Title 12 — Banks and Banking
Chapter 18 — Bank Service Companies
§ 1867. Regulation and examination of bank service companies
Statutory text
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.
Applicability of section 1818 of this title
A bank service company shall be subject to the provisions of section 1818 of this title 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.
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—
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
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.
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.
Legislative history
Reconstructed from this section’s Code source credit and amendment notes, resolved against the local Statutes at Large. Editorial notes are evidence, not the law that made the change.
Pub. L. 87–856 § 7 · 76 Stat. 1132
Enacted · 12 U.S.C. § 1867
Pub. L. 87–856, § 7, Oct. 23, 1962, as added Pub. L. 97–320, title VII, § 709, Oct. 15, 1982, 96 Stat. 1543
Source evidence
Code source credit
Pub. L. 87–856, § 7, Oct. 23, 1962, as added Pub. L. 97–320, title VII, § 709, Oct. 15, 1982, 96 Stat. 1543Pub. L. 97–457 § 32(b)(1) · 96 Stat. 2507
Substituted · 12 U.S.C. § 1867(b)
Pub. L. 97–457 substituted reference to section 1818 of this title for reference to the Financial Institutions Supervisory Act of 1966 (12 U.S.C. 1818(b) et seq.)
Source evidence
Code amendment note
Subsec. (b). Pub. L. 97–457 substituted reference to section 1818 of this title for reference to the Financial Institutions Supervisory Act of 1966 (12 U.S.C. 1818(b) et seq.).Enacted provision · exact public law section
(1) by striking out “the Financial Institutions Supervisory Act of 1966 (12 U.S.C. 1818(b) et seq.)” in section 7(b) and inserting in lieu thereof the following: “section 8 of the Federal Deposit Insurance Act (12 U.S.C. 1818)”; andDepartment of Commerce and Related Agencies Appropriations Act, 1997
Pub. L. 104–208 § 2613(h)(3) · 110 Stat. 3009
Substituted · 12 U.S.C. § 1867
Pub. L. 104–208, § 2613(h)(3), substituted “companies” for “corporations” in section catchline
Source evidence
Code amendment note
Pub. L. 104–208, § 2613(h)(3), substituted “companies” for “corporations” in section catchline.Enacted provision · exact public law section
(3) in the heading for such section, by striking “corporations” and inserting “companies”.Department of Commerce and Related Agencies Appropriations Act, 1997
Pub. L. 104–208 § 2613(h)(1) · 110 Stat. 3009
Substituted · 12 U.S.C. § 1867(a)
Pub. L. 104–208, § 2613(h)(1), (2), substituted “company” for “corporation” wherever appearing
Inserted · 12 U.S.C. § 1867(a)
Pub. L. 104–208, § 2613(h)(1), (2), inserted “or principal member” after “principal shareholder” and “or member” after “other shareholder”
Source evidence
Code amendment note
Subsec. (a). Pub. L. 104–208, § 2613(h)(1), (2), substituted “company” for “corporation” wherever appearing and inserted “or principal member” after “principal shareholder” and “or member” after “other shareholder”.Enacted provision · exact public law section
(1) by striking “corporation” each place such term appears and inserting “company”;Department of Commerce and Related Agencies Appropriations Act, 1997
Pub. L. 104–208 § 2613(h)(1) · 110 Stat. 3009
Substituted · 12 U.S.C. § 1867(b)
Pub. L. 104–208, § 2613(h)(1), substituted “company” for “corporation” wherever appearing
Source evidence
Code amendment note
Subsec. (b). Pub. L. 104–208, § 2613(h)(1), substituted “company” for “corporation” wherever appearing.Enacted provision · exact public law section
(1) by striking “corporation” each place such term appears and inserting “company”;Pub. L. 109–351 § 602(b)(5)(A) · 120 Stat. 1966
Substituted · 12 U.S.C. § 1867(b)
Pub. L. 109–351, § 602(b)(5)(A), substituted “insured depository institution” for “insured bank”
Source evidence
Code amendment note
Subsec. (b). Pub. L. 109–351, § 602(b)(5)(A), substituted “insured depository institution” for “insured bank”.Enacted provision · exact public law section
(A) in subsection (b), by striking “insured bank” and inserting “insured depository institution”; andPub. L. 109–351 § 602(b)(5)(B) · 120 Stat. 1966
Substituted · 12 U.S.C. § 1867(c)
Pub. L. 109–351, § 602(b)(5)(B), substituted “a depository institution” for “a bank” in pars. (1) and (2)
Substituted · 12 U.S.C. § 1867(c)
Pub. L. 109–351, § 602(b)(5)(B), substituted “the depository institution” for “the bank” in pars. (1) and (2)
Source evidence
Code amendment note
Subsec. (c). Pub. L. 109–351, § 602(b)(5)(B), 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).Enacted provision · exact public law section
(B) in subsection (c)— (i) by striking “a bank” each place that term appears and inserting “a depository institution”; and (ii) by striking “the bank” each place that term appears and inserting “the depository institution”.Enhancing Financial Institution Safety and Soundness Act of 2010
Pub. L. 111–203 title III § 357(3) · 124 Stat. 1376
Inserted · 12 U.S.C. § 1867(c)(2)
Pub. L. 111–203 inserted “each” after “notify”
Source evidence
Code amendment note
Subsec. (c)(2). Pub. L. 111–203 inserted “each” after “notify”.Enacted provision · exact public law section
(3) in section 7(c)(2) (12 U.S.C. 1867(c)(2)), by inserting “each” after “notify”.Effective date note
Amendment by Pub. L. 111–203 effective on the transfer date, see section 351 of Pub. L. 111–203, set out as a note under section 906 of Title 2, The Congress.
9 of 10 references resolved to an enrolled provision · 1 partial
Editorial Notes
Amendments1983–2010 · 4 rounds
2010
Subsec. (c)(2). Pub. L. 111–203 inserted “each” after “notify”.
2006
Subsec. (b). Pub. L. 109–351, § 602(b)(5)(A), substituted “insured depository institution” for “insured bank”.
Subsec. (c). Pub. L. 109–351, § 602(b)(5)(B), 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).
1996
Pub. L. 104–208, § 2613(h)(3), substituted “companies” for “corporations” in section catchline.
Subsec. (a). Pub. L. 104–208, § 2613(h)(1), (2), substituted “company” for “corporation” wherever appearing and inserted “or principal member” after “principal shareholder” and “or member” after “other shareholder”.
Subsec. (b). Pub. L. 104–208, § 2613(h)(1), substituted “company” for “corporation” wherever appearing.
1983
Subsec. (b). Pub. L. 97–457 substituted reference to section 1818 of this title for reference to the Financial Institutions Supervisory Act of 1966 (12 U.S.C. 1818(b) et seq.).
Statutory Notes and Related Subsidiaries
Effective Date of 2010 Amendment
Amendment by Pub. L. 111–203 effective on the transfer date, see section 351 of Pub. L. 111–203, set out as a note under section 906 of Title 2, The Congress.
Credits
1962–2010 · 5 acts
- 1962Pub. L. 87–856, § 7, , as added Pub. L. 97–320, title VII, § 709, , 96 Stat. 1543
- 1983amended Pub. L. 97–457, § 32(b)(1), , 96 Stat. 2511
- 1996Pub. L. 104–208, div. A, title II, § 2613(h), , 110 Stat. 3009–478
- 2006Pub. L. 109–351, title VI, § 602(b)(5), , 120 Stat. 1980
- 2010Pub. L. 111–203, title III, § 357(3), , 124 Stat. 1548.
Show as published
(Pub. L. 87–856, § 7, , as added Pub. L. 97–320, title VII, § 709, , 96 Stat. 1543; amended Pub. L. 97–457, § 32(b)(1), , 96 Stat. 2511; Pub. L. 104–208, div. A, title II, § 2613(h), , 110 Stat. 3009–478; Pub. L. 109–351, title VI, § 602(b)(5), , 120 Stat. 1980; Pub. L. 111–203, title III, § 357(3), , 124 Stat. 1548.)