PROFESSIONALS: Licensing: Non- Depository: Supervised Financial Institution

SUPERVISED FINANCIAL INSTITUTIONS

The origination of loans by employees or agents of a federally-insured depository institution chartered outside the state of West Virginia at nonbranch offices within West Virginia is permitted. However, the license must be obtained pursuant to §31A-2-5 and any such loans originating at the West Virginia office must be approved and made at the banking institution's principal place of business or branch bank:

Additionally, any consumer loans made in this manner are required to conform with state consumer protection laws. The Commissioner of Banking may examine the operations of such offices and collect fees for their examination in the manner set forth in state law. The relevant sections state as follows:

Loan Productions Offices of Out of State Banks must comply with the following:

• Solicitation of loan business
• Providing information as to loan rates and terms;
• Interviewing and counseling of applicants regarding loans (only),
• Aiding customers in the completion of loan applications.

• Signing or accepting of notes, security agreements, or other instruments obligating the loan customer;
• Delivery of loan proceeds to the borrower from the West Virginia Loan Production Office
• Provision at the Loan Production Office of forms enabling the customer to open checking or savings accounts by mail unless your bank has a branch office in West Virginia;
• Counseling of customers at the Loan Production Office regarding savings accounts, checking accounts, use of ATMs or other bank services (apart from loans) unless your bank has a branch office in West Virginia;
• Providing information to bank customers at the Loan Production Office concerning the status of deposit accounts unless your bank has a branch office in West Virginia; and
• Acceptance of loan payments at the West Virginia Loan Production Office.

Banking applicants for such a license should complete and submit the following form:

Notification Form to Become a Supervised Financial Institution
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Applicants under such a license must have a physical location in West Virginia and are responsible for compliance with all West Virginia lending and consumer protection laws.

Please note that if fingerprint cards are required for your client, they must be submitted on forms provided by our agency, please contact the Division of Banking at (304) 558-2294 to obtain the proper number of fingerprint forms.

Applicants for such a license should complete and submit the following application:

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Loan Production Office Application
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Partially completed applications or applications with missing documentation will not be processed and will be returned to the Applicant. Questions regarding the establishment of a loan production office in West Virginia should be directed to:

Dawn Holstein , Staff Analyst
West Virginia Division of Banking
State Capitol Complex
Building 3, Room 311
1900 Kanawha Boulevard East
Charleston, West Virginia 25311-1638
Telephone: (304) 558-2294
Fax: (304) 558-0442
Email: dholstein@wvdob.org