WEST VIRGINIA STATE BANKING CODE CHAPTER 31A, ARTICLE 8, SECTION 12, sets forth the requirements and procedure for the establishment of a denovo branch bank by a West Virginia state bank.
No state banking institution may establish a branch bank until the West Virginia Board of Banking and Financial Institutions enters an order approving an application for that branch bank unless the bank qualifies to use expedited procedures.
The order shall be accompanied by findings of fact that:
- The applicant satisfies such reasonable and appropriate requirements as to sound financial condition;
- The establishment of the proposed branch would not result in a monopoly, nor be in furtherance of any combination or conspiracy to monopolize the business of banking in any section of the state;
- The establishment of the proposed branch would not have the effect in any section of the state of substantially lessening competition, nor tend to create a monopoly or in any other manner be in restraint of trade, unless the anticompetitive effects of the establishment of that proposed branch are clearly outweighed in the public interest by the probable effect of the establishment of the branch in meeting the convenience and needs of the community to be served by that proposed branch;
- The applicant state-chartered banking institution meets a satisfactory standard of compliance with federal and state community reinvestment act requirements as evidenced by its most recent state or federal examination;
- The applicant meets a satisfactory standard of compliance with federal and state consumer compliance law and regulations as evidenced by its most recent state or federal regulatory examination; and
- The applicant meets acceptable standards for investment in premises and fixed assets as permitted by section thirteen, article 4, chapter 31A of the WV Code.
- The following documents are available to provide information on establishing a denovo branch bank.
- These documents are viewable with Microsoft Word Viewer or Adobe Acrobat.
Process to be followed by Denovo Branch Applicants
Application to Establish a Denovo Branch
EXPEDITED DENOVO BANK BRANCH INFORMATION
WEST VIRGINIA STATE BANKING CODE CHAPTER 31A, ARTICLE 8, SECTION 12d, sets forth the expedited procedure for authorization of denovo branch banks.
No state banking institution may establish a branch bank under expedited procedures until the Commissioner of Banking provides written approval.
The Commissioner's approval or rejection of the notice shall be accompanied by findings of fact that:
- The applicant satisfies such reasonable and appropriate requirements as to sound financial condition;
- The applicant state-chartered banking institution meets a satisfactory standard of compliance with federal and state community reinvestment act requirements as evidenced by its most recent state or federal examination;
- The applicant meets a satisfactory standard of compliance with federal and state consumer compliance law and regulations as evidenced by its most recent state or federal regulatory examination; and
- The applicant meets acceptable standards for investment in premises and fixed assets as permitted by section thirteen, article 4, chapter 31A of the WV Code.
- The following document is available to provide information on establishing a denovo branch bank under expedited procedures.
Notice to Establish a Denovo Branch Bank Under Expedited Procedures
GENERAL INFORMATION
Under Legislative Rule 106 CSR 12, all applications shall include the current Community Reinvestment Act policy statements required pursuant to the Federal Community Reinvestment Act of 1977 and related regulations issued thereunder. For all applications requiring approval the applicants shall, in conjunction with public notice and publication requirements of the Federal Reserve Board or Federal Deposit Insurance Corporation, include in the notice the following statement:
"The public is also invited to submit written comments regarding this application to the West Virginia Board of Banking and Financial Institutions. Write Commissioner of Banking, 900 Pennsylvania Avenue, Suite 306, Charleston, West Virginia, 25302."
For FDIC filing requirements, you may contact the Atlanta Regional Office of the Federal Deposit Insurance Corporation at (404) 817-1300 or contact the appropriate Federal Reserve Bank if the bank is a member of the Federal Reserve System.
The West Virginia Board of Banking and Financial Institutions meets quarterly on the second Monday in March, June, September and December to take action on pending applications. In order to be considered, denovo branch applications must be submitted for review by the staff approximately 45 days but no more than 90 days prior to the next scheduled Board meeting
If you have any questions, you may contact Dawn Holstein.