This law states that a commercial bank in California is not allowed to re-discount, borrow money, or use its assets as security for loans unless it follows the specific conditions and limits outlined in this part of the law.

Commercial banks in California can use their assets as security when borrowing money, but the value of those assets can't be more than 150% of the borrowed amount unless they get permission in writing from the commissioner.

This law section explains that a commercial bank in California can borrow money up to a limit equal to its shareholders' equity. If the bank needs to borrow more than this amount, it must first get written approval from the financial commissioner. Additionally, the total borrowed money and any deposits secured by surety bonds must not surpass the bank’s shareholders’ equity unless approved by the commissioner.

This law allows a commercial bank to pledge its assets as security for deposits from various entities, including the United States government, postal savings, bankrupt estates, the State of California, its subdivisions, and districts. Additionally, with approval from the commissioner, a bank can also secure funds payable to other states by pledging its assets.

This law allows commercial banks to borrow money specifically to purchase bonds, Treasury certificates, notes, or other obligations issued by the United States government.

This law section allows a commercial bank to use its assets as collateral or security when borrowing money from major federal financial institutions like the Federal Reserve, the FDIC, or the Federal Home Loan Bank.

This law says that a commercial bank can issue two types of certificates of deposit (CDs). One type is negotiable and can be transferred from one person to another through endorsement and delivery. The other type is nonnegotiable and can only be transferred through the bank's records.

This law allows small commercial banks in towns with populations of 5,000 or less to act as agents or brokers for insurance sales and real estate loans, provided they were already engaged in such activities by October 1, 1949, and are licensed accordingly. These banks can earn fees and commissions from these services, but they must follow all regulatory requirements. Importantly, they are not allowed to guarantee loans or insurance premiums, nor are they allowed to assure the accuracy of any statements made by the insured.