Missouri Modifies Provisions Regarding Financial Institutions
by: Paul McSheffrey
The state of Missouri has recently enacted House Bill No. 329, replacing various statutes relating to financial institutions. These sections are effective immediately.
Under 361.160, the director of finance must arrange to visit and examine bank and trust companies annually. The amendment creates an exception for a “private trust company”, defined as
Section 361.160 requires examination of a private trust company by the director of finance once every three years rather than annually.
Section 408.140 provides for limitations on charges related to an extension of credit. Subsection (1), which includes an exception for loans thirty days or longer other than an open end credit transaction, has been amended to allow a fee of no more than ten percent (increased from five percent) of the principal amount loaned not to exceed seventy-five dollars. Under subsection (10), an advance fee of up to the lesser of seventy-five (increased from twenty-five) dollars or ten (increased from five) percent of the credit advanced from the line of credit.
Under section 408.590, each division director with supervisory authority over state financial institutions, must report annually to the governor and the director of the department. This applies to a county of city with a population over 250,000. The report must be maintained by each division as a public document for five years.
Paul McSheffrey, JD, is a senior regulatory compliance consultant with CLA. He is a graduate of Northeastern University and earned his juris doctor at the New England School of Law. He is admitted to the Bar in both Massachusetts and New York.
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