(1) Citation of section. - This section shall be cited as the 'Bank Service Corporation Act.' (2) Definitions. - For the purposes of this section- (a) The term 'bank service corporation' means a corporation whose primary purpose is to perform for two or more banks having an investment in the corporation services such as check and deposit sorting and posting, computation and posting of interest and other credits and charges, preparation and mailing of statements, notices, and similar items, or any other similar clerical or bookkeeping function. (b) The terms 'invest' and 'investment' include any advance of funds to a bank service corporation, whether by purchase of stock, the making of a loan, or otherwise, except a payment for earned rent, goods sold and delivered, or services rendered prior to the making of such payment. (3) Investments. - Notwithstanding any contrary provision of law relating to banks, a bank may at any time have outstanding investments in a bank service corporation not exceeding ten per cent of the bank's capital and surplus at such time. HISTORY: 1962 Code Section 8-238; 1962 (52) 1978.
South Carolina Legal Code