§ 409 Bank Assessment Penalties

Financial Code·California

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Key Takeaways

•Banks must pay their required fees on time.
•If a bank doesn't pay, the boss in charge can take away their permission to work as a bank.
•The boss can also make the bank pay extra money as a punishment.

Example

A bank forgets to pay its yearly fee to the government.

The government can either shut down the bank or make them pay a fine.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source

View on CA.gov

§ 409 Bank Assessment Penalties

If any bank or trust company fails to make timely payment of any assessment made pursuant to Section 405, 406, or 408, the commissioner may, in the commissioner’s sole discretion, (a) cancel the certificate of authority of the bank or trust company to conduct a banking or trust business or (b) levy a civil penalty pursuant to Section 329. (Added by Stats. 2011, Ch. 243, Sec. 2. (SB 664) Effective January 1, 2012.)

Last verified: January 23, 2026

Key Terms

fine license commission penalty assessment discretion authority

References

Official text at leginfo.legislature.ca.gov
California Legislature. Financial Code. Section 409.

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Example

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References

Key Takeaways

Example

Key Terms

Related Statutes

References