 without prior approval of
				the Commissioner; and
4. One or
				more of the following conditions are met:
i.
				The mortgage loan is made to an individual or family of low or moderate income,
				as defined by
				12 U.S.C. §
												2901, who will occupy the property as a
				primary residence;
ii. The mortgage
				loan is made to a first-time homebuyer who will occupy the property as a
				primary residence;
iii. The
				mortgage loan is made to an individual or family who currently resides, or who
				will reside, in a low or moderate income census tract as defined by
				12 U.S.C. §
												2901, and who will occupy the property to be
				mortgaged as a primary residence; or
iv. The mortgage loan is made to an
				individual or family who is seeking a loan in connection with any State or
				Federal agency affordable housing construction, purchase or refinancing
				program.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 10 - MORTGAGES › Subchapter 9 - REPORTING REQUIREMENTS ON MORTGAGE FORECLOSURE ACTIONS › Section 3:10-9.1 - Purpose and scope

Current through Register Vol. 56, No. 14, July 15, 2024
(a) The purpose of
				this subchapter is to implement the requirements imposed by
				46:10B-49 regarding the reporting
				to and publication by the Department of information on the number of
				residential mortgage foreclosure proceedings instituted by creditors in each
				county of this State and on the types of residential mortgages sought to be
				foreclosed upon in such actions.
(b) This subchapter shall pertain to all
				creditors who file a mortgage foreclosure action in this State.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 10 - MORTGAGES › Subchapter 9 - REPORTING REQUIREMENTS ON MORTGAGE FORECLOSURE ACTIONS › Section 3:10-9.2 - Definitions

Current through Register Vol. 56, No. 14, July 15, 2024
The following words and terms shall have the following
				  meaning for purposes of this subchapter:
"Adjustable rate mortgage" means a mortgage loan that does
				  not have a fixed interest rate or on some other basis. During the life of the
				  loan, the interest rate will change based on a specified index rate or on some
				  other basis. Also known as adjustable mortgage loans or variable rate
				  mortgages.
"Conforming mortgage" means a mortgage with a loan amount
				  that does not exceed the loan limits set by the Federal National Mortgage
				  Association (Fannie Mae) or the Federal Home Loan Mortgage Corporation (Freddie
				  Mac) or their successors.
"Creditor" means a mortgagee or an agent or assignee of a
				  mortgagee, such as the servicer, who has filed a complaint in the Superior
				  Court of New Jersey seeking to foreclose upon a residential mortgage.
"FHA mortgage" means a mortgage insured by the Federal
				  Housing Administration.
"FICO score" means a borrower's credit score calculated using
				  methodology developed by Fair Isaac Corporation.
"Fixed rate mortgage" means a mortgage with payments that
				  remain the same throughout the life of the loan because the interest rate and
				  other terms are fixed and do not change.
"Interest only mortgage" means a mortgage where the borrower
				  has the option of paying only the interest for a limited period of time.
"Mortgage foreclosure proceeding instituted" means the filing
				  of a complaint in the Superior Court of New Jersey seeking to foreclosure upon
				  a residential mortgage.
"Nonconforming mortgage" means a mortgage with a loan amount
				  that exceeds the loan limits set by the Federal National Mortgage Association
				  (Fannie Mae) or the Federal Home Loan Mortgage Corporation (Freddie Mac), or
				  their successors.
"Prime market rate mortgage" means a residential mortgage
				  given to a borrower with a FICO score of 660 or more.
"Reporting quarter" means the calendar quarter immediately
				  prior to the month in which the data is being inputted in accordance with this
				  subchapter.
"Residential mortgage" means a mortgage in which the security
				  is an owner occupied residential property of not more than four dwelling units
				  as defined by
				  2A:50-55.
"Servicer" means a business that collects mortgage payments
				  from borrowers and manages the borrower's escrow accounts.
"Subprime market rate mortgage" means a residential mortgage
				  given to a borrower with a FICO score of less than 660.
"USDA Rural Development Loan" means a mortgage insured by
				  Rural Development Office of the United States Department of Agriculture.
"VA mortgage" means a mortgage insured by the Veteran's
				  Administration.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 10 - MORTGAGES › Subchapter 9 - REPORTING REQUIREMENTS ON MORTGAGE FORECLOSURE ACTIONS › Section 3:10-9.3 - Reporting requirements

Current through Register Vol. 56, No. 14, July 15, 2024
(a) With the
				exception of the first report to be filed by creditors subsequent to the
				adoption of this subchapter, which shall relate to mortgage foreclosure actions
				instituted during the third calendar quarter of 2009 and shall be filed by
				December 31, 2009, within 30 days of the end of each calendar quarter, each
				creditor shall file electronically on a form prescribed by the Commissioner, a
				report containing information pertaining to the number of residential mortgage
				foreclosure actions instituted by that creditor in the aforementioned
				quarter.
(b) Such reports shall
				include the following information:
1. The name
				of the servicer or the name of the mortgagee if there is no servicer;
2. The name of the individual submitting the
				data;
3. The total number of
				residential mortgages upon which a mortgage foreclosure proceeding was
				instituted by the creditor in the State of New Jersey during the reporting
				calendar quarter;
4. The total
				number of residential mortgages on which a mortgage foreclosure proceeding was
				instituted during the reporting calendar quarter in each municipality in which
				a property being foreclosed upon is situated;
5. The following information with respect to
				the residential mortgages on which foreclosure actions were instituted on
				properties situated in the respective municipalities referenced in (b)3 above:
i. The number of such mortgages executed in
				the respective years prior to the filing of the report, with a general category
				to capture the oldest mortgages reported upon, for example "mortgages executed
				prior to 2002";
ii. The number of
				such mortgages that were fixed rate mortgages;
iii. The number of such mortgages that were
				adjustable rate mortgages;
iv. The
				number of such mortgages that were conforming mortgages;
v. The number of such mortgages that were
				nonconforming mortgages;
vi. The
				number of such mortgages that were VA mortgages;
vii. The number of such mortgages that were
				FHA mortgages;
viii. The number of
				such mortgages that were USDA Rural Development Loans;
ix. The number of such mortgages that were
				prime rate mortgages;
x. The number
				of such mortgages that were subprime rate mortgages; and
xi. The number of such mortgages that were
				interest only mortgages; and
6. A mortgage shall be reported for every
				pertinent category.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 10 - MORTGAGES › Subchapter 9 - REPORTING REQUIREMENTS ON MORTGAGE FORECLOSURE ACTIONS › Section 3:10-9.4 - Retention requirements

Current through Register Vol. 56, No. 14, July 15, 2024
(a) All creditors
				shall retain copies of the information they report to the Department as set
				forth in 3:10-9.3 for at least three years
				from the date reported.
(b) The
				Commissioner may, during the aforesaid retention period, request the production
				of a readable copy of the reported information for audit purposes.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 11 - INVESTMENTS › Subchapter 1 - LOAN AND INVESTMENT APPROVAL › Section 3:11-1.1 - Approval to exceed 15 percent limitation

Current through Register Vol. 56, No. 14, July 15, 2024
(a) The following
				are persons which may become liable to a bank or obligations in which a bank
				may invest in an unlimited amount subject only to the exercise of prudent
				banking judgment.
1. General obligations of
				any State of the United States or any political subdivision thereof.
2. Such other individual obligations as the
				Commissioner may from time to time prescribe. A list of these individual
				obligations shall be kept on file in the office of the Commissioner.
i. Following is the current listing of
				obligations approved by the Commissioner pursuant to the provisions of this
				paragraph:
(1) Banks for
				Cooperatives;
(2) Commodity Credit
				Corporation;
(3) Export-Import Bank
				(Participation Certificates or Debentures);
(4) Farmers Home Administration;
(5) Federal Farm Credit Banks Consolidated
				Systemwide Bonds and Discount Notes;
(6) Federal Home Loan Bank System;
(7) Federal Intermediate Credit
				Banks;
(8) Federal Land
				Bank;
(9) Federal National Mortgage
				Association;
(10) Government
				National Mortgage Association;
(11)
				New Jersey Health Care Facilities Financing Authority (provided that no more
				than 15 percent may be invested in one obligor (individual hospital) which is
				responsible for the payment of the particular issue);
(12) New Jersey Economic Development
				Authority (provided that no more than 15 percent may be invested in bonds
				issued on behalf of one person. Such bonds, exclusive of any portion that may
				be guaranteed by the Authority, will be aggregated with any other obligations
				of that person at the bank for determining the 15 percent limitation. The
				obligations should be classified as loans and will be reported as such in the
				Department's examination report).
New Jersey Administrative Code › Title 3 - BANKING › Chapter 11 - INVESTMENTS › Subchapter 1 - LOAN AND INVESTMENT APPROVAL › Section 3:11-1.2 - Definitions

Current through Register Vol. 56, No. 14, July 15, 2024
The following words and terms, when used in this subchapter,
				  shall have the following meanings unless the context clearly indicates
				  otherwise.
"Bank" means a bank as defined in
				  17:9A-1(1), a
				  savings bank as defined in
				  17:9A-1(13)  and
				  a State association as defined in
				  17:12B-5(1).
"Commissioner" means the Commissioner of the Department of
				  Banking and Insurance.
"Department" means the Department of Banking and
				  Insurance.
"General obligation of any state or any political subdivision
				  thereof" means an obligation supported by the full faith and credit of an
				  obligor possessing general powers of taxation, including property taxation. It
				  includes an obligation payable from a special fund or by an obligor possessing
				  general powers of taxation when an obligor possessing general powers of
				  taxation, including property taxation, has unconditionally promised to make
				  payments into the fund or otherwise available for the payment of the obligation
				  of amounts which (together with any other funds available for the purpose) will
				  be sufficient to provide for all required payments in connection with the
				  obligation.
"Political subdivision of any state" means a county, city,
				  town or other municipal corporation, a public authority, and generally and
				  publicly owned entity which is an instrumentality of the state or of a
				  municipal corporation.