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Can you summarize MTCO 32-1-467?
Operation and Regulation > Loans to managing officer
Short Summary
This legal document governs the extension of credit by banks to their managing officers. It allows banks to provide loans to managing officers for specific purposes, such as financing the education of their children or financing the purchase, construction, maintenance, or improvement of a residence. The extension of credit for the latter purpose must be secured by a first lien on the residence. Additionally, banks can provide loans to managing officers for any other purpose not specified, as long as the aggregate amount of loans does not exceed certain limits. The limits are set at the greater of 2.5% of the bank’s capital and unimpaired surplus or $25,000, with a maximum aggregate amount of loans to an individual not exceeding $100,000. The document also mentions that the department may adopt rules to address loans made before October 1, 1993, and to define capital and unimpaired surplus. However, no specific penalties are mentioned for non-compliance or violation of the document’s provisions.
Whom does it apply to?
Banks and their managing officers
What does it govern?
Loans to managing officers of banks
What are exemptions?
No exemptions are mentioned.
What are the Penalties?
No specific penalties are mentioned.
Jurisdiction
Montana