North Carolina General Statutes Chapter 54B Savings and Loan Associations

Article 1 - General Provisions.

N.C. Gen. Stat. § 54B-1. Title
This Chapter shall be known and may be cited as "Savings and Loan Associations." (1981, c. 282, s. 3.)
N.C. Gen. Stat. § 54B-2. Purpose
The purpose of this Chapter is: (1) To provide for the safe and sound conduct of the business of savings and loan associations, the...
N.C. Gen. Stat. § 54B-3. Applicability of Chapter
The provisions of this Chapter, unless the context otherwise specifies, shall apply to all State associations. (1981, c. 282, s. 3.)
N.C. Gen. Stat. § 54B-4. Definitions and application of terms
(a) The terms "building and loan association" and "savings and loan association" when used in the General Statutes, shall mean an association and shall...

Article 2 - Incorporation and Organization.

N.C. Gen. Stat. § 54B-5. Severability
If any section or subsection of this Chapter, or the application thereof to any person is held invalid, the remaining sections or subsections of...
N.C. Gen. Stat. § 54B-6. Hearings
Any hearing required to be held by this Chapter shall be conducted in accordance with the applicable provisions of Article 3 of Chapter 150B...
N.C. Gen. Stat. § 54B-7. Application of Chapter on business corporations
All the provisions of law relating to private corporations, and particularly those enumerated in Chapter 55, of the General Statutes, entitled "North Carolina Business...
N.C. Gen. Stat. § 54B-8. Scope and prohibitions; existing charters; injunctions
(a) Nothing in this Chapter shall be construed to invalidate any charter that was valid prior to the enactment of this Chapter. All such...
N.C. Gen. Stat. § 54B-9. Application to organize a savings and loan association
(a) It shall be lawful for any five or more natural persons (hereinafter referred to as the "incorporators"), who are domiciled in this State,...
N.C. Gen. Stat. § 54B-10. Certificate of incorporation
(a) The certificate of incorporation of a proposed mutual savings and loan association shall set forth: (1) The name of the association, which must...
N.C. Gen. Stat. § 54B-11. Commissioner of Banks to consider application
Upon receipt of an application to organize and establish a savings and loan association, the Commissioner of Banks shall examine or cause to be...
N.C. Gen. Stat. § 54B-12. Criteria to be met before the Commissioner of Banks may recommend approval of an application
(a) The Commissioner of Banks may recommend approval of an application to form a mutual association only when all of the following criteria are...
N.C. Gen. Stat. § 54B-13. State Banking Commission to review findings and recommendations of Commissioner of Banks
(a) If the Commissioner of Banks does not have the completed application within 120 days of the filing of the preliminary application, the application...
N.C. Gen. Stat. § 54B-14. Grounds for approval or denial of application
(a) After consideration of the findings and recommendation of the Commissioner of Banks and his oral testimony, if any, and the consideration of such...
N.C. Gen. Stat. § 54B-15. Final decision
The Commission shall present the Commissioner of Banks with a final decision which shall be in accordance with the applicable provisions of Chapter 150B...
N.C. Gen. Stat. § 54B-16. Appeal
The final decision of the Commission may be appealed in accordance with Chapter 150B of the General Statutes. (1981, c. 282, s. 3; 1987,...
N.C. Gen. Stat. § 54B-17. Insurance of accounts required
All State associations must obtain and maintain insurance on all members' and customers' withdrawable accounts. Contracts for such insurance may be made only with...
N.C. Gen. Stat. § 54B-18. Time allowed to commence business
A newly chartered association shall commence business within six months after the date upon which its corporate existence shall have begun. An association which...
N.C. Gen. Stat. § 54B-19. Licensing
A newly chartered association shall be entitled to a license to operate upon payment to the Division of the appropriate license fee as prescribed...
N.C. Gen. Stat. § 54B-20. Amendments to certificate of incorporation
(a) Any addition, alteration or amendment to the certificate of incorporation of any State association shall be made at any annual or special meeting...
N.C. Gen. Stat. § 54B-21. List of stockholders to be maintained
Every stock association organized and operated under the provisions of this Chapter or its predecessor shall at all times cause to be kept an...
N.C. Gen. Stat. § 54B-22. Branch offices
(a) Any State association may apply to the Commissioner of Banks for permission to establish a branch office. The application shall be in such...
N.C. Gen. Stat. § 54B-23. Application to change location of a branch or principal office
(a) The board of directors of a State association may change the location of a branch office or the principal office of the association...
N.C. Gen. Stat. § 54B-24. Approval revoked; branch office
The Commission may, for good cause and after a hearing, order the closing of a branch office. Such order shall be made in writing...
N.C. Gen. Stat. § 54B-25. Branch offices closed
The board of a State association may discontinue the operation of a branch office upon giving at least 90 days' prior written notice to...
N.C. Gen. Stat. § 54B-26. Repealed by Session Laws 1991, c. 680, s. 3
N.C. Gen. Stat. § 54B-27 through 54B-29. Reserved for future codification purposes

Article 3 - Fundamental Changes.

N.C. Gen. Stat. § 54B-30. Conversion from State to federal association
Any State savings and loan association, stock or mutual, organized and operated under the provisions of this Chapter, may convert into a federal savings...
N.C. Gen. Stat. § 54B-31. Conversion from federal to State association
Any federal savings and loan association, stock or mutual, organized and existing under the laws and regulations of the United States and duly authorized...
N.C. Gen. Stat. § 54B-32. Simultaneous charter and ownership conversion
(a) In the event of a State charter to federal charter conversion, when the form of ownership will also simultaneously be changed from stock...
N.C. Gen. Stat. § 54B-33. Conversion of mutual to stock association
(a) Any mutual association may convert from mutual to the stock form of ownership as provided in this section. (b) A mutual association may...
N.C. Gen. Stat. § 54B-34. Conversion of stock associations to mutual associations
Any stock savings and loan association organized and operating under the provisions of this Chapter may, subject to the approval of the Commission, convert...
N.C. Gen. Stat. § 54B-34.1. Conversion to State association
(a) A savings bank or State or national bank, upon a majority vote of its board of directors, may apply to the Commissioner of...
N.C. Gen. Stat. § 54B-34.2. Conversion to bank
(a) A savings and loan association, upon a majority vote of its board of directors, may apply to the Commissioner of Banks for permission...
N.C. Gen. Stat. § 54B-35. Merger of like savings and loan associations
Any two or more mutual associations or any two or more stock associations organized and operating, may merge or consolidate into a single association...
N.C. Gen. Stat. § 54B-36. Merger of associations where ownership is converted
(a) Any two or more State mutual associations organized or operating may merge to form a single State stock association. The procedure to effect...
N.C. Gen. Stat. § 54B-37. Merger of mutual and stock associations
(a) Any State mutual association and any State stock association, organized or operating, may merge to form a single stock association. The procedure to...
N.C. Gen. Stat. § 54B-37.1. Simultaneous conversion/merger
(a) The Commissioner of Banks shall not approve any application for the conversion of an association from mutual to stock form and its simultaneous...
N.C. Gen. Stat. § 54B-38. Repealed by Session Laws 1985, c. 659, s. 8
N.C. Gen. Stat. § 54B-39. Merger of federal with State associations
(a) Any two or more associations, when one or more is a State association and one or more is a federal association operating in...
N.C. Gen. Stat. § 54B-40. Voluntary dissolution by directors
A State association may be voluntarily dissolved by a majority vote of the board of directors when substantially all of the assets have been...
N.C. Gen. Stat. § 54B-41. Voluntary dissolution by stockholders or members
At any annual or special meeting called for such purpose, an association may, by an affirmative vote in person or by proxy of at...
N.C. Gen. Stat. § 54B-42. Rules, regulations and reports of voluntary dissolution
(a) The Commissioner of Banks shall promulgate rules and regulations governing the dissolution and liquidation of State associations. These rules and regulations shall include,...
N.C. Gen. Stat. § 54B-43. Stock dividends
No dividend on stock shall be paid unless the association has the prior written approval of the Commissioner of Banks. (1981, c. 282, s....
N.C. Gen. Stat. § 54B-44. Supervisory mergers, consolidations, conversions, and combination mergers and conversions
(a) Notwithstanding any other provision of this Chapter, in order to protect the public, including members, depositors and stockholders of a State association, the...
N.C. Gen. Stat. § 54B-45. Interim associations
(a) Article 2 of this Chapter shall not apply to applications for permission to organize an interim State association so long as the application...
N.C. Gen. Stat. § 54B-46. Conversion of bank to stock association
(a) Any bank, as defined in G.S. 53C-1-4(4), may convert to a stock association as provided in this section. (b) Any bank, upon a...
N.C. Gen. Stat. § 54B-47. Merger of banks and associations
(a) Any State association, upon a majority vote of its board of directors, may apply to the Commissioner of Banks for permission to merge...
N.C. Gen. Stat. § 54B-48. Reserved for future codification purposes

Article 3A - North Carolina Regional Reciprocal Savings and Loan Acquisition Act.

N.C. Gen. Stat. § 54B-48.1. Title
This Article shall be known and may be cited as the North Carolina Regional Reciprocal Savings and Loan Acquisition Act. (1983 (Reg. Sess., 1984),...
N.C. Gen. Stat. § 54B-48.2. Definitions
Notwithstanding the provisions of G.S. 54B-4, as used in this Article, unless the context requires otherwise: (1) "Acquire", as applied to an association or...
N.C. Gen. Stat. § 54B-48.3. Acquisitions by Southern Region savings and loan holding companies and Southern Region associations
(a) A Southern Region savings and loan holding company or a Southern Region association that does not have a North Carolina association subsidiary (other...
N.C. Gen. Stat. § 54B-48.4. Exceptions
A North Carolina savings and loan holding company, a North Carolina association, a Southern Region savings and loan holding company, or a Southern Region...
N.C. Gen. Stat. § 54B-48.5. Prohibitions
(a) Except as may be expressly permitted by federal law, no savings and loan holding company that is not either a North Carolina savings...
N.C. Gen. Stat. § 54B-48.6. Applicable laws, rules and regulations
(a) Any North Carolina association that is controlled by a savings and loan holding company that is not a North Carolina savings and loan...
N.C. Gen. Stat. § 54B-48.7. Appeal of Commissioner of Banks' decision
Notwithstanding any other provision of law, any aggrieved party in a proceeding under G.S. 54B-48.3 or G.S. 54B-48.4(2) may, within 30 days after final...
N.C. Gen. Stat. § 54B-48.8. Periodic reports; interstate agreements
(a) The Commissioner of Banks may from time to time require reports under oath in such scope and detail as he may reasonably determine...
N.C. Gen. Stat. § 54B-48.9. Enforcement
The Commissioner of Banks shall have the power to enforce the provisions of this Article, including the divestiture requirement of G.S. 54B-48.5(b), through an...
N.C. Gen. Stat. § 54B-49 through 54B-51. Reserved for future codification purposes

Article 4 - Supervision and Regulation.

N.C. Gen. Stat. § 54B-52. Commissioner of Banks
The Commissioner of Banks of the State is hereby empowered and directed to perform all the duties and exercise all the powers as to...
N.C. Gen. Stat. § 54B-53. Repealed by Session Laws 2001-193, s. 3
N.C. Gen. Stat. § 54B-54. Deputy commissioner of Savings Institutions Division
There shall be a deputy commissioner of the Savings Institutions Division as appointed by the Commissioner in G.S. 53C-2-2. The deputy commissioner authorized by...
N.C. Gen. Stat. § 54B-55. Power of Commissioner of Banks to promulgate rules and regulations; reproduction of records
(a) The Commissioner of Banks shall have the right, and is empowered, to promulgate rules, instructions and regulations as may be necessary to the...
N.C. Gen. Stat. § 54B-56. Examinations by Commissioner of Banks; report
(a) If at any time the Commissioner of Banks deems it prudent, it shall be his duty to examine and investigate everything relating to...
N.C. Gen. Stat. § 54B-57. Supervision and examination fees
(a) Every State association, including associations in process of voluntary liquidation or savings and loan holding company, shall pay into the office of the...
N.C. Gen. Stat. § 54B-58. Prolonged audit, examination or revaluation; payment of costs
(a) If, in the opinion of the Commissioner of Banks, an examination conducted under the provisions of G.S. 54B-57 fails to disclose the complete...
N.C. Gen. Stat. § 54B-59. Cease and desist orders
(a) If any person or association is engaging in, or has engaged in, any unsafe or unsound practice or unfair and discriminatory practice in...
N.C. Gen. Stat. § 54B-60. Commissioner of Banks to have right of access to books and records of association; right to issue subpoenas, administer oaths, examine witnesses
(a) The Commissioner of Banks and his agents: (1) Shall have free access to all books and records of an association, or a service...
N.C. Gen. Stat. § 54B-61. Test appraisals of collateral for loans; expense paid
(a) The Commissioner of Banks may direct the making of test appraisals of real estate and other collateral securing loans made by associations doing...
N.C. Gen. Stat. § 54B-62. Relationship of savings and loan associations with the Savings Institutions Division
(a) Except as provided by subsection (b) of this section, a savings and loan association or any director, officer, employee, or representative thereof shall...
N.C. Gen. Stat. § 54B-63. Confidential information
(a) The following records or information of the Commission, the Commissioner of Banks or the agent(s) of either shall be confidential and shall not...
N.C. Gen. Stat. § 54B-63.1. Confidential records
(a) As used in this section: (1) "Compliance review committee" means: a. An audit, loan review, or compliance committee appointed by the board of...
N.C. Gen. Stat. § 54B-64. Civil penalties; State associations
(a) Except as otherwise provided in this Article, any association which is found to have violated any provision of this Article may be ordered...
N.C. Gen. Stat. § 54B-65. Civil penalties; directors, officers and employees
(a) Any person, whether a director, officer or employee, who is found to have violated any provision of this Article, whether willfully or as...
N.C. Gen. Stat. § 54B-66. Criminal penalties
(a) The provisions of this section shall in no event extend to persons who are found to have acted only with gross negligence, simple...
N.C. Gen. Stat. § 54B-67. Primary jurisdiction
Whenever an agency of the United States government shall defer to the Commissioner of Banks, or notify the Commissioner of Banks of pending action...
N.C. Gen. Stat. § 54B-68. Supervisory control
(a) Whenever the Commissioner of Banks determines that an association is conducting its business in an unsafe or unsound manner or in any fashion...
N.C. Gen. Stat. § 54B-69. Removal of directors, officers and employees
(a) If, in the Commissioner of Banks' opinion, one or more directors, officers or employees of any association has participated in or consented to...
N.C. Gen. Stat. § 54B-70. Involuntary liquidation
(a) The Commissioner of Banks with prior approval of the Commission may take custody of the books, records and assets of every kind and...
N.C. Gen. Stat. § 54B-71. Judicial review
Any person or State association against whom a cease and desist order is issued or a fine is imposed may have such order or...
N.C. Gen. Stat. § 54B-72. Indemnity
No person who is fined or penalized for a violation of any criminal provision of this Article shall be reimbursed or indemnified in any...
N.C. Gen. Stat. § 54B-73. Cumulative penalties
All penalties, fines, and remedies provided by this Article shall be cumulative. (1981, c. 282, s. 3.)
N.C. Gen. Stat. § 54B-74. Annual license fees
All State associations shall pay an annual license fee set by the Commissioner of Banks, subject to the advice and consent of the Commission....
N.C. Gen. Stat. § 54B-75. Statement; fees
Every State association shall file in the office of the Commissioner of Banks, on or before the first day of February in each year,...
N.C. Gen. Stat. § 54B-76. Statement examined, approved, and published
It shall be the duty of the Commissioner of Banks to receive and thoroughly examine each annual statement required by G.S. 54B-75, and if...
N.C. Gen. Stat. § 54B-77. Certain powers granted to State associations
(a) In addition to the powers granted under this Chapter, any savings and loan association incorporated or operated under the provisions of this Chapter...
N.C. Gen. Stat. § 54B-78. Prohibited practices
Any person or association who shall engage in any of the following acts or practices shall be guilty of a Class 1 misdemeanor: (1)...
N.C. Gen. Stat. § 54B-79 through 54B-99. Reserved for future codification purposes

Article 5 - Corporate Administration.

N.C. Gen. Stat. § 54B-100. Membership of a mutual association
The membership of a mutual association organized or operated under the provisions of this Chapter shall consist of: (1) Those who hold withdrawable accounts...
N.C. Gen. Stat. § 54B-101. Directors
(a) The directors of a mutual association shall be elected by the members at an annual meeting, held pursuant to the terms of G.S....
N.C. Gen. Stat. § 54B-102. Employment policies
Employment policies appropriate for the transaction of the business of a State association may be set forth in the bylaws or established by resolution...
N.C. Gen. Stat. § 54B-103. Duties and liabilities of officers and directors to their associations
Officers and directors of a State association shall act in a fiduciary capacity towards the association and its members or stockholders. They shall discharge...
N.C. Gen. Stat. § 54B-104. Conflicts of interest
Each director, officer and employee of a State association has a fundamental duty to avoid placing himself in a position which creates, or which...
N.C. Gen. Stat. § 54B-105. Voting rights
Voting rights in the affairs of a State association may be exercised by members and stockholders by voting either in person or by proxy....
N.C. Gen. Stat. § 54B-106. Annual meetings; notice required
(a) Each association shall hold an annual meeting of its members or stockholders. The annual meeting shall be held at a time and place...
N.C. Gen. Stat. § 54B-107. Special meetings; notice required
(a) Special meetings of members or stockholders of an association may be called by the president or the board of directors or by such...
N.C. Gen. Stat. § 54B-108. Quorum
Unless otherwise provided in the association's charter or bylaws, 50 holders of withdrawable accounts in a mutual association or 50 stockholders or a majority...
N.C. Gen. Stat. § 54B-109. Indemnification
(a) An association shall maintain a blanket indemnity bond of at least a minimum amount as prescribed by the Commissioner of Banks. (b) An...
N.C. Gen. Stat. § 54B-110. Days and hours of operation
Any association may operate on such days and during such hours, and may observe such holidays, as the association's board of directors shall designate....
N.C. Gen. Stat. § 54B-111 through 54B-120. Reserved for future codification purposes

Article 6 - Withdrawable Accounts.

N.C. Gen. Stat. § 54B-121. Creation of withdrawable accounts
(a) Every State association shall be authorized to raise capital through the solicitation of investments from any person, natural or corporate, except as restricted...
N.C. Gen. Stat. § 54B-122. Additional requirements
Withdrawable accounts shall be: (1) Withdrawable upon demand, subject to the requisite advance notice to the association by the holder, as listed in G.S....
N.C. Gen. Stat. § 54B-123. Dividends on withdrawable accounts
(a) An association shall compute and pay dividends on withdrawable accounts in accordance with such terms and conditions as are herein prescribed, and subject...
N.C. Gen. Stat. § 54B-124. Withdrawals from withdrawable accounts
(a) A withdrawable account holder may at any time make written application for withdrawal of all or any part of the withdrawal value thereof...
N.C. Gen. Stat. § 54B-125. Emergency limitations
The Commissioner of Banks, with the approval of the Governor, may impose a limitation upon the amounts withdrawable or payable from withdrawable accounts of...
N.C. Gen. Stat. § 54B-126. Forced retirement of withdrawable accounts
(a) At any time that funds may be on hand and available for such a purpose, and the bylaws of an association and withdrawable...
N.C. Gen. Stat. § 54B-127. Negotiable orders of withdrawal
Notwithstanding any other provisions of law, the Commissioner of Banks shall by regulation, authorize associations to accept deposits to withdrawable accounts which may be...
N.C. Gen. Stat. § 54B-128. Option on nonnegotiable orders of withdrawal
Notwithstanding any other provisions of law, the Commissioner of Banks may by regulation authorize State associations to establish nonnegotiable orders or authorizations of withdrawal....
N.C. Gen. Stat. § 54B-129. Joint accounts
(a) Any two or more persons may open or hold a withdrawable account or accounts. The withdrawable account and any balance thereof shall be...
N.C. Gen. Stat. § 54B-130. Repealed by Session Laws 2011-236, s. 2, effective October 1, 2011
N.C. Gen. Stat. § 54B-130.1. Payable on Death (POD) accounts
(a) If any natural person or natural persons establishing a deposit account shall execute a written agreement with the association containing a statement that...
N.C. Gen. Stat. § 54B-131. Right of setoff on withdrawable accounts
(a) Every association shall have a right of setoff, without further agreement or pledge, upon all withdrawable accounts owned by any member or customer...
N.C. Gen. Stat. § 54B-132. Minors as withdrawable account holders; safe deposit box lessees
(a) An association may issue a withdrawable account to a minor as the sole and absolute owner, or as a joint owner, and receive...
N.C. Gen. Stat. § 54B-133. Withdrawable accounts as deposit of securities
Notwithstanding any restrictions or limitations contained in any law of this State, the withdrawable accounts of any State association or of any federal association...
N.C. Gen. Stat. § 54B-134. New account books
A new account book or certificate or other evidence of ownership of a withdrawable account may be issued in the name of the holder...
N.C. Gen. Stat. § 54B-135. Transfer of withdrawable accounts
The owner of a withdrawable account may transfer his rights therein absolutely or conditionally to any other person eligible to hold the same but...
N.C. Gen. Stat. § 54B-136. Authority of power of attorney
An association may continue to recognize the authority of an individual holding a power of attorney in writing to manage or to make withdrawals...
N.C. Gen. Stat. § 54B-137. Reserved for future codification purposes
N.C. Gen. Stat. § 54B-138. Reserved for future codification purposes
N.C. Gen. Stat. § 54B-139. Personal agency accounts
(a) A person may open a personal agency account by written contract containing a statement that it is executed pursuant to the provisions of...
N.C. Gen. Stat. § 54B-140 through 54B-146. Reserved for future codification purposes

Article 6A - Fee for Returned Checks.

N.C. Gen. Stat. § 54B-147. Collection of processing fee for returned checks
Notwithstanding any other provision of law, a processing fee may be charged and collected by any association for checks (including negotiable order of withdrawal...
N.C. Gen. Stat. § 54B-148 through 54B-149. Reserved for future codification purposes

Article 7 - Loans.

N.C. Gen. Stat. § 54B-150. Manner of making loans
(a) The board of directors shall establish procedures by which loans are to be considered, approved, and made by the association. (b) All actions...
N.C. Gen. Stat. § 54B-151. Permitted loans
(a) An association may lend funds on the sole security of pledged withdrawable accounts, but no loan so made shall exceed the withdrawal value...
N.C. Gen. Stat. § 54B-152. Real property encumbrances
(a) Real property is deemed unencumbered within the meaning of this Chapter unless the security instrument thereon establishes a first lien upon such real...
N.C. Gen. Stat. § 54B-153. Prohibited security
No association may accept its own capital stock or its own mutual capital certificates as security for any loan made by such association. (1981,...
N.C. Gen. Stat. § 54B-154. Insider loans
The Commissioner of Banks may promulgate rules and regulations no less stringent than the requirements of the appropriate federal regulatory authority, and as he...
N.C. Gen. Stat. § 54B-155. Rule-making power of Commissioner of Banks
The Commissioner of Banks shall, from time to time, promulgate such rules and regulations in respect to loans permitted to be made by State...
N.C. Gen. Stat. § 54B-156. Loan expenses and fees
(a) Subject to the provisions of N.C.G.S. Chapter 24, an association may require borrowers to pay all reasonable expenses incurred by the association in...
N.C. Gen. Stat. § 54B-157. Loans conditioned on certain transactions prohibited
No association or service corporation thereof shall require as a condition of making a loan that the borrower contract with any specific person or...
N.C. Gen. Stat. § 54B-158. Insured or guaranteed loans
An association may make insured or guaranteed loans in accordance with the provisions of G.S. 53C-5-3. (1981, c. 282, s. 3; 2012-56, s. 41.)
N.C. Gen. Stat. § 54B-159. Purchase of loans
An association may invest any funds on hand in the purchase of loans of a type which the association could make in accordance with...
N.C. Gen. Stat. § 54B-160. Participation in loans
An association may invest in a participating interest in loans of a type which the association would be authorized to originate. (1981, c. 282,...
N.C. Gen. Stat. § 54B-161. Sale of loans
An association may sell any loan, including any participating interest in a loan. (1981, c. 282, s. 3; 1981 (Reg. Sess., 1982), c. 1238,...
N.C. Gen. Stat. § 54B-162. Power to borrow money
An association, in its certificate of incorporation or in its bylaws, may authorize the board of directors to borrow money and the board of...
N.C. Gen. Stat. § 54B-163. Methods of loan repayment
Subject to such rules and regulations as the Commissioner of Banks may prescribe, an association shall agree in writing with borrowers as to the...
N.C. Gen. Stat. § 54B-164. Loans to one borrower
(a) The aggregate amount of mortgage loans outstanding granted by an association to any one borrower shall not exceed ten percent (10%) of the...
N.C. Gen. Stat. § 54B-165. Professional services
(a) A State association or service corporation thereof must notify borrowers prior to the loan commitment of their right to select the attorney or...
N.C. Gen. Stat. § 54B-166. Nonconforming investments
Unless otherwise provided, every loan or other investment made in violation of this Chapter shall be due and payable according to its terms and...
N.C. Gen. Stat. § 54B-167. Scope of Article
Nothing in this Article shall be construed to modify Chapter 24 of the General Statutes, or other applicable law, or to allow fees, charges,...
N.C. Gen. Stat. § 54B-168 through 54B-179. Reserved for future codification purposes

Article 8 - Other Investments.

N.C. Gen. Stat. § 54B-180. Other investments
In addition to the loans and investments permitted under Article 7 of this Chapter, the assets of a State association in excess of the...
N.C. Gen. Stat. § 54B-181. Business property of a State association
A State association may invest in real property and equipment necessary for the conduct of its business and in real property to be held...
N.C. Gen. Stat. § 54B-182. United States obligations
A State association may invest in any obligation issued and fully guaranteed in principal and interest by the United States government or any instrumentality...
N.C. Gen. Stat. § 54B-183. North Carolina obligations
A State association may invest in any obligation issued and fully guaranteed in principal and interest by the State of North Carolina or any...
N.C. Gen. Stat. § 54B-184. Federal Home Loan Bank obligations
A State association may invest in the stock of the Federal Home Loan Bank of which such association is a member, and in bonds...
N.C. Gen. Stat. § 54B-185. Deposits in banks
A State association may invest in certificates of deposit, time insured deposits, savings accounts, or demand deposits of such banks as are approved by...
N.C. Gen. Stat. § 54B-186. Deposits in other associations
A State association may invest in withdrawable accounts of any association as approved by the board of directors. (1981, c. 282, s. 3; 1981...
N.C. Gen. Stat. § 54B-187. Fannie Mae obligations
A State association may invest in stock or other evidences of indebtedness or obligations of Fannie Mae, or any successor thereto. (1981, c. 282,...
N.C. Gen. Stat. § 54B-188. Municipal and county obligations
A State association may invest in bonds or other evidences of indebtedness which are direct general obligations of any county, city, town, village, school...
N.C. Gen. Stat. § 54B-189. Stock in education agency
A State association may invest in stock or obligations of any corporation doing business in this State, or of any agency of this State...
N.C. Gen. Stat. § 54B-190. Industrial development corporation stock
A State association may invest in stock or other evidence of indebtedness or obligations of business or industrial development corporations chartered by this State...
N.C. Gen. Stat. § 54B-191. Urban renewal investment corporation stock
A State association may invest in stock or other evidence of indebtedness or obligations of an urban renewal investment corporation chartered under the laws...
N.C. Gen. Stat. § 54B-192. Urban renewal projects
(a) A State association may invest in the initial purchase and development, or the purchase or commitment to purchase after completion, of unimproved residential...
N.C. Gen. Stat. § 54B-193. Loans on sufficient collateral; other investments
(a) A State association may invest in loans secured by any collateral deemed sufficient by the board of directors to properly secure loans; however,...
N.C. Gen. Stat. § 54B-194. Service corporations
(a) Any association or group of associations whose principal offices are located within this State, may establish service corporations under the provisions of Chapter...
N.C. Gen. Stat. § 54B-195. Any loan or investment permitted for federal associations
Subject to such limitations and restrictions as the Commissioner of Banks may prescribe through rules and regulations, any State association is authorized and permitted...
N.C. Gen. Stat. § 54B-196. Reserved for future codification purposes
N.C. Gen. Stat. § 54B-197. Effect of change in law or regulation
Any loan or investment made by a State association which was in compliance with the law or regulations in effect at the time such...
N.C. Gen. Stat. § 54B-198 through 54B-209. Reserved for future codification purposes

Article 9 - Liquidity Fund.

N.C. Gen. Stat. § 54B-210. Components of liquidity fund
(a) Every State association shall establish and maintain a regulatory capital account in an amount and in such funds and investments that comply with...
N.C. Gen. Stat. § 54B-211. Renewal of liquidity fund
If the liquidity fund falls below the amount required by the Commission, the association shall make no new real property loans until the required...
N.C. Gen. Stat. § 54B-212 through 54B-215. Reserved for future codification purposes

Article 10 - General Reserve.

N.C. Gen. Stat. § 54B-216. General reserve
(a) Every State association shall establish and maintain general valuation allowances and specific loss reserves in compliance with the requirements of the appropriate federal...
N.C. Gen. Stat. § 54B-217 through 54B-220. Reserved for future codification purposes

Article 11 - Foreign Associations.

N.C. Gen. Stat. § 54B-221 through 54B-235. Repealed by Session Laws 1983 (Regular Session, 1984), c. 1087, s. 6, effective July 5, 1984

Article 12 - Mutual Deposit Guaranty Associations.

N.C. Gen. Stat. § 54B-236. Definitions
The term "institution" as used in this Article shall mean savings and loan associations organized or operated under the provisions of this Chapter, or...
N.C. Gen. Stat. § 54B-237. Organization of a mutual deposit guaranty association
(a) Any number of institutions, not less than 25, may become incorporated as a mutual deposit guaranty association without capital stock subject to the...
N.C. Gen. Stat. § 54B-238. Examination and certification by Secretary of Commerce
(a) Upon receipt from the Secretary of State of a copy of the articles of incorporation of a proposed guaranty association, the Secretary of...
N.C. Gen. Stat. § 54B-239. Recordation of articles of incorporation
Upon receipt of the certification provided for in G.S. 54B-238, the Secretary of State shall record the articles of incorporation of such guaranty association...
N.C. Gen. Stat. § 54B-240. Proposed amendments submitted to Secretary of Commerce
Any proposed amendments to the articles of incorporation of a mutual deposit guaranty association shall be filed in the office of the Secretary of...
N.C. Gen. Stat. § 54B-241. Examination and certification of amendments
(a) Upon receipt from the Secretary of State of a copy of proposed amendments to the articles of incorporation of a mutual deposit guaranty...
N.C. Gen. Stat. § 54B-242. Recordation of amendments
Upon receipt of the certification provided for in G.S. 54B-241, the Secretary of State shall record the amendments to the articles of incorporation and...
N.C. Gen. Stat. § 54B-243. Reserve for losses
A mutual deposit guaranty association shall maintain at all times an amount of funds equal to no less than one percent (1%) of its...
N.C. Gen. Stat. § 54B-244. Purposes and powers of mutual deposit guaranty associations
(a) The purposes of a mutual deposit guaranty association incorporated in accordance with the provisions of this Article are to: (1) Assure the liquidity...
N.C. Gen. Stat. § 54B-245. Filing of semiannual financial reports; fees
Each mutual deposit guaranty association shall on the 30th day of June and the 31st day of December of each year, or within 40...
N.C. Gen. Stat. § 54B-246. Supervision by Secretary of Commerce
(a) In addition to any and all other powers, duties and functions vested in the Secretary of Commerce under the provisions of this Article,...
N.C. Gen. Stat. § 54B-247. Special examinations
Whenever the Secretary of Commerce deems it necessary, he may make or cause to be made a special examination or audit of any mutual...
N.C. Gen. Stat. § 54B-248. Right to enter and to conduct investigations
The Secretary of Commerce or any examiner appointed by him shall have access to and may compel the production of all books, papers, securities,...
N.C. Gen. Stat. § 54B-249. Removal of officers or employees
The Secretary of Commerce shall have the right, and is hereby empowered, to require the board of directors or board of trustees of any...
N.C. Gen. Stat. § 54B-250 through 54B-260. Reserved for future codification purposes

Article 13 - Savings and Loan Holding Companies.

N.C. Gen. Stat. § 54B-261. Savings and loan holding companies
(a) Notwithstanding any other provision of law, any stock association may simultaneously with its incorporation or conversion to a stock association provide for its...
N.C. Gen. Stat. § 54B-262. Supervision of savings and loan holding companies
Savings and loan holding companies shall be under the supervision of the Commissioner of Banks. The Commissioner of Banks shall exercise all powers and...
N.C. Gen. Stat. § 54B-263. Reserved for future codification purposes
N.C. Gen. Stat. § 54B-264. Reserved for future codification purposes

Article 14 - Savings and Loan Interstate Branches.

N.C. Gen. Stat. § 54B-265. Title
This Article shall be known and may be cited as the North Carolina Savings and Loan Interstate Branch Act. (1993, c. 191, s. 2.)
N.C. Gen. Stat. § 54B-266. Definitions
As used in this Article, unless the context clearly requires otherwise, the following definitions apply: (1) Repealed by Session Laws 2004-203, s. 35(a), effective...
N.C. Gen. Stat. § 54B-267. Establishment of branches by out-of-state associations
Any out-of-state association that meets the requirements of this Article may establish a branch within North Carolina either by (i) de novo entry; (ii)...
N.C. Gen. Stat. § 54B-268. Application requirements
(a) Any out-of-state association desiring to establish a branch office under this Article shall file with the Commissioner of Banks a written application meeting...
N.C. Gen. Stat. § 54B-269. Conditions for approval
No application by an out-of-state association received under this Article may be finally approved by the Commissioner of Banks unless: (1) The Commissioner of...
N.C. Gen. Stat. § 54B-270. Special conditions
(a) The Commissioner of Banks may require an out-of-state association to designate one of its branches in North Carolina as a "headquarters branch" and...
N.C. Gen. Stat. § 54B-271. Powers
An out-of-state association that establishes a branch in North Carolina may engage in all the activities authorized by North Carolina law for a State...
N.C. Gen. Stat. § 54B-272. Establishment of out-of-state branches by state associations
With the prior consent of the Commissioner of Banks, any association chartered under the laws of North Carolina may establish a branch in any...
N.C. Gen. Stat. § 54B-273. Regulatory and supervisory oversight
(a) The Commissioner of Banks may enter into such agreements as necessary regarding the scope, timing, coordination, and frequency of examinations and other supervisory...
N.C. Gen. Stat. § 54B-274. Enforcement
(a) Any enforcement authority available to the Commissioner of Banks for use against a State association may, subject to the provisions of Chapter 150B...
N.C. Gen. Stat. § 54B-275. Branch closings
An out-of-state association that is subject to an order or written agreement revoking its authority to establish or maintain a branch in North Carolina...
N.C. Gen. Stat. § 54B-276. Rules
The Commission may adopt rules as necessary to carry out the provisions of this Article. (1993, c. 191, s. 2.)
N.C. Gen. Stat. § 54B-277. Appeal of Commissioner of Banks' decision
Any aggrieved party in a proceeding under this Article may, within 30 days after final decision of the Commissioner of Banks, appeal such decision...
N.C. Gen. Stat. § 54B-278. Severability
If any provision of this Article or the application of such provision to any persons or circumstances is found invalid, the remainder of this...

Last modified: March 23, 2014