World Library  
Flag as Inappropriate
Email this Article

State bank

Article Id: WHEBN0000903561
Reproduction Date:

Title: State bank  
Author: World Heritage Encyclopedia
Language: English
Subject: Federal Reserve System, List of Dutch inventions and discoveries, State Bank of New South Wales, Bank Melli Iran, BTH Bank
Collection: Banking, Monetary Reform
Publisher: World Heritage Encyclopedia
Publication
Date:
 

State bank

A state bank is generally a financial institution that is chartered by a state. It differs from a reserve bank in that it does not necessarily control monetary policy (indeed, the state in question may have no legal capacity to create monetary policy), but instead usually offers only retail and commercial services.

A state bank that has been in operation for five years or less is called a de novo bank.[1]

Contents

  • United States 1
  • Australia 2
  • List of state banks 3
  • References 4

United States

In the United States the term "state chartered bank" or "state chartered savings bank" is used in contradistinction to "national bank" or "federal savings bank", which are technically chartered across all US states. All national banks and savings institutions are chartered and regulated by the Office of the Comptroller of the Currency. State banks are chartered and regulated by a state agency (often called the Department of Financial Institutions) in the state in which its headquarters are located. In addition, state banks that are members of the Federal Reserve are regulated by the Federal Reserve; state banks that are not members of the Federal Reserve are regulated by the Federal Deposit Insurance Corporation (FDIC). Therefore, virtually every state chartered bank has both a state and federal regulator. There is a very small number of state banks which do not have FDIC insurance.

Australia

Each Australian state formerly had a state bank, but all have since been privatised. Although the Commonwealth Bank of Australia was to some extent a state bank by the above definition before privatisation, the word ‘state’ in Australia refers predominantly to the subnational entities.

List of state banks

References

  1. ^ Federal Reserve Bank of Chicago. "De Novo Banks". 
This article was sourced from Creative Commons Attribution-ShareAlike License; additional terms may apply. World Heritage Encyclopedia content is assembled from numerous content providers, Open Access Publishing, and in compliance with The Fair Access to Science and Technology Research Act (FASTR), Wikimedia Foundation, Inc., Public Library of Science, The Encyclopedia of Life, Open Book Publishers (OBP), PubMed, U.S. National Library of Medicine, National Center for Biotechnology Information, U.S. National Library of Medicine, National Institutes of Health (NIH), U.S. Department of Health & Human Services, and USA.gov, which sources content from all federal, state, local, tribal, and territorial government publication portals (.gov, .mil, .edu). Funding for USA.gov and content contributors is made possible from the U.S. Congress, E-Government Act of 2002.
 
Crowd sourced content that is contributed to World Heritage Encyclopedia is peer reviewed and edited by our editorial staff to ensure quality scholarly research articles.
 
By using this site, you agree to the Terms of Use and Privacy Policy. World Heritage Encyclopedia™ is a registered trademark of the World Public Library Association, a non-profit organization.
 



Copyright © World Library Foundation. All rights reserved. eBooks from World Library are sponsored by the World Library Foundation,
a 501c(4) Member's Support Non-Profit Organization, and is NOT affiliated with any governmental agency or department.