Arizona Laws 6-328. Deposit concentration limits
A. Neither an out-of-state financial institution nor an in-state financial institution shall acquire another out-of-state financial institution or in-state financial institution if either of the following conditions exist:
Terms Used In Arizona Laws 6-328
- Bank: means a corporation that holds a banking permit issued pursuant to chapter 2 of this title. See Arizona Laws 6-101
- Control: means direct or indirect ownership of or power to vote twenty-five percent or more of the outstanding voting shares of an in-state financial institution or to control in any manner the election of a majority of the directors of an in-state financial institution. See Arizona Laws 6-321
- Deputy director: means the deputy director of the financial institutions division of the department. See Arizona Laws 6-101
- Financial institution: means banks, trust companies, savings and loan associations, credit unions, consumer lenders, international banking facilities and financial institution holding companies under the jurisdiction of the department. See Arizona Laws 6-101
- In-state financial institution: means a state or federal bank, savings bank or savings and loan association with its home office in this state, or holding company with its home office in this state. See Arizona Laws 6-321
- Out-of-state financial institution: means a state or federal bank, savings bank or savings and loan association with its home office in a state other than this state, or holding company with its home office in a state other than this state. See Arizona Laws 6-321
1. The resulting out-of-state financial institution, in-state financial institution or affiliation would control thirty percent or more of the bank deposits held in this state.
2. One of the out-of-state financial institutions or in-state financial institutions in the acquisition already controls thirty percent or more of the bank deposits held in this state.
B. Subsection A of this section does not apply to any interstate acquisition involving only already affiliated entities.
C. The deputy director, by order and on findings of fact and conclusions of law, may waive the deposit concentration limit prescribed by subsection A of this section. In determining whether to waive the deposit concentration limit, the deputy director shall not discriminate against out-of-state financial institutions and shall not grant a waiver unless the deputy director finds that the waiver will promote any of the following:
1. The availability of financial services.
2. The marketability of in-state financial institutions.
3. Another public interest.