Colorado § 11-41-115 Interest rates on loans

Colorado Statutes

§ 11-41-115 — Interest rates on loans

Colorado·Title 11 Financial·Art. Organization and Powers

(1)Any savings and loan association may charge, contract for, and recover such rate of interest as may be provided in the notes or other evidences of indebtedness taken by the association. Notes secured solely by the pledge of shares and notes secured by real estate mortgages repayable upon the sinking fund plan shall be nonnegotiable in form, and all other notes, including those insured by the federal housing administrator and those taken in connection with loans to veterans under the provisions of the Servicemen's Readjustment Act of 1944, may be either negotiable or nonnegotiable in form.

(2)A substantial portion of the business of all associations shall be devoted to the acceptance of savings deposits from or the sale of their shares to their members and the lending of thos

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(1) Any savings and loan association may
charge, contract for, and recover such rate of interest as may be provided in the
notes or other evidences of indebtedness taken by the association. Notes secured
solely by the pledge of shares and notes secured by real estate mortgages
repayable upon the sinking fund plan shall be nonnegotiable in form, and all other
notes, including those insured by the federal housing administrator and those taken
in connection with loans to veterans under the provisions of the Servicemen's
Readjustment Act of 1944, may be either negotiable or nonnegotiable in form.

(2) A substantial portion of the business of all associations shall be devoted
to the acceptance of savings deposits from or the sale of their shares to their
members and the lending of those funds to their members as set forth in section 11-40-103 and otherwise in articles 40 to 46 of this title, but associations may also
purchase loans of a type which they are permitted to make and sell loans with or
without recourse so long as such purchase or sale of loans is conducted as a part of
and in connection with the other permitted business activities of an association.

(3) Each mortgage loan sold by an association may be sold with or without
recourse and, if under a contract to service the same, shall be sold on a basis which
will reimburse the association adequately for the cost of such servicing. All sale
and servicing agreements shall be in writing and on file in the association.

(4) No interest that may accrue to an association shall be deemed usurious,
and the same may be collected as debts of like amount are now by law collected in
this state.

(5) No law of this state limiting interest or interest rates or the compounding
of interest shall apply to any graduated payment mortgage or deed of trust made
to individuals, or any mortgage or deed of trust to individuals where periodic
disbursement of part of the loan proceeds is made by an association over a period
of time as established by the mortgage or deed of trust, or over an expressed
period of time ending with the death of such individuals, including but not limited to
mortgages or deeds of trust having provisions for adding deferred interest to
principal or otherwise providing for the charging of interest on interest.

Colorado § 11-41-115 (Interest rates on loans) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

Legislative History

Source: L. 33: p. 305, � 11. CSA: C. 25, � 14. L. 45: p. 239, � 2. CRS 53: � 122-2-15. C.R.S. 1963: � 122-2-15. L. 71: p. 1146, � 4. L. 79: (5) added, p. 431, � 5, effective June 19. L. 83: (3) amended, p. 493, � 2, effective July 1. L. 94: (3) amended, p. 66, � 8, effective July 1.