QUALIFIED THRIFT INVESTMENT AMENDMENTS.

SEC. 2303. QUALIFIED THRIFT INVESTMENT AMENDMENTS. (a) Credit Cards.— Section 5(b) of the Home Owners’ Loan Act (12 U.S.C. 1464(b)) is amended— (1) by striking paragraph (4); and (2) by redesignating paragraph (5) as paragraph (4). (b) Loans or Investments Without Percentage of Assets Limitation.— Section 5(c)(1) of the Home Owners’ Loan Act (12 U.S.C. 1464(c)(1)) is amended by adding at the end the following new subparagraphs: “(T) Credit card loans.— Loans made through credit cards or credit card accounts. “(U) Educational loans.— Loans made for the payment of educational expenses.”. (c) Commercial and Other Loans.— Section 5(c)(2)(A) of the Home Owners’ Loan Act (12 U.S.C. 1464(c)(2)(A)) is amended to read as follows: “(A) Commercial and other loans.— Secured or unsecured loans for commercial, corporate, business, or agricultural purposes. The aggregate amount of loans made under this subparagraph may not exceed 20 percent of the total assets of the Federal savings association, and amounts in excess of 10 percent of such total assets may be used under this subparagraph only for small business loans, as that term is defined by the Director.”. (d) Loans or Investments Limited to 5 Percent of Assets.— Section 5(c)(3) of the Home Owners’ Loan Act (12 U.S.C. 1464(c)(3)) is amended— (1) by striking subparagraph (A); and (2) by redesignating subparagraphs (B), (C), and (D) as subparagraphs (A), (B), and (C), respectively. (e) Qualified Thrift Lender Test.— Section 10(m)(1) of the Home Owners’ Loan Act (12 U.S.C. 1467a(m)(1)) is amended— (1) by redesignating subparagraph (B) as clause (ii); (2) in subparagraph (A), by striking “(A) the savings” and inserting “(B)(i) the savings”; and (3) by inserting after “if—” the following new subparagraph: “(A) the savings association qualifies as a domestic building and loan association, as such term is defined in section 7701(a)(19) of the Internal Revenue Code of 1986; or”. (f) Branching.— Section 5(r) of the Home Owners’ Loan Act (12 U.S.C. 1464(r)) is amended— (1) in paragraph (1)— (A) in the first sentence— (i) by inserting before the period “, or qualifies as a qualified thrift lender, as determined under section 10(m) of this Act”; and (ii) by striking “(c)” and inserting “(C)”; and (B) in the second sentence, by inserting before the period “or as a qualified thrift lender, as determined under section 10(m) of this Act, as applicable”; and (2) in paragraph (2), by striking subparagraph (C) and inserting the following: “(C) the law of the State where the branch is located, or is to be located, would permit establishment of the branch if the association was a savings association or savings bank 110 STAT. 3009–425chartered by the State in which its home office is located; or”. (g) Definition.— Section 10(m)(4) of the Home Owners’ Loan Act (12 U.S.C. 1467a(m)(4)) is amended— (1) by striking “subsection—” and inserting “subsection, the following definitions shall apply:”; (2) in subparagraph (C)— (A) in clause (ii), by adding at the end the following new subclause: “(VII) Loans for educational purposes, loans to small businesses, and loans made through credit cards or credit card accounts.”; and (B) in clause (iii), by striking subclause (VI) and inserting the following: “(VI) Loans for personal, family, or household purposes (other than loans for personal, family, or household purposes described in clause (u)(VII)).”; and (3) by adding at the end the following new subparagraphs: “(D) Credit card.— The Director shall issue such regulations as may be necessary to define the term ‘credit card’. “(E) Small business.— The Director shall issue such regulations as may be necessary to define the term ‘small business’.”.