(a) Right to reserve--The exclusive right to use a name permitted to be used by an institution under this act may be reserved by an individual intending to incorporate an institution, by an institution intending to change its name or by a national bank or private bank intending to convert into an institution.

(b) Method of reservation--Such reservation may be made by filing with the Department of State an application to reserve a specified name executed by the applicant. If the Department of State finds that such name is available, it shall send a copy of the application to the Department of Banking. If the Department of Banking concludes that the use of the name complies with the requirements of section 802¹ and is otherwise consistent with the purposes and provisions of this act, it shall give its written assent to the Department of State which shall then reserve the name for the exclusive use of the applicant for a period of six months.

(c) Extension of reservation--A name which has been reserved for a period of six months pursuant to this section may be reserved for additional successive periods of six months each, if prior to the expiration of each such period of six months the applicant files with the Department of State a statement executed by the applicant to the effect that the proposed institution for which the name is intended has taken appropriate action to obtain, but has not received, all approvals of regulatory authorities required for the business in which the name would be used.

(d) Transfer of right--The right to the exclusive use of a name reserved pursuant to this section may be transferred to any one who would be entitled to reserve such name under this section except for such prior reservation, by filing with the Department of State a notice of the transfer which shall be executed by the transferor who reserved the name and which shall set forth the name of the transferee. The Department of State shall send a copy of such notice to the Department of Banking.