[38 Pa.B. 4172]
[Saturday, August 2, 2008]
[Continued from previous Web Page]
BANKING
Nonregulatory public documents of the Department of Banking are divided into three indexed categories listed below: Letters from Secretaries of Banking to Regulated Entities; Guidance Available Regarding Compliance with Depository Institution Statutes and Regulations; and, Guidance Available Regarding Compliance with Licensee Statutes and Regulations. The contact person for all Department of Banking documents is the Office of Chief Counsel at (717) 787-1471.
SECRETARIES' LETTERS The following is a historical list of letters to regulated entities from respective Secretaries of Banking providing guidance regarding compliance with statutes and regulations applicable to Pennsylvania state-chartered banking institutions, savings associations, credit unions, and nondepository institutions licensed to make mortgage and other types of loans in Pennsylvania.
2008 04/23/08 Secretary's Letter discusses the MOU between NY, NJ and PA Department of Banking regarding regional interstate branching. 02/28/08 Secretary's Letter regarding General Assembly considering legislation to create a new licensing category for individual mortgage originators in the Commonwealth. 2007 12/10/07 Secretary's Letter asking financial institutions to work to meet the credit needs of Pennsylvania heating oil dealers during the 2007-2008 winter season. 10/10/07 2008 Bank Holidays 09/14/07 Deputy Secretary's letter addresses acceptable means by which the required annual audit of trust activities of trust companies, bank and trust companies, and savings banks and savings associations that exercise trust powers may be accomplished, as required by Section 1407 of the Banking Code. 04/13/07 Letter provides guidance on nontraditional mortgage product risks. 02/01/07 The Pennsylvania Department of Banking joins with the Federal Deposit Insurance Corporation in urging you to consider ways that your institution might choose to participate in the IRS' Volunteer Income Tax Assistance (VITA) program. 01/12/07 The Secretary's Letter announces the December 16, 2006 publication in the Pennsylvania Bulletin of a Statement of Policy which defines dishonest, fraudulent, illegal, unfair, unethical, negligent and incompetent conduct under Sections 313(a)(5) and (14) of the MBBCEPA. 01/10/07 Letter announces that Pennsylvania state banking institutions and Pennsylvania national banks are hereby permitted to observe Monday, November 12, 2007, as an optional legal holiday in recognition of Veteran's Day. 2006 10/04/06 2007 Bank Holidays 06/28/06 Secretary's Memo to State-Chartered Banking and Trust Institutions, Savings Associations and Credit Unions; National Banks and Federal Thrifts regarding the Rise in Reports of Fraudulent Cashier's Checks. 06/01/06 Secretary's Memo to State-Chartered Banking and Trust Institutions, Savings Associations and Credit Unions regarding the Influenza Pandemic Preparedness. 2005 10/14/05 2006 Bank Holiday Schedule 04/13/05 Secretary's Letter states that overdraft protection programs are permissible for state-chartered depository institutions and provides guidelines for such programs. 2004 12/1/04 The Secretary's Letter request that State and National Banks, State and Federally Chartered Savings Banks and State and Federally Chartered Savings and Loan Associations consider the difficult winter period and the effect it will have on the cash flow of over 600 heating oil dealers operating in the Commonwealth. 09/30/04 Pennsylvania state-chartered trust companies, bank and trust companies, and savings banks and savings associations with trust powers may engage in fiduciary activities to the same extent as national banks without notice to the Department. 09/23/04 Secretary's Letter on behalf of Governor Edward G. Rendell, encourage leaders of financial institutions to act with reasonable forbearance toward local governments, individuals and businesses which are experiencing financial difficulties due to the recent floods. 08/03/04 The Secretary's Letter informs all lenders and brokers under the jurisdiction of the Department of the Department's concerns related to the use of improperly influenced appraisals. Letter also addresses ''builder exception'' under the Mortgage Bankers and Brokers and Consumer Equity Protection Act. 03/19/04 Secretary's Letter addresses terms and conditions of ''selective first payment due date'' options and ''deferred first payment'' options that may be offered to buyers as part of installment sale contracts under the MVSFA. 2003 9/30/03 The Secretary's Letter states that overdraft protection programs permissible for state-chartered depository institutions and provides guidelines for such programs. OCC Interpretive Letter #914. 9/2/03 The Secretary's Letter informs all mortgage lenders and/or mortgage brokers of the restrictions regarding the use of lock-in agreements. 8/22/03 The Secretary's Letter reminds all motor vehicle lenders that PA law requires motor vehicle lienholders to mail or deliver the outstanding motor vehicle certificate of title to the vehicle owner immediately upon satisfaction of the respective lienholder's security interest in the vehicle. 8/11/03 The Secretary's Letter, informs all mortgage lenders and/or mortgage brokers of the requirement to provide the written cautionary notice disclosure to an applicant for a ''covered loan'' at least three business days prior to consummation of that type of mortgage loan transaction. 7/25/03 The Secretary's Letter discusses the terms and conditions of deferred payment programs that may be offered to buyers as part of installment sales contracts originated by licensees. 6/25/03 The Secretary's Letter is intended to clarify the Department's position regarding the terms and conditions of deferred payment programs that may be offered to buyers as part of installment sales contracts originated by licensees under the MVSFA. 6/11/03 The Secretary's Letter that requests licensees and registrants under the Check Casher Licensing Act to voluntarily adopt a policy of cashing all government-issued checks at the rate authorized for government assistance checks in Section 503(a)(1) of the Check Casher Licensing Act. 5/8/03 The Secretary's Letter states that the Act 207 of 2002 provides Pennsylvania state-chartered credit unions parity with federally-chartered credit unions in regard to activities, field of membership requests, and investing in credit union service organizations, subject to a notice requirement. 5/2/03 Secretary's Letter stating that check cashers licensed by the Department of Banking must comply with the statement of policy issued May of 1998 concerning the Check Casher Licensing Act. The statement of policy provides that check cashers should post a notice of exact fees and charges, which shall be within the maximum prescribed in the act. The notice should be in plain view and in a location readily apparent to the consumer transacting business at each check casher location. 5/2/03 Secretary's Letter stating that retail food stores registered with the Department of Banking must comply with the statement of policy issued May of 1998 concerning the Check Casher Licensing Act. The statement of policy provides that check cashers should post a notice of exact fees and charges, which shall be within the maximum prescribed in the act. The notice should be in plain view and in a location readily apparent to the consumer transacting business at each check casher location. 4/1/03 The Secretary's Letter discusses state-charted banks engaging in payday lending activities. 3/26/03 The Secretary's Letter discusses the Streamlined Call Report filing requirements. 2002 9/23/02 The Secretary's Letter discusses that the Act 55 of 2001 definition of ''Covered Loan'' changes effective October 1, 2002; and that ''Median Family Income'' statistical estimates necessary for lenders to calculate (a) repayment ability of potential obligor under Section 512(b), and (b) whether negative amortization terms may be imposed on a potential obligor under Section 511(c), are now stated in the convenient chart attached to the letter. 6/3/02 Secretary's letter discusses the Pilot Program for Residential Real Estate and Small Business Loans. 3/15/02 Secretary's Letter announces that by virtue of publication in the March 2, 2002 Pennsylvania Bulletin (Vol. 32, No. 9), the Mortgage Bankers and Brokers and Consumer Equity Protection Act (''MBBCEPA'') Continuing Education Regulation (the ''Regulation'') is now in effect for all licensees under the MBBCEPA. Therefore, all licensees must be in compliance with the requirements contained in the Regulation by June 30, 2003, in order to renew a license. 2001 12/21/01 This letter is to set forth in writing the Pennsylvania Department of Banking (the ''Department'') position on issues related to the ability of a Pennsylvania state-chartered bank, bank and trust company, or savings bank (''PA Bank'') under Section 322 of the Banking Code of 1965 (''Section 322''). 7 P. S. § 322. 10/19/01 Secretary's Letter regarding President Bush's Executive Order Blocking Property and Prohibiting Transactions with Persons Who Commit, Threaten to Commit or Support Terrorism. 8/17/01 Letter to announce Act 55 of 2001, the Mortgage Bankers and Brokers and Consumer Equity Protection Act. A summary of Act 55 is attached to the Secretary's letter. 1/4/01 Letter announces that Pennsylvania state banking institutions and Pennsylvania national banks are hereby permitted to observe Monday, November 12, 2001, as an optional legal holiday in recognition of Veteran's Day. 2000 11/29/00 Governor Ridge signed into law as Act 89 of 2000, the Bank Parity Bill, HB 2533 of 2000 (P.N. 4073). 3-30-00 Pennsylvania State-chartered banks, bank and trust companies and savings banks may establish and operate messenger service branches. 3-23-00 Loans to Directors and Section 1414. 1-18-00 Department's General Position on Internet Banking. 1999 8-23-99 Holidays for 2000. 5-26-99 Letter interprets section 1414 of the Banking Code of 1965 as permitting Pennsylvania state-chartered banks, bank and trust companies, and savings banks to charge interest on loans to their executive officers to the same extent as permitted under Federal Reserve ''Regulation O.'' 5-12-99 Permissible Bank Holidays for 2000. 5-12-99 Letter states that state-chartered banking institutions and offices of national banks located in Pennsylvania may remain open for business on January 1, 2, and 3, 2000, in order to address customers' questions and concerns regarding Year 2000 computer transaction issues. 1-22-99 Record Keeping Guidelines under the Mortgage Bankers and Brokers Act. 1-22-99 Record Keeping Guidelines under the Consumer Discount Company Act. 1998 1-23-98 Year 2000 readiness and credit underwriting criteria for credit unions. 1-15-98 Year 2000 readiness and credit underwriting criteria. 1997 8-27-97 Holidays for 1998. 6-9-97 Letter addresses electronic submission of Call Reports. 4-24-97 Letter discusses computer problems in the year 2000. 1-31-97 Letter regarding federal regulatory agencies having adopted a revised Uniform Financial Institutions Rating System which has been known as CAMEL. 1996 11-25-96 Letter discusses the adjustment to the overhead assessment methodology for non-depository trust companies that it implemented in 1994. 4-16-96 Letter regarding authority of Pennsylvania state-chartered banking institutions to sell annuities issued by insurance companies. 1-26-96 Letter regarding heavy snowfall and floods having had a profound impact upon many communities in Pennsylvania and the financial hardships imposed upon your customers by this devastation. 1995 10-10-95 Letter to Presidents of Pennsylvania State-chartered Credit Unions forwarding Investment Powers, Standards and Accounting Guidelines for Pennsylvania state-chartered credit unions as required by Section 501(b)(7) of the Credit Union Code which was amended by House Bill 2563, effective February 12, 1995. 7-11-95 Letter regarding Act 39 of 1995, amends the provisions of Pennsylvania's Banking Code to authorize full interstate banking and branching under Pennsylvania law and to facilitate the operations of interstate banks in Pennsylvania. 3-24-95 Letter regarding the Simplification and Availability of Bank Credit Act. 1994 11-17-94 Letter to the Presidents and Chief Compliance Officers of Pennsylvania First Mortgage Companies regarding mortgage companies disbursing loan proceeds in a form prescribed by applicable law. 11-8-94 Letter to all Chief Executive Officers of Banks, Bank and Trust Companies, Savings Banks regarding Assets pledged for uninsured trust deposits. 10-13-94 Letter to the Presidents of Pennsylvania State-Chartered Credit Unions regarding automated teller machines at locations other than credit union's principal place of business. 10-5-94 Letter to all Chief Executive Officers of Banks, Bank and Trust Companies, Trust Companies, Savings Banks, Savings and Loan Associations regarding role change for outside auditors. 8-22-94 Letter to Chief Executive Officers of Pennsylvania Banking Institutions regarding bank holidays. 8-9-94 Letter to the Chief Executive Officers of Pennsylvania State-Chartered Banking Institutions, Savings Associations and Entities Licensed by the Department of Banking regarding enforcing the regulations of the Department of Banking Code, which provides for assessments of penalties and interest against financial institutions for failing to pay assessment and examination fees in a timely manner. 3-29-94 Letter to the Chief Executive Officers of Pennsylvania State-Chartered Non-Depository Trust Companies regarding the Department revising its examination/assessment billing method for non-depository trust companies. 1993 12-9-93 Letter to the Presidents and Chief Executive Officers of Pennsylvania State-Chartered Banking Institutions regarding a new schedule for costs associated with the examination and supervision of state-chartered banks. 1992 9-24-92 Letter to the Presidents and Chief Executive Officers of Pennsylvania State-Chartered Banking Institutions regarding evaluating the adequacy of capital and loan loss reserves separately. 1991 9-3-91 Letter to all Motor Vehicle Sales Finance Companies discussing the problems with late delivery of certificates of title by motor vehicle lenders upon satisfaction of the existing loan. Letter states that title must be released immediately upon satisfaction of a loan. 8-23-91 Letter to all CEOs of Pennsylvania Chartered Savings Associations and all Pennsylvania Department of Banking Examiners clarifying its 7-29-91 interpretation of section 510 of the Savings Association Code of 1967, 7 P. S. § 6020-70(a)(3) which states that the Department will not object to and will not cite in an examination report a savings association employer for offering and providing favorable terms and rates on loans to such association's employees. 7-29-91 Letter to all CEOs of Pennsylvania Chartered Savings Associations and all Pennsylvania Department of Banking Examiners interpreting section 510 of the Savings Association Code of 1967, 7 P. S. § 6020-70(a)(3). 5-2-91 Letter to all Pennsylvania State-Chartered Banks, Savings Associations, and Credit Unions, OCC, OTS, NCUA, FDIC, Federal Reserve Board and all State Financial Regulatory Agencies informing them that Settlers Trust Savings Bank has not been and is not currently chartered to be a Pennsylvania state-chartered or federally chartered bank, bank and trust company, savings bank, or savings association. 1990 12-3-90 Letter to the Executive Officer of the banking institution addressed: regarding the new minimum requirements for Annual Audits performed by Certified Public Accountants. 7-10-90 Letter to CEOs of Pennsylvania Financial Institutions informing them of an enforcement order against Mellon Bank, N.A. by the Pennsylvania Department of Insurance--re: Collateral Protection Insurance. Letter requests a summary of any existing collateral protection insurance programs to be used by the Department to assist the Department in drafting regulations to determine reasonable fees for licensees under the MVSFA. 7-10-90 Letter to CEOs of all Pennsylvania financial institutions informing them of the Department's opinion on the applicability of the ''Anti-takeover law'', Act 36 of 1990. 7-10-90 Letter to CEOs of all Pennsylvania Credit Unions informing them that credit unions must take immediate action in order to retain the power to indemnify their directors and volunteer officers. Also informing them that a special meeting of the board of directors should be called immediately to discuss adoption of a bylaw opting out of new provisions of the recently enacted ''Anti-takeover Law'', Act 36 of 1990. 6-11-90 Letter to CEOs and Boards of Directors of State-Chartered Credit Unions informing them that strict compliance with section 27 of the Credit Union Act, 15 Pa.C.S.A. § 12327, is required whenever a state-chartered credit union plans to merge or consolidate with any other credit union. In the future, failure to submit a merger application to the Department prior to the consummation of a merger will be viewed as a violation of law. 6-6-90 Letter to CEOs of state-chartered commercial banks and state-chartered credit unions informing them of the Department's opinion on the permissibility of the Federal Home Loan Bank of Pittsburgh (''FHLB/P'') offering membership to other depository institutions in PA. Specifically, the FHLB/P would like to extend offers of membership to state-chartered commercial banks and state-chartered credit unions in PA. 5-17-90 Letter to CEOs of all Pennsylvania banking institutions informing them that the Department has recently issued an opinion regarding the impermissible collateralization of interest rate swap agreements. 4-30-90 Letter to all state-chartered credit unions issuing a new fee schedule for overhead assessment. 3-5-90 Letter to CEOs of all federally-insured state-chartered banks and S & Ls discussing the Resolution Trust Corporation, who is soliciting potential bidders for failing S & Ls. Letter requests institutions who are considering bidding to notify this Department before the bidding process begins. 1-18-90 Letter discusses FIRREA and additional language added to Section 222, entitled ACTIVITIES OF SAVINGS ASSOCIATIONS, which adds a new section to the Federal Deposit Insurance Act, Section 28, which states that Disclosures by Uninsured Savings Associations which are not insured by the Corporation, shall disclose clearly and conspicuously that the savings association's deposits are not federally insured. 1989 11-1-89 Letter to CEOs of PA Banking Institutions discusses legal holidays for 1990. The Department has been advised by the Federal Reserve Banks of Philadelphia and Cleveland that it is their intention to observe Veterans' Day on Mayday, November 12. The Department exercises its authority under Section 113(b)(x) that all state-chartered institutions have the option to observe Monday, November 12, 1990, as an optional holiday. 9-29-89 Letter lists legal bank holidays for 1990. 8-11-89 Letter to PA savings associations which are insured by the PSAIC regarding Financial Institutions Reform, Recovery and Enforcement Act and Section 222, entitled ''Activities of Savings Associations'' which requires certain disclosures be made by non-federally insured savings associations. 4-13-89 Letter discusses House Bill 979, Act 173 of 1988 which makes several significant changes in the Banking Code of 1965, including provisions which provide real estate investment and development authority to commercial savings banks; permit commercial and mortgage-backed securities powers; and, permit commercial and savings banks to make investments not presently permitted under statute in amounts up to 3% of assets with no more than 1% in any one investment. 1988 11-3-88 Letter regarding survey of institutions offering low-cost checking and savings accounts. 11-2-88 Letter announces survey to be conducted by the Department regarding low-cost deposit accounts availability at banks and savings and loan associations. 10-17-88 Letter lists legal bank holidays for 1989. 9-30-88 Letter mailed to state-chartered banking institutions asking for a Report of Condition and Report of Income as of the close of business 9-30-88. 7-15-88 Letter to lenders asking them to act with forbearance toward farmers who may have been experiencing financial difficulties due to poor weather conditions. 6-30-88 Letter announces increase in assessments. 6-27-88 Letter to CEOs of bank and trust companies discusses the review of assessment fees for trust companies and trust departments. Letter asks institutions to complete a Report of Trust Assets. 6-3-88 Letter announces legislative amendments to sections 112, 166 & 117 of the Banking Code of 1965. 5-31-88 Letter to realtors discusses Senate Bill 7 of 1988, the Mortgage Bankers and Brokers Act. 4-6-88 Letter discusses the liquidation of TMIC Insurance Company and the need for some financial institutions to obtain alternate coverage. 1987 12-11-87 Letter to bank and savings and loan association CEOs--re: provisions of the Uniform Commercial Code regarding full-day hours during the holidays. 11-4-87 Letter lists fixed and optional bank holidays for 1988. 8-28-87 Letter permit closing of institutions for Constitution Day celebration in Philadelphia, September 17, 1987. 6-24-87 Letter discusses requirements under Section 403 of the Banking Code of 1965 relating to report of condition & report of income. 3-23-87 Letter addressed to CEOs of all PA state-chartered banking institutions discusses Sections 1407(a) and 1407(c) of the Banking Code of 1965, which revises the minimum requirements for Directors' audits performed by CPAs. 2-5-87 Letter discusses permissibility of purchase or establishment of discount brokerage office subsidiaries under sections 311(b), 502(d) and 203(d) of the Banking Code of 1965. 1-16-87 Letter discusses Senate Bill 1389, Act No. 205 of 1986, amending various provisions of the Banking Code of 1965 (P. L. 847 No. 346) particularly § 1610 relating to fair pricing provisions. 1-6-87 Letter discusses permissibility of investment on mutual funds under the provision of the Banking Code of 1965, 7 P. S. § 307. 1986 11-6-86 Letter contains a list of fixed and optional bank holidays for 1987. 9-30-86 Letter requests Report of Condition and Income as of September 30, 1986. 8-21-86 Letter discusses ownership of stock by state chartered institutions of out-of-state bank holding companies and 7 P. S. §§ 116, 311. 6-26-86 Letter requests Report of Condition and Income as of the close of business June 30, 1986. 3-17-86 Letter announces CSBS Computer Audit & Control Conference for bankers. 1985 12-20-85 Letter requests report of condition and income for 4th Quarter of 1985. 12-16-85 Letter announces Martin Luther King, Jr.'s Birthday as a fixed holiday. 11-4-85 Letter lists all fixed and optional bank holidays for 1986. 9-25-85 Letter requests report of condition and income as of the close of business--9/30/85. 6-14-85 Letter announces upcoming examination of all corporations licensed under Pennsylvania's Secondary Mortgage Loan Act. 5-31-85 Letter discusses brokered loan fraud. 5-16-85 Letter announces ''Day with the Secretary'' program. 4-29-85 Letter discusses requirements for directors' audits pursuant to 7 P. S. § 1407(a) and the relevant regulations. 4-2-85 Letter announces CSBS Computer Audit & Control Conference for bankers. 1-30-85 Letter announces substantive amendments to 7 P. S. § 408, House Bill No. 2453, Act No. 1984-217. 1984 12-20-84 Letter announces staff changes in the banking bureau of the Department. 12-12-84 Letter discusses requirement of § 1407 of the Banking Code of 1965 regarding audit requirements. 11-28-84 Letter discusses increasing fees and charges for traditional financial services. 10-19-84 Letter announces banking legal holidays for 1985. 10-9-84 Letter discusses Section 105(B.1) of the Banking Code of 1965, establishment of additional offices in Pennsylvania by foreign banking organizations. 7-26-84 Letter discusses Senate Bill 1304, Act No. 128 of 1984, Senate Bill 1305, Act. No. 129 of 1984 and amendments to § 302, § 303, § 401 of the Banking Code of 1965. 7-26-84 Letter discusses Senate Bill No. 1304, Act No. 128 of 1984 which amended sections 203, 306, 308, 310, 311, 404, 405, 505, 805, 908, 1415, 1609, 1910, 2002 of the Banking Code of 1965. 7-26-84 Letter discusses Senate Bill No. 1080, Act No. 125 of 1984 which amended sections 311, 404, 514, 610, 802, 1217, 1405, 1609, 1801 and 1809 of the Banking Code of 1965. 7-13-84 Letter discusses amendment to Section 1910(d) of the Banking Code of 1965, which requires directors and officers to have an audit performed of the books and affairs of the institution at least once per year. 6-18-84 Letter announces Department's revisions to branch application forms. 6-14-84 Letter discusses Banking Code of 1965, § 307-Investment Securities (other than stock) and OCC revising its interpretation of ruling 7.1100, redefining capital and surplus for the purposes of investment limitations. 3-5-84 Letter is a reminder of importance of making and maintaining arrangements to backup data processing equipment and provide for reconstruction of records. 2-23-84 Letter discusses Section 319 of the Banking Code of 1965 and variable rate consumer installment loans. 2-17-84 Letter discusses the technological revolution which is affecting the banking industry. The letter also announces a presentation of CSBS Computer Audit and Control Conference for Bankers to be held in Philadelphia, PA on April 23-26, 1984. 1-24-84 Letter discusses Section 307 of the Banking Code of 1965 and investments in shares of money market mutual funds. 1983 12-5-83 Letter discusses annual audits of one-bank holding companies and multi-bank holding companies in compliance with Sections 1407 of the Banking Code of 1965. 12-1-83 Letter discusses impact of deregulation on industry. 10-13-83 Letter announces deletion of Section 14.1 and 14.2 from Title 10 of the Pa. Code. 10-7-83 Letter announces 1984 legal bank holidays. 4-14-83 Letter discusses Garn-St. Germain Depository Act of 1982 and preemption of state law re: alternative mortgage loans and override of 7 P. S. § 505. 4-12-83 Letter regarding electronic automation. 4-8-83 Letter regarding the Garn-St Germain Depository Institutions Act of 1982 overrides state law to the extent that it permits adjustable-rate mortgages to be made or purchased by state-chartered banks, bank and trust companies, trust companies, and private banks. 2-28-83 Letter discusses annual audits requirement contained in Section 17.1(a), Title 10 of the Pennsylvania Code. 2-15-83 Letter discusses mortgage loans requiring special consideration such as those affected by temporary unemployment of borrower. 2-2-83 Letter discusses Garn-St. Germain Depository Institution Act of 1982 overriding substantially equal payments requirements of Section 310 of the Banking Code of 1965. 1-24-83 Letter discusses exercising of compassion and forbearance in dealing with unemployed customers. 1-17-83 Letter discusses recent amendments to Chapter 7 of the Banking Code of 1965, as amended. 1-3-83 Letter concerns substantial increase in the number of institutions advertising repurchase agreements. 1982 12-8-82 Letter discusses examination of PA Bank Holding Companies by Department. 11-1-82 Letter lists legal bank holidays for 1983. 7-30-82 Letter addressed to thrift CEOs and discusses asset restatement accounting. 7-2-82 Letter to MVSFA licensees discusses Act No. 160 of 1982 and maximum permissible finance charges. 6-4-82 Letter discusses House Bill No. 1739, Act No. 79 of 1982, which amended sections 202, 308, 311, 319, 320, 407, 504, 506, 610, 702, 703, 1414, 2004 and 1609 of the Banking Code of 1965. 6-4-82 Letter discusses House Bill No. 1889, Act No. 44 of 1982, which amended sections 113, 114, 115, 903, 904 and 905 of the Banking Code of 1965. 4-5-82 Letter announces change of policy from capital-to-deposit ratio as a measurement of capital adequacy to capital-to-assets ratio. 4-2-82 Letter discusses the technological revolution which is affecting the banking industry. The letter also announces a presentation of CSBS Bank Executives EDP/EFT Conference to be held in Philadelphia, April 27-28, 1982. 3-26-82 Letter discusses the technological revolution which is affecting the banking industry. The letter also announces a presentation of CSBS Bank Executives EDP/EFT Conference to be held in Philadelphia, April 27-28, 1982. 1981 11-20-81 Letter lists legal bank holidays for 1982. 10-13-81 Letter discusses sections 702(c) and 610(c) of the Banking Code of 1965, as amended. 10-9-81 Letter announces CSBS Computer Audit and Control Conference for Bankers. 1-21-81 Notice of authorization to close banks in Philadelphia for official celebrations. 1980 11-7-80 Letter lists legal bank holidays for 1981. 10-28-80 Letter discusses proposed amendments to Department regulations pertaining to Legal Reserve Funds, 10 Pa. Code, Chapter11. 7-7-80 Letter announces ''Day with the Secretary'' program. 6-17-80 Letter discusses Chapter 7 and Section 103 of the Banking Code of 1965, as amended, and Section 202 of the Banking Code of 1933, as amended, legal reserves of PA nonmember banks. 6-10-80 Letter discusses Section 318 of the Banking Code of 1965 and permissible interest computations. 5-29-80 Letter discusses Act No. 51 of 1980, amending various provisions of the Banking Code of 1965 (P. L. 847, No. 346). 3-13-80 Letter discusses proposed legislation requiring mandatory reserves to be maintained at the Federal Reserve. 2-14-80 Letter discusses Act No. 286 of 1980 and new requirements for CPAs. 2-4-80 Letter discusses conversions of PA National Banks to State Charters. 1-2-80 Letter discusses federal law preemption of first lien residential mortgage rate portion of Pennsylvania usury law. 1979 11-29-79 Letter discusses whether a bank or a bank and trust company may charge the Federal Reserve discount rate plus 1% on a residential mortgage loan. 11-16-79 Letter discusses legal bank holidays. 11-1-79 Letter discusses attempts to curb inflation and to maintain stability and balance in Pennsylvania. 10-26-79 Letter regarding a Conference on technological revolution involving electronics. 10-9-79 Letter discusses Outstanding Mortgage Loans 10-8-79 Letter discusses Outstanding Mortgage Loans 10-3-79 Letter discusses to what extent PA banks may invest in mortgage-backed pass-through certificates sold by banks through an underwriting syndicate. 7-26-79 Letter discusses outstanding mortgage loans. 1975 3-7-75 Letter discusses instructions for filing documents with the Corporation Bureau of the Department of State. 1966 3-14-66 Letter discusses Saturday Banking Hours. POLICY STATEMENTS
* 10 Pa. Code §§ 13.61--13.68--Exception to Definition of ''Branch''
* 10 Pa. Code § 21.61--Insurance and Annuities (Act 40 of 1997 was enacted after issuance of this Statement of Policy)
* 10 Pa. Code § 41.3a--Calculation of Consumer Discount Company Act default charges--Statement of Policy
* 10 Pa. Code Chapter 81--Check Cashers--Statement of Policy
* 10 Pa. Code § 13.51--Simplification and Availability of Bank Credit--Statement of Policy
* 10 Pa. Code Chapter 48--First Mortgage Loan Business Practices--Statement of Policy
INDEX OF GUIDANCE AVAILABLE REGARDING COMPLIANCE WITH DEPOSITORY INSTITUTION STATUTES AND REGULATIONS
The following is a list of applications and instructions to assist depository institutions in complying with various provisions of the statutes and regulations respectively applicable to Pennsylvania State-chartered banking institutions, thrift institutions, and credit unions.
* Branch Applications:
DeNovo Branch--Bank, Savings Association, Credit Union, Non-Depository Trust Company
Purchase of Assets/Assumption of Liabilities--Bank, Savings Association
Remote Service Facility--Savings Association
Branch Relocation--Bank, Savings Association
Relocation of Main Office--Savings Association
Branch Discontinuance--Bank, Savings Association
Foreign Bank Office
* Conversions
National Bank to State Bank
Savings Association to Savings Bank
Mutual Savings Bank to Stock Savings Bank
Mutual Savings Association to Stock Savings Association
Federal Credit Union to State Credit Union
* Mergers
Banks
Savings Associations
Credit Unions
* Charters
Bank
Interim Bank
Savings Association
Interim Savings Association
Credit Union
Non-Depository Trust Company
* Dissolutions
Savings Associations
Bank
* Intrastate Acquisitions
Bank Holding Company
Thrift Holding Company
* Interstate Acquisitions
Thrift Holding Company
* Other
Change In Bank Control--Individuals
Mutual Holding Company Reorganizations
Trust Department--Bank, Savings Association
Bank Subsidiary and Parity Notice
INDEX OF GUIDANCE AVAILABLE REGARDING COMPLIANCE WITH LICENSEE STATUTES AND REGULATIONS
Instructions for license applications and Guidelines for compliance are available regarding each of the following statutes and, to the extent that regulations have been promulgated, their respective underlying regulations:
* Mortgage Bankers and Brokers Act,
* Secondary Mortgage Loan Act,
* Consumer Discount Company Act,
* Money Transmitter Act,
* Motor Vehicle Sales Finance Act,
* Pawnbrokers License Act,
* Check Cashers Licensing Act, and
* Credit Services Act.
In addition to the above indices, the Department of Banking maintains interpretive letters addressing the applicability of statutes and regulations administered by the Department of Banking to specific fact patterns. The Department may provide a summary of the Department's position on a particular issue or a redacted interpretive letter when appropriate in response to particular questions previously addressed by the Department, in order to assist the public and members of the lending industry in complying with laws administered by the Department. The Department of Banking will continue to issue interpretive letters on a case by case basis when appropriate regarding new issues raised by persons requesting such interpretive information.
BOARD OF PARDONS
Factors Considered by the Board of Pardons
In Evaluating Pardon/Commutation Requests
Many individuals call, write or email the Board of Pardons seeking information about what factors the Board deems most important in considering pardon/commutation requests. Some wish to use this information to help them decide whether to apply for clemency. Others seek the information to assist them in completing their applications after they have decided to apply.
Neither the Pennsylvania Constitution nor the laws or regulations governing the Board establish minimum eligibility requirements in order to apply for executive clemency. Also, the law does not establish a specific list of factors that the Board must consider in evaluating applications. As a result, each of the five Board members is free to rely upon the information that he/she feels is most important both in deciding to grant a public hearing and in deciding to recommend clemency to the Governor.
The Board believes that it will be helpful to clemency applicants and the public generally to provide a list of some of the factors that have been considered by the Board in the past in evaluating clemency applications. This list is by no means exclusive, and is not applied by every Board member in every case. Satisfaction of the criteria identified below does not entitle the applicant to clemency, nor does failure to satisfy the criteria automatically result in rejection of the application. Rather, the Board evaluates every application on a case-by-case basis to determine whether clemency is appropriate.
Factors Considered in Pardon Applications
1. How much time has elapsed since the commission of the crime(s)? Obviously, this factor, coupled with being crime free after the offense, is one of the best indicators of whether the applicant has been successfully rehabilitated. Further, the more serious, or numerous, the crime(s), the greater the period of successful rehabilitation that the applicant should be able to demonstrate.
2. Has the applicant complied with all court requirements? The applicant should be able to demonstrate successful completion of all court-imposed requirements such as probation, parole, and payment of all fines and costs. If unsure of the latter, applicants should check with the County Clerk of Courts, and get receipts for any recent payments.
3. Has the applicant made positive changes to his/her life since the offense(s)? Successful rehabilitation may also be demonstrated by positive changes since the offense(s) in applicant's career, education, family or through community or volunteer service, particularly in areas that relate to the offense(s).
4. What is the specific need for clemency? The applicant should identify a specific need for clemency, e.g., a particular job that applicant cannot get, or some particular activity that he/she cannot participate in without clemency, as opposed to the more general answers of ''employment purposes'' or ''to put this behind me'' that applicants frequently use.
5. What is the impact on the victim(s) of the offense(s)? The Board's regulations require that victims or next of kin be notified and given the opportunity to appear at the hearing or make a confidential submission in writing. Applicants should be aware that victims or next of kin may be present and, in any event, will have their viewpoint considered by the Board.
Factors Considered in Commutation of Sentence Applications
1. Does the applicant still have appeals pending in any court? The Board views clemency as an extraordinary remedy that should ordinarily be resorted to only after all legal remedies have been exhausted.
2. Is the applicant eligible for parole or will he/she be eligible within a reasonable period of time? In most cases, parole is the more appropriate avenue for release by applicants eligible for parole.
3. Has an appropriate period of incarceration been served based on the circumstances of the offense?
4. Has the applicant maintained an appropriate conduct record for consideration of clemency? The Board looks to the number of both serious and minor misconducts as a reliable indicator of the rehabilitation of the applicant.
5. Has the applicant had a successful work record and/or availed himself/herself of the programming opportunities for self-improvement that are available through the correctional facility? Again, the Board views these factors as reliable indicators of the rehabilitation of the applicant.
6. What is the impact on the victim(s) of the offense(s)? The Board's regulations require that victims or next of kin be notified and given the opportunity to appear at the hearing or make a confidential submission in writing. Applicants should be aware that victims or next of kin may be present and, in any event, will have their viewpoint considered by the Board.
Approved for distribution by the Pennsylvania Board of Pardons
Dated: November 28, 2005
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