{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/6.2-816.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/6.2-816.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/6.2-816.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/6.2-816.html"}],"law_id":72786,"edition_id":1,"section_id":72786,"structure_id":15203,"section_number":"6.2-816","catch_line":"Banks to obtain certificate of authority","history":"Code 1950, \u00a7 6-31; 1966, c. 584, \u00a7 6.1-13; 1973, c. 454; 1976, c. 658; 1979, c. 57; 1983, c. 193; 1989, c. 751; 1989, Sp. Sess., cc. 4, 7; 1992, c. 460; 1996, c. 26; 1998, c. 18; 2010, c. 794; 2014, cc. 221, 372.","full_text":"A\n\nBefore any bank shall begin business it shall obtain from the Commission a certificate of authority authorizing it to do so. Prior to the issuance of such certificate, the Commission shall ascertain:1\n\nThat all of the provisions of law have been complied with;2\n\nThat financially responsible individuals have subscribed for capital stock and surplus in an amount deemed by the Commission to be sufficient to warrant successful operation. The amount of capital stock shall not be less than $2 million, except that the capital stock shall not be less than $500,000 for any trust company incorporated for the sole purpose of exercising fiduciary powers authorized by the provisions of Article 3 (§ 6.2-819 et seq.) of this chapter. The minimum capital stock requirement under this subdivision shall apply when a bank is being organized to begin business;3\n\nThat oaths of all the directors have been taken and filed in accordance with the provisions of § 6.2-863;4\n\nThat, in its opinion, the public interest will be served by banking facilities or additional banking facilities, as the case may be, in the community where the bank is proposed. The addition of such facilities shall be deemed in the public interest if, based on all relevant evidence and information, advantages such as, but not limited to, increased competition, additional convenience, or gains in efficiency outweigh possible adverse effects such as, but not limited to, diminished or unfair competition, undue concentration of resources, conflicts of interests, or unsafe or unsound practices;5\n\nThat the corporation is formed for no other reason than a legitimate banking business;6\n\nThat the moral fitness, financial responsibility, and business qualifications of individuals named as officers and directors of the proposed bank are sufficient to command the confidence of the community where the bank is proposed;7\n\nThat the bank’s deposits are to be insured by a federal agency up to the limits of the insurance provided thereby; and8\n\nAnything else deemed pertinent.B\n\nThe minimum capital stock requirement specified in subdivision A 2 shall not apply when this section is referred to or used in connection with:1\n\nThe conversion of an operating savings institution or national bank to a state bank;2\n\nThe reorganization of an operating bank under a holding company;3\n\nThe issuance of a certificate of authority to a holding company to facilitate its merger with and into its subsidiary bank;4\n\nThe issuance of a certificate of authority to a holding company to facilitate the merger of its subsidiary bank with and into the holding company;5\n\nThe issuance of a certificate of authority to a holding company to facilitate the merger of both the holding company and its subsidiary bank with and into a newly formed entity; or6\n\nThe issuance of a certificate of authority to a resulting bank following a merger described in subdivision B 3, B 4, or B 5, provided that such merger does not result in or involve a change of control as defined in § 6.2-701.","order_by":null,"text":{"0":{"id":262141,"text":"Before any bank shall begin business it shall obtain from the Commission a certificate of authority authorizing it to do so. Prior to the issuance of such certificate, the Commission shall ascertain:","type":"section","prefixes":["A"],"prefix":"A","entire_prefix":"A","prefix_anchor":"A","level":1,"next_prefix":"A1"},"1":{"id":262142,"text":"That all of the provisions of law have been complied with;","type":"section","prefixes":["A","1"],"prefix":"1","entire_prefix":"A1","prefix_anchor":"A1","level":2,"prior_prefix":"A","next_prefix":"A2"},"2":{"id":262143,"text":"That financially responsible individuals have subscribed for capital stock and surplus in an amount deemed by the Commission to be sufficient to warrant successful operation. The amount of capital stock shall not be less than $2 million, except that the capital stock shall not be less than $500,000 for any trust company incorporated for the sole purpose of exercising fiduciary powers authorized by the provisions of Article 3 (§ 6.2-819 et seq.) of this chapter. The minimum capital stock requirement under this subdivision shall apply when a bank is being organized to begin business;","type":"section","prefixes":["A","2"],"prefix":"2","entire_prefix":"A2","prefix_anchor":"A2","level":2,"prior_prefix":"A1","next_prefix":"A3"},"3":{"id":262144,"text":"That oaths of all the directors have been taken and filed in accordance with the provisions of § 6.2-863;","type":"section","prefixes":["A","3"],"prefix":"3","entire_prefix":"A3","prefix_anchor":"A3","level":2,"prior_prefix":"A2","next_prefix":"A4"},"4":{"id":262145,"text":"That, in its opinion, the public interest will be served by banking facilities or additional banking facilities, as the case may be, in the community where the bank is proposed. The addition of such facilities shall be deemed in the public interest if, based on all relevant evidence and information, advantages such as, but not limited to, increased competition, additional convenience, or gains in efficiency outweigh possible adverse effects such as, but not limited to, diminished or unfair competition, undue concentration of resources, conflicts of interests, or unsafe or unsound practices;","type":"section","prefixes":["A","4"],"prefix":"4","entire_prefix":"A4","prefix_anchor":"A4","level":2,"prior_prefix":"A3","next_prefix":"A5"},"5":{"id":262146,"text":"That the corporation is formed for no other reason than a legitimate banking business;","type":"section","prefixes":["A","5"],"prefix":"5","entire_prefix":"A5","prefix_anchor":"A5","level":2,"prior_prefix":"A4","next_prefix":"A6"},"6":{"id":262147,"text":"That the moral fitness, financial responsibility, and business qualifications of individuals named as officers and directors of the proposed bank are sufficient to command the confidence of the community where the bank is proposed;","type":"section","prefixes":["A","6"],"prefix":"6","entire_prefix":"A6","prefix_anchor":"A6","level":2,"prior_prefix":"A5","next_prefix":"A7"},"7":{"id":262148,"text":"That the bank’s deposits are to be insured by a federal agency up to the limits of the insurance provided thereby; and","type":"section","prefixes":["A","7"],"prefix":"7","entire_prefix":"A7","prefix_anchor":"A7","level":2,"prior_prefix":"A6","next_prefix":"A8"},"8":{"id":262149,"text":"Anything else deemed pertinent.","type":"section","prefixes":["A","8"],"prefix":"8","entire_prefix":"A8","prefix_anchor":"A8","level":2,"prior_prefix":"A7","next_prefix":"B"},"9":{"id":262150,"text":"The minimum capital stock requirement specified in subdivision A 2 shall not apply when this section is referred to or used in connection with:","type":"section","prefixes":["B"],"prefix":"B","entire_prefix":"B","prefix_anchor":"B","level":1,"prior_prefix":"A8","next_prefix":"B1"},"10":{"id":262151,"text":"The conversion of an operating savings institution or national bank to a state bank;","type":"section","prefixes":["B","1"],"prefix":"1","entire_prefix":"B1","prefix_anchor":"B1","level":2,"prior_prefix":"B","next_prefix":"B2"},"11":{"id":262152,"text":"The reorganization of an operating bank under a holding company;","type":"section","prefixes":["B","2"],"prefix":"2","entire_prefix":"B2","prefix_anchor":"B2","level":2,"prior_prefix":"B1","next_prefix":"B3"},"12":{"id":262153,"text":"The issuance of a certificate of authority to a holding company to facilitate its merger with and into its subsidiary bank;","type":"section","prefixes":["B","3"],"prefix":"3","entire_prefix":"B3","prefix_anchor":"B3","level":2,"prior_prefix":"B2","next_prefix":"B4"},"13":{"id":262154,"text":"The issuance of a certificate of authority to a holding company to facilitate the merger of its subsidiary bank with and into the holding company;","type":"section","prefixes":["B","4"],"prefix":"4","entire_prefix":"B4","prefix_anchor":"B4","level":2,"prior_prefix":"B3","next_prefix":"B5"},"14":{"id":262155,"text":"The issuance of a certificate of authority to a holding company to facilitate the merger of both the holding company and its subsidiary bank with and into a newly formed entity; or","type":"section","prefixes":["B","5"],"prefix":"5","entire_prefix":"B5","prefix_anchor":"B5","level":2,"prior_prefix":"B4","next_prefix":"B6"},"15":{"id":262156,"text":"The issuance of a certificate of authority to a resulting bank following a merger described in subdivision B 3, B 4, or B 5, provided that such merger does not result in or involve a change of control as defined in § 6.2-701.","type":"section","prefixes":["B","6"],"prefix":"6","entire_prefix":"B6","prefix_anchor":"B6","level":2,"prior_prefix":"B5"}},"ancestry":[{"id":15203,"edition_id":1,"name":"Incorporation and Powers","identifier":"2","label":"article","depth":4,"order_by":1,"parent_id":13791,"metadata":{},"date_created":"2026-06-26 03:52:57","date_modified":"2026-06-26 03:52:57","permalink":{"id":265377,"object_type":"structure","relational_id":15203,"identifier":"2","token":"6.2\/II\/8\/2","url":"\/6.2\/II\/8\/2\/","edition_id":1,"permalink":0,"preferred":1}},{"id":13791,"edition_id":1,"name":"Banks","identifier":"8","label":"chapter","depth":3,"order_by":1,"parent_id":13000,"metadata":{},"date_created":"2026-06-26 03:45:53","date_modified":"2026-06-26 03:45:53","permalink":{"id":265065,"object_type":"structure","relational_id":13791,"identifier":"8","token":"6.2\/II\/8","url":"\/6.2\/II\/8\/","edition_id":1,"permalink":0,"preferred":1}},{"id":13000,"edition_id":1,"name":"Depository Institutions and Trust Organizations","identifier":"II","label":"subtitle","depth":2,"order_by":1,"parent_id":12852,"metadata":{},"date_created":"2026-06-26 03:44:07","date_modified":"2026-06-26 03:44:07","permalink":{"id":263685,"object_type":"structure","relational_id":13000,"identifier":"II","token":"6.2\/II","url":"\/6.2\/II\/","edition_id":1,"permalink":0,"preferred":1}},{"id":12852,"edition_id":1,"name":"Financial Institutions and Services","identifier":"6.2","label":"title","depth":1,"order_by":1,"parent_id":null,"metadata":{},"date_created":"2026-06-26 03:43:56","date_modified":"2026-06-26 03:43:56","permalink":{"id":263249,"object_type":"structure","relational_id":12852,"identifier":"6.2","token":"6.2","url":"\/6.2\/","edition_id":1,"permalink":0,"preferred":1}}],"structure_contents":[{"id":57883,"structure_id":15203,"section_number":"6.2-808","catch_line":"Incorporation; corporate powers","url":"\/6.2-808\/","token":"6.2\/II\/8\/2\/6.2-808","metadata":false},{"id":64462,"structure_id":15203,"section_number":"6.2-809","catch_line":"Bankers' banks","url":"\/6.2-809\/","token":"6.2\/II\/8\/2\/6.2-809","metadata":false},{"id":66337,"structure_id":15203,"section_number":"6.2-810","catch_line":"Effect of chapter on charter powers","url":"\/6.2-810\/","token":"6.2\/II\/8\/2\/6.2-810","metadata":false},{"id":71469,"structure_id":15203,"section_number":"6.2-811","catch_line":"Membership in Federal Reserve Bank System or Federal Home Loan Bank System","url":"\/6.2-811\/","token":"6.2\/II\/8\/2\/6.2-811","metadata":false},{"id":61874,"structure_id":15203,"section_number":"6.2-812","catch_line":"Inspection of records, reports, and information of insured banks","url":"\/6.2-812\/","token":"6.2\/II\/8\/2\/6.2-812","metadata":false},{"id":61122,"structure_id":15203,"section_number":"6.2-813","catch_line":"Participation by banks in school thrift or savings plans","url":"\/6.2-813\/","token":"6.2\/II\/8\/2\/6.2-813","metadata":false},{"id":78611,"structure_id":15203,"section_number":"6.2-814","catch_line":"Powers of banks","url":"\/6.2-814\/","token":"6.2\/II\/8\/2\/6.2-814","metadata":false},{"id":70892,"structure_id":15203,"section_number":"6.2-815","catch_line":"Suspension of business during emergency","url":"\/6.2-815\/","token":"6.2\/II\/8\/2\/6.2-815","metadata":false},{"id":72786,"structure_id":15203,"section_number":"6.2-816","catch_line":"Banks to obtain certificate of authority","url":"\/6.2-816\/","token":"6.2\/II\/8\/2\/6.2-816","metadata":false},{"id":77490,"structure_id":15203,"section_number":"6.2-817","catch_line":"Capital stock subscriptions","url":"\/6.2-817\/","token":"6.2\/II\/8\/2\/6.2-817","metadata":false},{"id":70515,"structure_id":15203,"section_number":"6.2-818","catch_line":"Repealed","url":"\/6.2-818\/","token":"6.2\/II\/8\/2\/6.2-818","metadata":false},{"id":60477,"structure_id":15203,"section_number":"6.2-818.1","catch_line":"Virtual currency custody services by banks","url":"\/6.2-818.1\/","token":"6.2\/II\/8\/2\/6.2-818.1","metadata":false}],"previous_section":{"id":70892,"structure_id":15203,"section_number":"6.2-815","catch_line":"Suspension of business during emergency","url":"\/6.2-815\/","token":"6.2\/II\/8\/2\/6.2-815","metadata":false},"next_section":{"id":77490,"structure_id":15203,"section_number":"6.2-817","catch_line":"Capital stock subscriptions","url":"\/6.2-817\/","token":"6.2\/II\/8\/2\/6.2-817","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/6.2-816\/","history_text":"

The record of this law\u2019s original creation isn\u2019t available online. It has been modified 11 times. Those modifications are cataloged by \u201cThe Acts of Assembly,\u201d a state publication, by year and chapter. Those modifications that can be read on the General Assembly\u2019s website will be linked accordingly. Those modifications are as follows: in 1966, chapter 584; in 1973, chapter 454; in 1976, chapter 658; in 1979, chapter 57; in 1983, chapter 193; in 1989, chapter 751; in 1992, chapter 460; in 1996, chapter 26<\/a>; in 1998, chapter 18<\/a>; in 2010, chapter 794<\/a>; in 2014, chapters 221<\/a> and 372<\/a>.<\/p>","references":[{"id":81364,"section_number":"6.2-1142","catch_line":"Conversion of federal financial institution into state savings institution or state bank","order_by":null,"url":"\/6.2-1142\/"},{"id":66708,"section_number":"6.2-1144","catch_line":"Conversion from stock savings institution to bank","order_by":null,"url":"\/6.2-1144\/"},{"id":65808,"section_number":"6.2-1146","catch_line":"State association or association holding company acquiring bank; association acquired by bank or bank holding company; merger or consolidation of association and bank","order_by":null,"url":"\/6.2-1146\/"},{"id":63809,"section_number":"6.2-822","catch_line":"Merger and share exchange by state banks","order_by":null,"url":"\/6.2-822\/"},{"id":84764,"section_number":"6.2-823","catch_line":"Conversion of national banking association to state bank; certificate of authority","order_by":null,"url":"\/6.2-823\/"},{"id":62085,"section_number":"6.2-908","catch_line":"Fees for supervision and regulation and for certain examinations and investigations","order_by":null,"url":"\/6.2-908\/"}],"refers_to":[{"id":60495,"section_number":"6.2-701","catch_line":"Presumptions regarding control of entities, ownership of shares, and activities of subsidiaries or other entities","order_by":null,"url":"\/6.2-701\/"},{"id":85620,"section_number":"6.2-819","catch_line":"Authority to engage in trust business; permission of Commission required","order_by":null,"url":"\/6.2-819\/"},{"id":75199,"section_number":"6.2-863","catch_line":"Oaths of directors","order_by":null,"url":"\/6.2-863\/"}],"permalink":{"id":265411,"object_type":"law","relational_id":72786,"identifier":"6.2-816","token":"6.2\/II\/8\/2\/6.2-816","url":"\/6.2-816\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/6.2-816\/","token":"6.2\/II\/8\/2\/6.2-816","dublin_core":{"Title":"Banks to obtain certificate of authority","Type":"Text","Format":"text\/html","Identifier":"\u00a7 6.2-816","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

A.<\/span> Before any bank<\/span> shall begin business it shall obtain from the Commission<\/span> a certificate of authority authorizing it to do so. Prior to the issuance of such certificate, the Commission<\/span> shall ascertain: <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

1.<\/span> That all of the provisions of law<\/span> have been complied with; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

2.<\/span> That financially responsible individuals have subscribed for capital stock and surplus in an amount deemed by the Commission<\/span> to be sufficient to warrant successful operation. The amount of capital stock shall not be less than $2 million, except that the capital stock shall not be less than $500,000 for any trust company incorporated for the sole purpose of exercising fiduciary powers authorized by the provisions of Article 3 (§ 6.2-819<\/a> et seq.) of this chapter. The minimum capital stock requirement under this subdivision shall apply when a bank<\/span> is being organized to begin business; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

3.<\/span> That oaths<\/span> of all the directors have been taken and filed in accordance with the provisions of § 6.2-863<\/a>; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

4.<\/span> That, in its opinion<\/span>, the public interest will be served by banking facilities or additional banking facilities, as the case may be, in the community where the bank<\/span> is proposed. The addition of such facilities shall be deemed in the public interest if, based on all relevant evidence<\/span> and information, advantages such as, but not limited to, increased competition, additional convenience, or gains in efficiency outweigh possible adverse effects such as, but not limited to, diminished or unfair competition, undue concentration of resources, conflicts of interests, or unsafe or unsound practices; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

5.<\/span> That the corporation is formed for no other reason than a legitimate banking business; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

6.<\/span> That the moral fitness, financial responsibility, and business qualifications of individuals named as officers and directors of the proposed bank<\/span> are sufficient to command the confidence of the community where the bank<\/span> is proposed; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

7.<\/span> That the bank<\/span>’s deposits are to be insured by a federal agency up to the limits of the insurance provided thereby; and <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

8.<\/span> Anything else deemed pertinent. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

B.<\/span> The minimum capital stock requirement specified in subdivision A 2 shall not apply when this section is referred to or used in connection with: <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

1.<\/span> The conversion of an operating savings institution or national bank to a state bank<\/span>; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

2.<\/span> The reorganization of an operating bank under a holding company; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

3.<\/span> The issuance of a certificate of authority to a holding company to facilitate its merger with and into its subsidiary bank; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

4.<\/span> The issuance of a certificate of authority to a holding company to facilitate the merger of its subsidiary bank with and into the holding company; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

5.<\/span> The issuance of a certificate of authority to a holding company to facilitate the merger of both the holding company and its subsidiary bank with and into a newly formed entity<\/span>; or <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

6.<\/span> The issuance of a certificate of authority to a resulting bank following a merger described in subdivision B 3, B 4, or B 5, provided that such merger does not result in or involve a change of control as defined in § 6.2-701<\/a>. <\/i><\/a><\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nBANKS TO OBTAIN CERTIFICATE OF AUTHORITY (\u00a7 6.2-816)\n\nA. Before any bank shall begin business it shall obtain from the Commission a\ncertificate of authority authorizing it to do so. Prior to the issuance of such\ncertificate, the Commission shall ascertain:\n\n 1. That all of the provisions of law have been complied with;\n\n 2. That financially responsible individuals have subscribed for capital stock\n and surplus in an amount deemed by the Commission to be sufficient to warrant\n successful operation. The amount of capital stock shall not be less than $2\n million, except that the capital stock shall not be less than $500,000 for any\n trust company incorporated for the sole purpose of exercising fiduciary powers\n authorized by the provisions of Article 3 (§ 6.2-819 et seq.) of this\n chapter. The minimum capital stock requirement under this subdivision shall\n apply when a bank is being organized to begin business;\n\n 3. That oaths of all the directors have been taken and filed in accordance\n with the provisions of § 6.2-863;\n\n 4. That, in its opinion, the public interest will be served by banking\n facilities or additional banking facilities, as the case may be, in the\n community where the bank is proposed. The addition of such facilities shall be\n deemed in the public interest if, based on all relevant evidence and\n information, advantages such as, but not limited to, increased competition,\n additional convenience, or gains in efficiency outweigh possible adverse\n effects such as, but not limited to, diminished or unfair competition, undue\n concentration of resources, conflicts of interests, or unsafe or unsound\n practices;\n\n 5. That the corporation is formed for no other reason than a legitimate\n banking business;\n\n 6. That the moral fitness, financial responsibility, and business\n qualifications of individuals named as officers and directors of the proposed\n bank are sufficient to command the confidence of the community where the bank\n is proposed;\n\n 7. That the bank’s deposits are to be insured by a federal agency up to\n the limits of the insurance provided thereby; and\n\n 8. Anything else deemed pertinent.\n\nB. The minimum capital stock requirement specified in subdivision A 2 shall not\napply when this section is referred to or used in connection with:\n\n 1. The conversion of an operating savings institution or national bank to a\n state bank;\n\n 2. The reorganization of an operating bank under a holding company;\n\n 3. The issuance of a certificate of authority to a holding company to\n facilitate its merger with and into its subsidiary bank;\n\n 4. The issuance of a certificate of authority to a holding company to\n facilitate the merger of its subsidiary bank with and into the holding\n company;\n\n 5. The issuance of a certificate of authority to a holding company to\n facilitate the merger of both the holding company and its subsidiary bank with\n and into a newly formed entity; or\n\n 6. The issuance of a certificate of authority to a resulting bank following a\n merger described in subdivision B 3, B 4, or B 5, provided that such merger\n does not result in or involve a change of control as defined in §\n 6.2-701.\n\nHISTORY: Code 1950, \u00a7 6-31; 1966, c. 584, \u00a7 6.1-13; 1973, c. 454; 1976, c.\n658; 1979, c. 57; 1983, c. 193; 1989, c. 751; 1989, Sp. Sess., cc. 4, 7; 1992,\nc. 460; 1996, c. 26; 1998, c. 18; 2010, c. 794; 2014, cc. 221, 372.","edition":{"id":1,"name":"2025","slug":"2025","date_created":"2026-06-21 22:39:22","date_modified":"2026-06-21 22:39:22","current":1,"order_by":1,"last_import":null}}