Sec. 5. (a) The total loans and extensions of credit by a savings bank to a person outstanding at one (1) time and not fully secured, as determined in a manner consistent with subsection (b), by collateral having a market value at least equal to the amount of the loan or extension of credit may not exceed fifteen percent (15%) of the unimpaired capital and unimpaired surplus of the savings bank.
(b) The total loans and extensions of credit by a savings bank to a person outstanding at one (1) time and fully secured by readily marketable collateral having a market value, as determined by reliable and continuously available price quotations, at least equal to the amount of the funds outstanding may not exceed ten percent (10%) of the unimpaired capital and unimpaired surplus of the savings bank. The limitation in this subsection is separate from and in addition to the limitation contained in subsection (a).
(c) The total loans and extensions of credit by a savings bank includes any credit exposure to a person arising from a derivative transaction (as defined in 12 U.S.C. 84(b)(3)) between the savings bank and the person.
As added by P.L.42-1993, SEC.72. Amended by P.L.27-2012, SEC.86.
Structure Indiana Code
Title 28. Financial Institutions
Chapter 9. Lending Limitations of Savings Banks
28-6.1-9-1. "Capital and Surplus" and "Unimpaired Capital and Surplus" Defined
28-6.1-9-2. Loans and Extensions of Credit
28-6.1-9-6. Exceptions to Lending Limitations
28-6.1-9-8. Special Limits for Obligations Secured by Livestock or Dairy Cattle
28-6.1-9-9. Extensions of Credit to Officers, Directors, Trustees, and Principal Shareholders
28-6.1-9-10. Loans or Discounts on Security and Purchase or Holding of Bank's Own Capital Stock
28-6.1-9-11. Conformity With Lending Limitations; Sanctions
28-6.1-9-14. Application of Federal Regulations
28-6.1-9-15. Receiving Fees, Commissions, Gifts, or Things of Value; Violation