§ 5603 Stock Association Capital Verification

• •Before a stock association can start operating, it must prove to the commissioner that it has all the money it claimed to have.
• •The association must show that all the money (capital and extra money called paid-in surplus) is safely kept in a bank.
• •The association must also prove it has done everything the commissioner asked for in the approval notice.

A group of people wants to start a new bank. They say they have $1 million to start with.

Before they can open the bank, they must show the government that they really have the $1 million in a real bank account. They also have to prove they followed all the rules the government gave them when they first asked to open the bank.