News
August 2, 2024
Consumer credit notifications will move to the NMLS beginning August 26, 2024
If your company has filed a Consumer Credit Notification or plans to do so soon, please read this letter to prepare.
If you have questions about NMLS general information or transition preparation, please visit the NMLS Resource Center. If you have questions about whether your company must file or renew a CCN, please contact the Utah DFI’s licensing staff at 801-538-8830 or msb.dfi@utah.gov.
June 14, 2024
Utah’s Commissioner of Financial Institutions Conditionally Approves the Industrial Bank Charter of Thrivent Bank
Salt Lake City – Commissioner Darryle Rude of Utah’s Department of Financial Institutions announced that today, June 14, 2024, he signed an Order conditionally approving an application to establish Thrivent Bank as a Utah state-chartered industrial bank. The approval is conditioned upon, among other things, the applicant obtaining federal deposit insurance from the Federal Deposit Insurance Corporation.
Thrivent Bank’s approval is the second industrial bank approval announced today and is the fourth industrial bank charter granted by Utah’s Commissioner of Financial Institutions since 2008.
Thrivent Bank will offer banking products to consumers and businesses nationwide, expanding the reach and impact of Thrivent’s mission to help clients build their financial futures. The Bank will be a digital-first bank offering a full suite of deposit and lending products. Thrivent Bank will be a wholly owned subsidiary of Thrivent Financial Holdings, Inc., which is a wholly owned subsidiary of the Wisconsin-registered fraternal benefit society Thrivent Financial for Lutherans.
Utah’s Department of Financial Institutions is responsible for chartering, regulating, supervising, and examining state-chartered financial institutions. The financial services companies and individuals regulated by the department represent Utah state-chartered Banks, Industrial Banks, Holding Companies, Credit Unions, Trust Companies, Consumer Lenders, Commercial Lenders, Money Transmitters, Mortgage Servicers, Money Services Businesses, and Escrow Companies.
As of March 31, 2024, Utah-chartered depository institutions had combined total assets of $411 billion. Utah’s Department of Financial Institutions charters and regulates roughly 87 percent of the nation’s industrial bank assets and has supervised these FDIC-insured banks for over 35 years.
July 17, 2023
Fraud Alert
The Utah Department of Financial Institutions has received notice that there is a website that has posted manipulated and unauthorized images of a Utah Money Transmitter license and cover letter for a company called: “okx cloud community”.
The fraudulent documents indicate that this entity is authorized to engage in Money Transmission until December 31, 2023. This is NOT true and this company is NOT authorized to engage in the activity of Money Transmission in Utah.
If you have any questions or concerns, please contact our department directly:
dfi@utah.gov
801-538-8830
March 13, 2023
Utah’s banks remain healthy and are well-prepared to serve the banking needs of Utah citizens and businesses. We remind all Utahns that your deposits in banks and credit unions are insured up to federal limits. The supplementary program announced by the federal government on Sunday, March 12, adds an additional layer of security to our nation’s already strong banking system. If customers have questions about their deposit insurance coverage, their institutions stand ready to help educate and inform.
March 10, 2023
Closure of Silicon Valley Bank
The California Department of Financial Protection and Innovation took possession of Silicon Valley Bank on March 10, 2023, and immediately appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. The Utah Department of Financial Institutions encourages customers of Silicon Valley Bank to refer to the FDIC press release addressing the receivership, which can be found here: https://www.fdic.gov/news/press-releases/2023/pr23016.html. The FDIC announced that all insured depositors will have full access to their insured deposits no later than Monday morning, March 13, 2023. Additionally, customers with accounts in excess of the $250,000 deposit insurance limit should call the FDIC toll-free at 1-866-799-0959.
Silicon Valley Bank is a California state-chartered bank headquartered in Santa Clara, California. The bank does not have any branches in Utah.
Utah’s banks remain healthy and are well-prepared to serve the banking needs of Utah citizens and businesses. We remind all Utahns that your deposits in banks and credit unions are fully insured up to federal limits.
April 7, 2022
Commercial Financing Registration and Disclosure Act
Commercial Financing Transactions
The Utah Legislature passed SB 183 during the 2022 General Session. On March 24, 2022 Governor Cox signed SB 183 into law. SB 183 codifies a new chapter in the Department’s Title 7. Chapter 27 is the Commercial Financing Registration and Disclosure Act.
SB 183 has an effective date of May 4, 2022. However, two key provisions of Chapter 27 do not take effect until January 1, 2023.
These provisions are as follows:
- Utah Code §7-27-201 – Beginning January 1, 2023, it is unlawful for a person to engage in a commercial financing transaction as a provider in Utah or with a Utah resident, unless the person:
- (i) registers with the department in accordance with this chapter; and
- (ii) maintains a valid registration.
- Utah Code §7-27-202 covers the disclosures for commercial financing transactions.
- 7-27-202(4) provides that the provisions of this section apply to a commercial financing transaction consummated on or after January 1, 2023.
Those who conduct commercial financing transactions in Utah or with a Utah resident, beginning January 1, 2023, under Utah Code §7-27-101 et. seq. should read SB 183 to determine if they are subject to it and to comply accordingly.
The text of SB 183 can be found at https://le.utah.gov/~2022/bills/static/SB0183.html
Registration under Utah Code §7-2-201(2)(d)(viii) shall be through the Nationwide Multistate Licensing System and Registry (NMLS). Information on where and how this can be accomplished will be provided in an update to this web page prior to November 1, 2022.
*Updated* NMLS will begin receiving new applications for Commercial Financing Registration for the Utah Department of Financial Institutions beginning September 1, 2022.
License requirements for Commercial Financing Registration and registration information can be found here.
The NMLS system begins its annual renewals each year on November 1st. The NMLS system experiences heavy usage during this renewal season. As a result, we encourage entities that are planning to engage in Commercial Financing Transactions in Utah to consider registering before November 1, 2022.
Contact Us
If you have questions about chapter 27 Commercial Financing Registration and Disclosure Act, please email us at dfi@utah.gov or call 801-538-8830 and select option 0.
June 23, 2022
Governor Cox names Darryle Rude as Commissioner of the Utah Department of Financial Institutions
Salt Lake City – Gov. Spencer Cox has appointed Darryle Rude as commissioner of the Utah Department of Financial Institutions. This nomination requires approval by the Utah Senate.
“Darryle has been serving as interim DFI commissioner since March and after a national search he has emerged as the best candidate for the job,” Gov. Cox said. “He’s earned the respect of his colleagues through his professionalism and competency, and I appreciate his willingness to continue to serve the people of Utah.”
Rude began his career with the Utah Department of Financial Institutions in 1989 as an examiner. He served as the supervisor of banks and the supervisor of industrial banks until he was appointed chief examiner and joined the department’s executive leadership team.
During his 33 years with the department, Rude has received extensive training in financial institution regulation through partnerships with the Federal Deposit Insurance Corporation, National Credit Union Administration, Federal Reserve Bank and Office of the Comptroller of the Currency, as well as the Conference of State Bank Supervisors (CSBS), National Association of State Credit Union Supervisors and other western states, giving him an invaluable perspective on regulatory matters and the challenges financial institutions face. He has represented the department on various state government committees, including the Utah Money Management Council and currently serves on the CSBS Education Foundation and State Supervisory Processes Committees.
Rude graduated from the University of Montana with a degree in Business Management and attended the Utah Department of Human Resource Management’s Certified Public Manager Program. He enjoys golfing, skiing and any other excuse to get outdoors. He and his wife Sheila have two adult children.
March 4, 2022
Governor Cox names Darryle Rude as Interim Commissioner of the Utah Department of Financial Institutions
Salt Lake City – Governor Spencer Cox has appointed Darryle Rude as interim commissioner of the Utah Department of Financial Institutions. “Darryle has shown nothing but professionalism and competency during his time at the Department of Financial Institutions and in his current role as chief examiner,” Gov. Cox said. “I’m grateful he’s willing to take on this new assignment as interim commissioner.”
March 1, 2021
Square Financial Services, Inc. Commences Operations as Utah’s Sixteenth Industrial Bank
Today, the Department of Financial Institutions for the State of Utah authorized Square Financial Services, Inc. to open for business as a state-chartered industrial bank.
On September 17, 2017, Square, Inc. submitted an application to the Department to establish Square Financial Services, Inc. as a Utah-chartered, FDIC-insured, industrial bank. The application was materially amended on December 18, 2018. The Commissioner of Financial Institutions granted conditional approval of the application in an Order dated March 17, 2020. Having satisfied all opening requirements, the Department authorized the bank to open for business effective today’s date.
Square Financial Services, Inc. is a wholly owned subsidiary of Square, Inc., a publicly traded corporation headquartered in San Francisco, California. Square Financial Services, Inc., located in Salt Lake City, Utah, will offer banking products and services, including deposits, primarily to a nationwide market of small businesses, including those who operate as merchants on Square’s payment processing platform.
With today’s approval, Square Financial Services, Inc. becomes the sixteenth FDIC-insured industrial bank operating in the state of Utah. Utah industrial banks had total assets of $171 billion as of December 31, 2020.
Square Financial Services, Inc. is the second de novo industrial bank to open in Utah since 2008.
The Department is the regulator for all state-chartered banks, industrial banks, and credit unions. The Department also regulates trust companies, independent escrow companies, check cashers, deferred deposit lenders (payday), title lenders, consumer lenders, as well as first mortgage loan servicers, and third-party payment providers (money orders, travelers checks, wire transfers). As of December 31, 2020, Utah-chartered depository institutions had combined total assets of $365 billion.
December 8, 2020
Utah Finalizes Investigation and Settlement with Mortgage Servicer Nationstar
Salt Lake City – The State of Utah, in coordination with dozens of state and federal government partners, announced the closure of a multiyear investigation of Nationstar Mortgage LLC, d/b/a Mr. Cooper, one of the largest mortgage servicers in the nation. The closure includes a settlement for Utah consumers totaling over $657,000, with 556 Utah loans affected.
For details see the joint media statement, at this link.
November 2, 2020
Nelnet Bank Commences Operations as Utah’s Fifteenth Industrial Bank
Salt Lake City – Today, the Department of Financial Institutions for the State of Utah authorized Nelnet Bank to open for business as a state-chartered industrial bank.
On November 12, 2019, the organizers of Nelnet Bank submitted an application to the Department to establish Nelnet Bank as a Utah-chartered, FDIC-insured, industrial bank. The Commissioner of Financial Institutions granted conditional approval of the application in an Order dated March 17, 2020. Having satisfied all opening requirements, the Department authorized the bank to open for business effective today’s date.
Nelnet Bank is a wholly owned subsidiary of Nelnet, Inc., a publicly traded corporation headquartered in Lincoln, Nebraska. Nelnet Bank, located in Draper, Utah, will primarily offer banking products and services, including deposits, on a nationwide basis to consumers, students, and nonprofits associated with the education market.
With today’s approval, Nelnet Bank becomes the fifteenth FDIC-insured industrial bank operating in the state of Utah. Utah industrial banks had total assets of $156 billion as of June 30, 2020.
Nelnet Bank is the first de novo industrial bank to open in Utah since 2008.
The Department is the regulator for all state-chartered banks, industrial banks, and credit unions. The Department also regulates trust companies, independent escrow companies, check cashers, deferred deposit lenders (payday), title lenders, consumer lenders, as well as first mortgage loan servicers, and third-party payment providers (money orders, travelers checks, wire transfers). As of June 30, 2020, Utah-chartered depository institutions had combined total assets of $350 billion.
April 16, 2020
**COVID-19 CARES Act Stimulus Distributions**
The unprecedented volume of Americans simultaneously checking their accounts for stimulus distributions is putting a temporary strain on some
online banking websites and mobile apps.
THE BEST WAY TO CHECK THE STATUS OF YOUR ECONOMIC IMPACT PAYMENT IS THE IRS WEBSITE https://www.irs.gov/coronavirus/get-my-payment
March 31, 2020
Consumer Alert: COVID-19 Scams
Scammers are using the COVID-19 / coronavirus outbreak to take advantage of people. You can protect yourself before you give someone any money or personal information by taking the following steps:
- Make sure the company is licensed and reputable.
- Verify that the person who contacted you actually works for the company or government agency. (Call the published phone number for the company / agency. Do not call a phone number that the person gave to you.)
We also suggest you read about potential scams to see if your situation is similar to any known scams. Here are a couple websites that explain known COVID-19 scams.
COVID-19 Financial Scams: Conference of State Bank Supervisors COVID-19 Consumer Resources https://www.csbs.org/covid-19-consumer-resources
How to avoid Coronavirus Scams: Federal Trade Commission Coronavirus Scams https://www.consumer.ftc.gov/features/coronavirus-scams-what-ftc-doing
The Utah Department of Financial Institutions is committed to serve as a source of information and assistance with all forms of banking products and services. If you have a complaint about a financial institution, we can help. Please call us at 801-538-8830 or email us at complaints.dfi@utah.gov.
March 19, 2020
The Commissioner of Financial Institutions Conditionally Approves the Industrial Bank Charter of Nelnet Bank
Salt Lake City – Commissioner G. Edward Leary of the Utah Department of Financial Institutions (Department) announced today that on March 17, 2020 he signed an approval Order conditionally approving the application of Nelnet Bank to operate as a Utah state-chartered industrial bank.
Nelnet Bank’s approval is the second industrial bank approval announced today, and is the second industrial bank charter granted by the Commissioner since 2008.
Nelnet Bank’s application to operate as a state chartered industrial bank headquartered in Salt Lake County, Utah was filed on November 12, 2019. The approval is conditioned, among other things, on the applicant obtaining federal deposit insurance from the Federal Deposit Insurance Corporation.
The bank plans to operate a nationwide business model that provides banking products and services primarily to consumers and nonprofits associated with the education market.
The Department is the regulator for all state-chartered banks, industrial banks, and credit unions. The Department also regulates trust companies, independent escrow companies, check cashers, deferred deposit lenders (payday), title lenders, consumer lenders, as well as first mortgage loan servicers, and third-party payment providers (money orders, travelers checks, wire transfers).
As of December 31, 2019, Utah-chartered depository institutions had combined total assets of $324 billion dollars.
March 19, 2020
The Commissioner of Financial Institutions Conditionally Approves the Industrial Bank Charter of Square Financial Services, Inc.
Salt Lake City – Commissioner G. Edward Leary of the Utah Department of Financial Institutions (Department) announced today that on March 17, 2020 he signed an approval Order conditionally approving the application of Square Financial Services, Inc. to operate as a Utah state-chartered industrial bank.
Square Financial Services, Inc. has been granted the first Utah de novo industrial bank charter issued by the Commissioner since 2008.
Square Financial Services Inc.’s application to operate as a state-chartered industrial bank headquartered in Salt Lake City, Utah was filed on September 17, 2017, and was materially amended on December 18, 2018. The approval is conditioned, among other things, on the applicant obtaining federal deposit insurance from the Federal Deposit Insurance Corporation.
The bank plans to operate a nationwide business model that provides banking products and services primarily to consumers and small-to-medium sized businesses.
The Department is the regulator for all state-chartered banks, industrial banks, and credit unions. The Department also regulates trust companies, independent escrow companies, check cashers, deferred deposit lenders (payday), title lenders, consumer lenders, as well as first mortgage loan servicers, and third-party payment providers (money orders, travelers checks, wire transfers).
As of December 31, 2019, Utah-chartered depository institutions had combined total assets of $324 billion dollars.
December 18, 2019
The Commissioner of Financial Institutions Conditionally Approves the Bank Charter of Bank of St. George
Salt Lake City – Commissioner G. Edward Leary of the Utah Department of Financial Institutions (UDFI) announced today that he has conditionally approved the application of The Bank of St. George to operate as a Utah State-chartered community bank.
The Bank of St. George has been granted the first Utah de novo banking charter since 2007.
The Bank of St. George’s application to operate as a state-chartered commercial bank headquartered in St. George, Utah was filed on April 12, 2019. The Federal Deposit Insurance Corporation (FDIC) conditionally approved the application for deposit insurance on December 17, 2019.
The bank plans to be a full-service community bank offering products and services to consumers and small-to-medium sized businesses. The Bank also plans to work with local nonprofit agencies to offer banking services to low and moderate income individuals served by those organizations.
The UDFI is the regulator for 21 commercial banks, 30 credit unions, 14 industrial banks and 2 trust companies.
As of September 30, 2019, Utah-chartered depository institutions had combined total assets of $315 billion dollars.
January 10, 2018
OCC Alert: Unauthorized Banking: Bluegate Industrial Bank USA, N.A.
The Utah Department of Financial Institutions received an alert from the Office of the Comptroller of the Currency (OCC) concerning an unauthorized company claiming to be a bank.
For more information about the OCC Alert please click on the following link: OCC Alert: Unauthorized Banking: Bluegate Industrial Bank USA, N.A.
The Department or the OCC have not authorized any bank or industrial bank by this name to conduct business in Utah.
November 20, 2017
People’s Utah Bancorp Completes Acquisition of Utah Branches of Banner Bank
On October 9, 2017, People’s Utah Bancorp, the bank holding company of People’s Intermountain Bank, announced that it completed the acquisition of $250 million in loans and seven branch offices, along with $165 million in deposits, from Banner Bank. The seven branch offices acquired are located in Salt Lake City, Provo, South Jordan, Woods Cross, Orem, Salem, and Springville. The Woods Cross and Orem branch offices have successfully been consolidated into the existing Bank of American Fork branch offices in Bountiful and Orem. The remaining five branch offices will operate under the name of Bank of American Fork, a division of PIB.
People’s Utah Bancorp Announces Completion of the Merger of Town & Country Bank
On November 13, 2017, People’s Utah Bancorp, the bank holding company of People’s Intermountain Bank, announced that it completed the merger of Town & Country Bank, Inc. People’s Intermountain Bank will consolidate its existing Bank of American Fork branch office in St. George into Town & Country Bank’s branch office, and will operate under the name of People’s Town & Country Bank. With the completion of this transaction, People’s Utah Bancorp expects total assets to be in excess of $2.1 billion.
With the completion of these two transactions, People’s Intermountain Bank will have 25 branch locations in Utah, from Lewiston to St. George.
March 3, 2017
The Utah Department of Financial Institutions Takes Possession of Proficio Bank
Salt Lake City B Commissioner G. Edward Leary announced that he took possession of Proficio Bank, a state-chartered commercial bank headquartered in Cottonwood Heights, Utah, today, and immediately appointed the Federal Deposit Insurance Corporation (AFDIC@) as receiver. To protect depositors, the FDIC entered into a purchase and assumption agreement with Cache Valley Bank, Logan, Utah, to assume all of the deposits of Proficio Bank.
The Commissioner took possession of Proficio Bank in order to protect depositors and the public, finding, among other things, that the Bank was illiquid and insolvent and not in a safe or sound condition to transact business. The Department of Financial Institutions, as well as the FDIC, have been closely monitoring the Bank and had ordered it to increase its liquidity and capital to a safe and sound level. Efforts by Proficio Bank to raise liquidity and capital were unsuccessful.
On Monday, Proficio Bank will reopen as a branch of Cache Valley Bank during its normal business hours. Depositors of Proficio Bank will automatically become depositors of Cache Valley Bank. Deposits will continue to be insured by the FDIC, so there is no need for customers to change their banking relationship to retain their deposit insurance coverage up to applicable limits. Customers of Proficio Bank should continue to use their existing office until they receive notice from Cache Valley Bank that it has completed systems changes to allow other Cache Valley Bank branches to process their accounts, as well.
This evening and over the weekend, depositors of Proficio Bank can access their money by writing checks or using ATM or debit cards. Checks drawn on the bank will continue to be processed. Loan customers should continue to make their payments as usual.
Proficio Bank was chartered on January 6, 2007, with its headquarters located at 6985 So Union Park Ctr, Suite 150, Cottonwood Heights. The Bank primarily funded commercial relocation loans and SBA loans. As of February 27, 2017, Proficio Bank had total assets of approximately $64 million and total deposits of approximately $58 million. There are no public funds.
Proficio Bank is the first bank failure in Utah since SunFirst Bank failed on November 4, 2011.