DFI Overview/Services

The Division of Financial Institutions (“DFI”) is charged with the overall supervision and regulation of all state-chartered and state-licensed financial institutions in the State of Hawaii (including banks; savings banks; foreign bank branches, agencies and representative offices; savings and loan associations; trust companies; depository and nondepository financial services loan companies; and credit unions), all escrow depositories, and, unless exempted, money transmitters, mortgage loan originators, mortgage loan originator companies, and mortgage servicers.  

Laws and Regulations DFI Administers

• Chapter 412, Hawaii Revised Statutes (Code of Financial Institutions)
• Chapter 449, Hawaii Revised Statutes (Escrow Depositories)
• Chapter 454F, Hawaii Revised Statutes (Secure and Fair Enforcement for Mortgage Licensing Act)
• Chapter 454M, Hawaii Revised Statutes (Mortgage Servicers)
• Chapter 489D, Hawaii Revised Statutes (Money Transmitters)
• Chapters 24, 25, 26, 27, 28, and 31 of Title 16, Hawaii Administrative Rules

DFI is headed by the Commissioner of Financial Institutions who is responsible for the overall policies and operations of DFI. The Commissioner is assisted by an administrative staff including the Deputy Commissioner of Financial Institutions, Financial Institution Regulation Analyst, Financial Institution Specialist, and a secretarial staff headed by the Secretary of DFI.

DFI has two branches: (1) Examination Branch, and (2) Licensing and Regulatory Analysis Branch. Each is headed by a Branch Manager and staffed with professional examiners.

The Examination Branch is responsible for on-site examinations of financial institutions, escrow depositories, money transmitters, mortgage loan originators, and mortgage loan originator companies.  Examinations of financial institutions are normally conducted at least once every eighteen months. If the condition of the institution warrants further attention, more frequent examinations and visitations are conducted. DFI also conducts specialized examinations involving such areas as trust, compliance, information systems, and international banking, and conducts regular off-site financial statement and operational reviews of financial institutions.

The Licensing and Regulatory Analysis Branch is responsible for licensing activities, regulatory approvals, and the off-site monitoring program. This includes:

• Processing applications to allow financial institutions to conduct various types of activities;
• Processing initial and renewal license applications; and
• Responding to inquiries, requests, and consumer complaints.