FLORIDA OFFICE OF FINANCIAL REGULATION by dnm98994

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									   FLORIDA OFFICE OF
FINANCIAL REGULATION
      Dual Banking System
•   Allows financial institutions to elect to be
    chartered and regulated by individual states or the
    federal government
•   Provides important regulatory checks and
    balances
•   Promotes innovation
•   Allows financial institutions to choose their
    controlling body of law
•   Ensures federal and state financial institution
    systems serve as whetstones for one another;
    challenging each other to constantly improve
•   All states are a part of the dual banking system
     Regulatory Cooperative Agreements

•   Florida has signed confidentiality, sharing, and
    examination agreements with FRB, FDIC, NCUA, the
    other states and most recently FinCEN and IRS for
    money service businesses.

•   Federal and state agencies accept Florida’s reports
    as their own to meet legal compliance and vice versa
    on an alternating basis.

•   NCUA accepts Florida’s reports as legal compliance
    and only examines state credit unions that pose
    increased risk to the insurance fund.
                   REGULATORY CHOICES
Institution type         Chartering authority   Other federal regulator



NATIONAL BANK                             OCC
STATE nonmember          STATE                     FDIC
STATE member             STATE                                   FRB
HOLDING CO.              STATE                                   FRB
FOREIGN BANK             STATE            OCC                    FRB
SAVINGS ASSOC.                            OTS
STATE SAVINGS            STATE            OTS
FEDERAL CU                               NCUA
STATE CU                 STATE           NCUA
            NUMBER OF BANKS IN FLORIDA
                                       Florida ranks 8th in number of banks
200        194                         nationwide                           194                  191
                                                                    185        188
                      180                    182        183
180
                                 166
160

140

120

100   95
                 87                     90
                            84                     81
80                                                             75
                                                                          71         68     67
60

40

20

 0
      1996       1997       1998         1999      2000        2001       2002       2003   2004

                                 National Banks               State Banks
ASSETS - STATE AND NATIONAL BANKS
 125   119.8




 100

                  81.5

 75


                                                                                            52.1
 50                         43.6      44.7                                        45.9
           40.9                           41.5                          41.1
                               37.6
                     35.5                                     34.5
                                                    32.7                       33.4
                                                                     30.8                30.2
                                                           27.7
                                                 24.7
 25



  0
        1996      1997      1998      1999       2000      2001      2002      2003      2004

                             National Banks                State Banks
 NUMBER OF NEW BANKS IN FLORIDA
30
28                                27
26
24
22
20
18
16                                         15
                                                                              14
14
12
                             10                      10
10                                                                    9
                         8
 8               7
         6                                                    6
6
                     4
4    3
             2
2                                      1         1                1
                                                          0               0
0
     1996    1997    1998    1999      2000      2001     2002    2003    2004

                                  National      State
    OF THE 113 NEW BANKS
  CHARTERED IN THE UNITED
 STATES IN 2004, 95 (84%) WERE
     STATE CHARTERED!
  OF THE 14 NEW BANKS THAT
OPENED IN FLORIDA IN 2004, 100%
   WERE STATE CHARTERED!
  “The United States has the strongest and most
 innovative banking system in the world, in large
   part because banks have the choice of being
   regulated by the state or federal government.
  This choice creates a healthy dynamic tension
  among regulators, resulting in a wider range of
  products and services available to consumers,
lower regulatory costs, and more effective, more
             responsive supervision.”


                   American Bankers Insurance Association
   Linda Townsend, Chief
  Bureau of Bank Regulation
Division of Financial Institutions
 Office of Financial Regulation
        State of Florida

         (850) 410-9111
   linda.townsend@fldfs.com
           July 26, 2005

								
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