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Can you summarize 5 ALCA Chapter 1A?
BANKS AND FINANCIAL INSTITUTIONS. > GENERAL PROVISIONS.
Short Summary
The provided legal document content pertains to the Code of Alabama governing banks and financial institutions. It clarifies that Chapters 1A through 12A of the title do not limit or restrict the activities of savings and loan associations or credit unions lawfully authorized. It also states that the provisions of Chapters 1A through 13B and Chapter 20 of the title shall prevail over inconsistent provisions of any other law. The document further specifies that the supervisory provisions of Chapters 1A through 12A do not apply to national banks. It prohibits any person, firm, corporation, or entity, except a bank or authorized credit union or savings and loan association, from lending money, receiving deposits, or paying checks at its principal office or branch in Alabama. The document ensures that the repeal of prior acts by Chapters 1A through 12A does not affect the organization, existence, rights, liabilities, or interests of existing banks. It establishes the relationship of debtor and creditor between depositors and depository institutions, unless otherwise specified in a written agreement. The document also addresses the use of lender information or trade name in solicitations, allowing lenders to seek injunctions and recover damages for unauthorized use. It designates Chapters 1A through 13B and Chapter 20 as the ‘Alabama Banking Code.’ Lastly, it restricts the use of certain words related to banking unless authorized, with exemptions for entities using such words in their trade or firm name since July 12, 1949.
Whom does it apply to?
The document applies to savings and loan associations, credit unions, national banks, and other entities engaged in lending, deposit-taking, or check payments in Alabama.
What does it govern?
The legal document governs various aspects of banks and financial institutions in the state of Alabama.
What are exemptions?
The supervisory provisions of Chapters 1A through 12A of this title do not apply to national banks. Additionally, the use of words such as 'bank,' 'banker,' 'banking,' or similar terms in any foreign language is restricted unless the entity is a banking corporation organized under the laws of Alabama, other states, the United States, or foreign countries. Entities that have lawfully and continuously used such words in their trade or firm name since July 12, 1949, are exempt from this restriction.
What are the Penalties?
No specific penalties are mentioned in this document.
Jurisdiction
Alabama