bank charter
1
6.5
- noun
- Formal
:
carta constitutiva
- The bank received its bank charter last month, allowing it to officially start operations as a financial institution.
- a new bank charter
- an industrial bank charter
Examples
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There haven't been any new bank charters issued in the past three years.
Blog text (27) -
Marshall added that a national bank charter used to be the only way a bank could open a branch in a neighboring state, but laws and regulations have changed, and that is no longer a requirement.
Blog text (1) -
In the United States, banks' securities powers and the organizational models that they are allowed to adopt in order to offer securities services vary with the bank charter.
Academic text (1998) -
Banker's Bank of Kansas is the third Wichita-area bank in the past 12 months to make the move from a national bank charter to a state one.
Blog text (1) -
It now appears that the Canadian government will issue the charter but will put its foot down to block any more U.S. non-bank financial institutions (such as Sears, Ford Motor Company, General Electric, or General Motors) from gaining approval should they apply for bank charters.
Academic text (1990) -
After several months of evaluation, the regulators issued a new bank charter for the cooperative, enabling it to offer various banking services.
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Once the bank charter was approved, the financial institution could begin lending and accepting deposits from the public.
Surface Forms
Morphology
The meaning 'an official document granting permission for a bank to operate' is directly derivable from combining 'bank' (a financial institution) with 'charter' (a document establishing powers or rights). This straightforward noun+noun compositional pattern is common across languages and follows standard English compound patterns, so a B1 learner who knows both words would readily infer the MWE meaning.
Etymology
The compound bank charter comes from the older word charter, which meant a written paper or official permission from the government. Imagine a stamped paper that gives a bank the right to open, so the phrase means 'official permission for a bank to operate'.