Pennsylvania Code Title 10 - BANKING AND SECURITIES
Here’s a comprehensive overview of Title 10 of the Pennsylvania Code – Banking and Securities, current as of late 2024:
📘 Title 10 – Banking and Securities
⚖️ Organizational Structure
Title 10 is divided into several parts, each overseen by the Department of Banking and Securities:
Part I – General Provisions
Begins with foundational chapters such as Preliminary Provisions (Chapter 1), Assessments (Chapter 5), Residential Real Estate Transactions (7), IRAs (9), and Minimum Capital Requirements (10) (pacodeandbulletin.gov, pa.gov).
Example: Chapter 10 mandates a minimum Tier 1 capital to total assets ratio of 4%, with stricter thresholds possible for underperforming institutions. Falling under 2% triggers an "unsafe and unsound" designation (pacodeandbulletin.gov).
Part II – Bureau of Banks
Includes Chapters 11–30 and covers bank operations, lending rules (Ch. 13), trust services, money transmitters, and general banking provisions (Ch. 21) (pacodeandbulletin.gov).
Example: 10 Pa. Code § 13.67 grants the Department authority to supervise limited-purpose banking offices as needed (law.cornell.edu).
Part III – Savings Association Bureau
Chapters 31–40 cover investment operations, trust powers, deposit rules, consumer loans, mobile home financing, and reserve requirements (regulations.justia.com).
Part IV – Bureau of Consumer Credit Agencies
Chapters 41–59 regulate consumer credit institutions (like those engaged in motor vehicle financing, debt management, or settlement services) (law.cornell.edu).
Part V – Pawnbrokers (Chapters 61–67) – Covers licensing and regulation of pawnbroker businesses (law.cornell.edu).
Part VI – Check Cashers (Chapter 81) – Regulations around check-cashing operations (law.cornell.edu).
Part VII – Securities
Subparts A–I address securities definitions, registration, broker-dealer/agent licensing, fraudulent practices, enforcement protocols, and takeover offers (law.cornell.edu).
Example: 10 Pa. Code § 609.010 sets strict standards for “prospective financial statements” used in securities offerings, including assumptions, reviewer qualifications, and a minimum 3-year forecast period (law.cornell.edu).
Chapter 203 outlines exemptions, such as those for indirect offers, intrastate transactions, proxy materials, and nonprofit debt securities (pacodeandbulletin.gov).
🔍 Key Highlights
1. Assessments & Fees (Chapter 5)
State-chartered banks, savings associations, credit unions, trust companies, and savings banks owe semi-annual assessments based on assets, with progressive structures and surcharges for low-performance institutions (pacodeandbulletin.gov).
2. Capital Adequacy (Chapter 10)
Institutions must adhere to:
≥ 4% Tier 1 capital/assets (leverage)
Risk-based requirements aligned with federal standards
Capital ratios below 2% are deemed unsafe; corrective or supervisory action may follow (law.cornell.edu, pacodeandbulletin.gov).
3. Bank Supervision (Part II, Ch. 13)
The Department may regulate and examine non-traditional "limited purpose" banking offices under § 13.67 (law.cornell.edu).
4. Securities Regulation (Part VII)
Comprehensive rules for:
Prospectus requirements (e.g., prospective financials must span 3 years, prepared by independent reviewers) (law.cornell.edu)
Definitions and exemptions (e.g., existing equity-holder offers, proxy filing mandates) (pacodeandbulletin.gov)
🛠️ Where to Access the Complete Code
🏛️ Pennsylvania Code & Bulletin Online – Master index and full text (pacodeandbulletin.gov)
📚 Justia or Cornell LII – Searchable state regulations (law.cornell.edu)
💼 Department of Banking and Securities (DoBS) – Links to statutory frameworks and administrative rulings (pa.gov)
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