§ 28-6.1-9-8 — Special limits for obligations secured by livestock or dairy cattle

Indiana § 28-6.1-9-8

• Jurisdiction: Indiana
• Art. 6.1: SAVINGS BANKS
• Ch. 9: Lending Limitations of Savings Banks

Text

(a) Loans and extensions of credit secured by
shipping documents or instruments transferring or securing title
covering livestock or giving a lien on livestock when the market value
of the livestock securing the obligation is not at any time less than one
hundred fifteen percent (115%) of the face amount of the note covered
are subject to a maximum limitation equal to twenty-five percent (25%)
of the capital and surplus, notwithstanding the collateral requirements
of section 5(b) of this chapter.
(b) Loans and extensions of credit that arise from the discount by
dealers in dairy cattle of paper given in payment for dairy cattle, which
paper carries a full recourse endorsement or unconditional guarantee
of the seller and that are secured by the cattle being sold, are subject to
a limitation of twenty-five percent (25%) of the capital and surplus,
notwithstanding the collateral requirements of section 5(b) of this
chapter.

Legislative History

As added by P.L.42-1993, SEC.72. Amended by P.L.141-2005, SEC.10.