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Can you summarize VTCR 21-010-005?
BANKING DIVISION > RECORD RETENTION - FINANCIAL INSTITUTIONS, CREDIT UNIONS, INDEPENDENT TRUST COMPANIES AND LICENSEES
Short Summary
This regulation, issued by the Department of Financial Regulation’s Banking Division in Vermont, governs the record retention requirements for financial institutions, credit unions, independent trust companies, and state licensed financial businesses. The regulation applies to records created on or after July 1, 2014. It requires institutions to be able to rebuild a transaction for seven years from the date of the transaction or seven years from the payoff date of a loan. Certain records may need to be held longer than seven years, and institutions have the option to hold some records for less than seven years as specified in Appendix I. However, the regulation does not apply to records created prior to July 1, 2014, and the retention period for such records is determined by the requirements in place at the time of their creation. The document also specifies that all records must be retained for at least the minimum time period specified in the regulation. If an institution maintains a similar record with equivalent information, it should be retained for the period specified for such equivalent records. In case of conflicts with other laws or regulations, longer retention periods prevail. Records not specifically enumerated in the regulation but subject to retention requirements under other laws, regulations, court orders, or institution policies should be retained as per the applicable requirement. Records not specifically enumerated and not subject to retention requirements may be destroyed after seven years from the date of the transaction or loan, as applicable, with authorization from the institution’s governing body. Records not specifically enumerated, not subject to retention requirements, and not part of an actual transaction or loan may be destroyed at the institution’s discretion as specified in its record retention policy. The content of the record determines the applicable retention period, regardless of the medium in which it is sent or received. The document also emphasizes that records must be maintained in a form and manner consistent with reasonable business practices and applicable laws or regulations. Disposal of records should be done in accordance with the Vermont Document Safe Destruction Act, if applicable.
Whom does it apply to?
Financial institutions, credit unions, independent trust companies, and licensees
What does it govern?
Record retention requirements
What are exemptions?
Records created prior to July 1, 2014
What are the Penalties?
Violations are subject to the provisions of 8 V.S.A. Chapter 201, subchapter 6
Jurisdiction
Vermont