1. A savings bank shall have the powers, privileges and authorities to engage in trust company business, including engaging in custodial activities and establishing common trust funds, either directly or indirectly through a subsidiary, that any state bank, foreign bank, foreign savings bank, national bank or federal savings bank may exercise, subject to the requirements and conditions for engaging in such business of a trust company set forth in this section.

2. Before engaging in trust company business, a savings bank shall apply to the Commissioner on such form as he or she shall determine and pay the same fee as required for a state bank to engage in trust company business. In considering such an application, the Commissioner shall determine whether:

(a) The management and personnel of the savings bank are qualified to conduct trust company business;

(b) Trust company business will be adequately conducted in compliance with the law; and

(c) The financial and managerial resources of the savings bank are sufficient to support the conduct of trust company business.

3. A savings bank subscribing to trustee and custodial power authorized by this section shall be required to segregate all funds held in such fiduciary capacity from the general assets of the savings bank and keep a separate set of books and records showing in proper detail all transactions engaged in under the authority of this section.

4. If individual records are kept of each self-employed individual retirement plan, all funds held in such trust or custodial capacity by the savings bank may be commingled for appropriate purposes of investment.

5. No funds held in a fiduciary capacity by a savings bank may be used by the savings bank in the conduct of its business, although such funds may be invested in the deposit accounts of the savings bank if the trust or custodial retirement plan does not prohibit the investment.

6. As used in this section, “business of a trust company” or “trust company business” has the meaning ascribed to it in NRS 669.029.

(Added to NRS by 1963, 465; A 1977, 492; 2017, 1934)