Restriction of Indebtedness of National and State Banking Associations, Sec. 18
Title
Restriction of Indebtedness of National and State Banking Associations, Sec. 18
Creator
Strong, Benjamin, 1872-1928
Identifier
WWP18864
Date
No date
Source
Benjamin Strong Jr. Papers, New York Federal Reserve Bank
Language
English
Text
First Revise.
RESTRICTION OF INDEBTEDNESS OF NATIONAL AND STATE BANKING ASSOCIATIONS.
Sec. 18. That no National banking association shall at any time be indebted or in any way liable to an amount exceeding the amount of its capital stock at such time actually paid in and remaining undiminished by losses or otherwise, except on accoutnt of demands of the nature following:(a) Notes of circulation;(b) Moneys deposited with or collected by the association;(c) Bills of exchange or drafts drawn against credits due the association, or money actually of deposit to the credit of the association or due thereto;(d) Liabilities to the stockholders of the association for dividends and reserve profits;(e) Liabilities incurred inder the provisions of paragraph , Secction 14, of the Federal Reserve Act;(f) Liability as endorser on notes, drafts and bills of exchange, arising out of commercial transactions, as defined in paragraph , Section 14, of the Federal Reserve Act;(g) Liability as acceptor of drafts or bills of exchange, subject to the limitations of paragraph , Section , of the Federal Reserve Act;$Section 5202 of the Revised Statutes of the United States is hereby repealed.That banks, banking associations and trust companies organized under State laws, shall be subject to the limitations defined in Section 17 of this Act.
RESTRICTION OF INDEBTEDNESS OF NATIONAL AND STATE BANKING ASSOCIATIONS.
Sec. 18. That no National banking association shall at any time be indebted or in any way liable to an amount exceeding the amount of its capital stock at such time actually paid in and remaining undiminished by losses or otherwise, except on accoutnt of demands of the nature following:(a) Notes of circulation;(b) Moneys deposited with or collected by the association;(c) Bills of exchange or drafts drawn against credits due the association, or money actually of deposit to the credit of the association or due thereto;(d) Liabilities to the stockholders of the association for dividends and reserve profits;(e) Liabilities incurred inder the provisions of paragraph , Secction 14, of the Federal Reserve Act;(f) Liability as endorser on notes, drafts and bills of exchange, arising out of commercial transactions, as defined in paragraph , Section 14, of the Federal Reserve Act;(g) Liability as acceptor of drafts or bills of exchange, subject to the limitations of paragraph , Section , of the Federal Reserve Act;$Section 5202 of the Revised Statutes of the United States is hereby repealed.That banks, banking associations and trust companies organized under State laws, shall be subject to the limitations defined in Section 17 of this Act.
Original Format
Miscellaneous
Files
Collection
Citation
Strong, Benjamin, 1872-1928, “Restriction of Indebtedness of National and State Banking Associations, Sec. 18,” No date, WWP18864, Benjamin Strong Jr. Papers, Woodrow Wilson Presidential Library & Museum, Staunton, Virginia.