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Can you summarize NVAC 662?
Nevada Administrative Code > Banks: Powers and Miscellaneous Provisions
Short Summary
This legal document, found in the Nevada Administrative Code under the section ‘Banks: Powers and Miscellaneous Provisions’, provides interpretation and clarification regarding the determination of ’total outstanding loans’ as used in NRS 662.145. The document states that if a loan is secured by a cash deposit under the direct control of the bank, the amount of the loan does not include the cash deposit. Additionally, loans subject to certain requirements must be combined if the proceeds directly benefit another borrower with outstanding loans at the same bank or if a common enterprise exists between the borrowers. The document defines a ‘common enterprise’ as a situation where the source of repayment for a loan is the same for each borrower or when a loan is made to borrowers related through common control. The concept of ‘common control’ is further explained, including ownership, control, voting power, and influencing management policies. The document was added to the Nevada Administrative Code by the Commissioner of Financial Institutions on May 15, 1992.
Whom does it apply to?
Banks, borrowers, and related parties
What does it govern?
Interpretation and clarification regarding the determination of 'total outstanding loans' as used in NRS 662.145
What are exemptions?
No exemptions are mentioned.
What are the Penalties?
No penalties are mentioned.
Jurisdiction
Nevada