Bank investment in service corporation - Service corporation services and activities
N.D. Cent. Code § 6-03-49.1
in effect6-03-49.1. Bank investment in service corporation - Service corporation services and
activities.
1. Subject to the approval of the state banking board, any bank may invest in a service
corporation and provide services and activities through the service corporation, if:
a. The service corporation is a United States corporation and is organized as a bank
service corporation having its principal place of business in the United States.
b. The investment in stocks, bonds, debentures, or other obligations does not
exceed ten percent of paid-in and unimpaired capital and unimpaired surplus in
each corporation.
c. The service corporation is operated exclusively for the purpose of providing for
such bank and one or more other banks, bank services which the banks would
otherwise be required or permitted to provide for on an individual bank basis. The
term bank services in this section includes:
(1) Check and deposit sorting and posting.
(2) Computation and posting of interest and other credits and charges.
(3) Preparation and mailing of checks, statements, notices, and similar items.
(4) Any other clerical, bookkeeping, accounting, statistical, or similar functions
performed by a bank.
(5) Owning and administering a credit card program for customers of banks.
(6) Engaging in activities incidental to banking services.
(7) Other activities that further or facilitate the corporate purposes of a bank or
subsidiaries of a bank, if the services may be lawfully performed by both its
national bank shareholders under the laws of the United States and its state
bank shareholders under the laws of this state.
2. Payment for rent earned, goods sold and delivered, or services rendered prior to the
making of the payment is not an investment under this subsection. A bank service
corporation may not accept deposits.
Source: Open US Law by Vaquill AI (CC BY 4.0)URL: https://ndlegis.gov/cencode/t06c03.pdf#nameddest=6-03-49p1Fetched: 10/16/2026