2020 Georgia Code
Title 7 - Banking and Finance
Chapter 1 - Financial Institutions
Article 2 - Banks and Trust Companies
Part 18 - Bank Branches, Offices, Facilities, and Holding Companies
§ 7-1-603. (For Effective Date, See note.) Extension of Existing Banking Locations; Automated Teller Machines, Cash Dispensing Machines, Point-of-Sale Terminals, and Other Extensions

1. An approved banking location may have an extension, which is not a branch or main office, at which banking activities may occur. The extensions described in this Code section do not require approval but may have certain restrictions or required notifications.
2. The following are extensions:
   1. "Automated teller machine" means electronic equipment which performs routine banking transactions, including, but not limited to, the taking of deposits for the public at locations off premises of a bank's main or branch office under regulations prescribed by the commissioner. This term includes electronic equipment that utilizes, or has the capability to utilize, live video chat with offsite bank personnel who may assist with banking services, including, but not limited to, account initiation.
   2. "Cash dispensing machine" means for the purposes of this part and as used in paragraph (4) of subsection (b) of Code Section 7-1-241 an automated or electronic terminal which dispenses cash or scrip redeemable for goods and services or for cash, goods, and services. Such machines may provide account information but may not initiate intrabank transactions other than those necessary and incidental to the dispensing of cash.
   3. "Night depository" means a drop box where customers can make deposits or payments outside of normal banking hours.
   4. "Point-of-sale terminal" means electronic equipment located in nonbank business outlets to record electronically bank transactions occurring as a result of the sale of goods or services.

      For purposes of this Code section, the terms "automated teller machine," "point-of-sale terminal," "cash dispensing machine," and "night depository" shall not include personal communication devices such as telephones, computer terminals, modems, and other similar devices which are not accessible to the general public but are intended for use by a single bank customer. It is not the intent of this Code section to limit the ability of banks or other entities to utilize personal communication devices. The department may by regulation further define "automated teller machine," "point-of-sale terminal," "cash dispensing machine," "night depository," and "personal communication device" consistent with the objectives set forth in Code Section 7-1-3.

3. The following are restrictions on location of an extension:
   1. Any federally insured bank may operate automated teller machines throughout the state. These machines may be operated individually by any bank or jointly on a cost-sharing basis by two or more banks;
   2. Any bank may operate cash dispensing machines throughout the state. Access to and use of cash dispensing machines may be available to all banks in this state on an individual or a shared basis;
   3. A night depository may be located anywhere in the state; and
   4. A point-of-sale terminal may be located anywhere in the state.
4. An extension not defined in subsection (b) of this Code section is permitted, provided that such extension is located within the boundary lines of a single contiguous area of property owned or leased by the bank and used as a banking location, or if it is within 200 yards of such banking location. Banking services may be performed at the extension. Written notification to the department is required for such extension.

(Code 1933, § 13-203.2, enacted by Ga. L. 1966, p. 590, § 2; Ga. L. 1973, p. 526, § 1; Ga. L. 1975, p. 475, § 1; Ga. L. 1995, p. 673, § 24; Ga. L. 1997, p. 485, § 21; Ga. L. 1999, p. 674, § 17; Ga. L. 2003, p. 843, § 7; Ga. L. 2016, p. 390, § 2-14/HB 811; Ga. L. 2017, p. 774, § 7/HB 323; Ga. L. 2020, p. 320, § 8/HB 781.)

OPINIONS OF THE ATTORNEY GENERAL

Legislative intent.

- Former Code 1933, § 13-203.2 (see now O.C.G.A. § 7-1-603) would normally define the meaning of loan production offices only in reference to the remainder of that section, as opposed to banking law generally; when thus placed in context, the clear purpose of the enactment was to perfect Georgia's then existing legislation relating to expansion or extension of existing parent banks, branch banks, bank offices, and bank facilities. 1976 Op. Att'y Gen. No. 76-116.

- Former Code 1933, § 13-203.2 (see now O.C.G.A. § 7-1-603) meant that loan production offices, though the offices remain bank facilities for all other purposes pursuant to former Code 1933, § 13-201 (see now O.C.G.A. § 7-1-600(2)), may not be expanded or extended. 1976 Op. Att'y Gen. No. 76-116.

Foreign state banks may not maintain, directly or indirectly, loan production offices within this state. 1976 Op. Att'y Gen. No. 76-116.

- Nonfinancial institution may not establish and operate on the institution's own behalf an unmanned automated teller facility which provides cash withdrawal services. 1985 Op. Att'y Gen. No. 85-2.

RESEARCH REFERENCES

ALR.

- Branch banks, 50 A.L.R. 1340; 136 A.L.R. 471.

What is a "branch bank" within statutes regulating the establishment of branch banks, 23 A.L.R.3d 683.