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GREEN DOT CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (CONTINUED)
85
Note 19—Significant Customer Concentration (continued)
At December 31, 2013 and December 31, 2012, the customer funds underlying the Walmart co-branded GPR
cards were held by GE Capital Retail Bank. These funds are held in trust for the benefit of the customers, and we have
no legal rights to the customer funds. Additionally, we have receivables due from GE Capital Retail Bank that are
included in accounts receivable, net, on our consolidated balance sheets. Refer to Note 22 — Subsequent Events for
additional information regarding our relationship with GE Capital Retail Bank.
Note 20—Regulatory Requirements
Our subsidiary bank, Green Dot Bank, is a member bank of the Federal Reserve System and our primary regulator
is the Federal Reserve Board. We are subject to various regulatory capital requirements administered by the federal
banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory actions by regulators
that, if undertaken, could have a direct material effect on our financial statements. Under capital adequacy guidelines,
we must meet specific capital guidelines that involve quantitative measures of the assets, liabilities and certain off-
balance sheet items as calculated under regulatory accounting practices. The capital amounts and classification are
also subject to qualitative judgments by the regulators about components, risk weightings and other factors.
As of December 31, 2013, we were categorized as well capitalized under the regulatory framework for prompt
corrective action. To be categorized as well capitalized, we must maintain specific total risk-based, Tier I risk-based,
and Tier I leverage ratios as set forth in the table below. There are no conditions or events since December 31, 2013
which management believes would have changed our category as well capitalized.
The actual amounts and ratios, and required minimum capital amounts and ratios by which we exceed these
minimum ratios at December 31, 2013 and 2012 were as follows:
Actual Regulatory "well capitalized" minimum
Amount Ratio Amount Ratio
December 31, 2013 (In thousands, except ratios)
Tier 1 leverage 370,476 45.8% 40,418 5.0%
Tier 1 risk-based capital 370,476 100.8 22,057 6.0
Total risk-based capital 370,476 100.8 36,762 10.0
December 31, 2012
Tier 1 leverage 289,323 47.8% 30,266 5.0%
Tier 1 risk-based capital 289,323 84.3 20,591 6.0
Total risk-based capital 289,323 84.3 34,318 10.0