12 U.S.C. § 1867 | Regulation and examination of bank service companies

(a)

Principal investor

A bank service company shall be subject to examination and regulation by the appropriate Federal banking agency of its principal investor to the same extent as its principal investor. The appropriate Federal banking agency of the principal shareholder or principal member of such a bank service company may authorize any other Federal banking agency that supervises any other shareholder or member of the bank service company to make such an examination.

(b)

section 1818 of this title Applicability of

section 1818 of this titleA bank service company shall be subject to the provisions of as if the bank service company were an insured depository institution. For this purpose, the appropriate Federal banking agency shall be the appropriate Federal banking agency of the principal investor of the bank service company.

(c)

Services performed by contract or otherwise

Notwithstanding subsection (a) of this section, whenever a depository institution that is regularly examined by an appropriate Federal banking agency, or any subsidiary or affiliate of such a depository institution that is subject to examination by that agency, causes to be performed for itself, by contract or otherwise, any services authorized under this chapter, whether on or off its premises—

(1)

such performance shall be subject to regulation and examination by such agency to the same extent as if such services were being performed by the depository institution itself on its own premises, and

(2)

the depository institution shall notify each such agency of the existence of the service relationship within thirty days after the making of such service contract or the performance of the service, whichever occurs first.

(d)

Issuance of regulations and orders

The Board and the appropriate Federal banking agencies are authorized to issue such regulations and orders as may be necessary to enable them to administer and to carry out the purposes of this chapter and to prevent evasions thereof.

Pub. L. 87–856, § 7Oct. 23, 1962Pub. L. 97–320, title VII, § 709Oct. 15, 198296 Stat. 1543 Pub. L. 97–457, § 32(b)(1)Jan. 12, 198396 Stat. 2511 Pub. L. 104–208, div. A, title II, § 2613(h)Sept. 30, 1996110 Stat. 3009–478 Pub. L. 109–351, title VI, § 602(b)(5)Oct. 13, 2006120 Stat. 1980 Pub. L. 111–203, title III, § 357(3)July 21, 2010124 Stat. 1548(, , as added , , ; amended , , ; , , ; , , ; , , .)

Editorial Notes

Amendments

Pub. L. 111–2032010—Subsec. (c)(2). inserted “each” after “notify”.

Pub. L. 109–351, § 602(b)(5)(A)2006—Subsec. (b). , substituted “insured depository institution” for “insured bank”.

Pub. L. 109–351, § 602(b)(5)(B)Subsec. (c). , substituted “a depository institution” for “a bank” in two places in introductory provisions and “the depository institution” for “the bank” in pars. (1) and (2).

Pub. L. 104–208, § 2613(h)(3)1996—, substituted “companies” for “corporations” in section catchline.

Pub. L. 104–208, § 2613(h)(1)Subsec. (a). , (2), substituted “company” for “corporation” wherever appearing and inserted “or principal member” after “principal shareholder” and “or member” after “other shareholder”.

Pub. L. 104–208, § 2613(h)(1)Subsec. (b). , substituted “company” for “corporation” wherever appearing.

Pub. L. 97–457 section 1818 of this title 12 U.S.C. 1818(b)1983—Subsec. (b). substituted reference to for reference to the Financial Institutions Supervisory Act of 1966 ( et seq.).

Statutory Notes and Related Subsidiaries

Effective Date of 2010 Amendment

Pub. L. 111–203 section 351 of Pub. L. 111–203 section 906 of Title 2Amendment by effective on the transfer date, see , set out as a note under , The Congress.