N.M. Admin. Code § 12.16.69.8

Current through Register Vol. 35, No. 21, November 5, 2024

Section 12.16.69.8 - BANK SERVICE CORPORATIONS

A. New Mexico state banks may invest and participate in bank service corporations under the Bank Service Corporation Act and subject to its provisions.

B. Requests for approval:

(1) No regulatory approval is required for a New Mexico state bank to invest in a bank service corporation that will perform only the services described in 12 U.S.C. Section 1863.

(2) New Mexico state banks shall apply for the approval of the director of the financial institutions division prior to investing in a bank service corporation that will perform services other than those described in 12 U.S.C. Section 1863. The application shall include a business plan for the proposed organization, with form and content acceptable to the director.

C. Each bank service corporation in which a New Mexico state bank is the principal bank investor shall be subject to examination and supervision by the director of the financial institutions division to the same extent as the investing bank, and shall be assessed a fee determined by the director to cover the costs of examination.

N.M. Admin. Code § 12.16.69.8

11/15/96; Recompiled 10/15/01