Financial Institution (Bankruptcy) Law and Legal Definition

Financial institution is defined as--

(A) “a Federal reserve bank, or an entity that is a commercial or savings bank, industrial savings bank, savings and loan association, trust company, federally-insured credit union, or receiver, liquidating agent, or conservator for such entity and, when any such Federal reserve bank, receiver, liquidating agent, conservator or entity is acting as agent or custodian for a customer in connection with a securities contract such customer; or

(B) in connection with a securities contract an investment company registered under the Investment Company Act of 1940.” (11 USCS § 101)

A financial institution is defined as "a bank, savings and loan association, savings banks, or credit union authorized to transact business in this state." Smith v. United Student Aid Funds, 1997 U.S. Dist. LEXIS 4085, 3-4 (E.D. La. Mar. 31, 1997)