§ 5-28-29-31 — Claims; subsequent lender recovery

Indiana § 5-28-29-31

• Jurisdiction: Indiana
• Title 5: STATE AND LOCAL ADMINISTRATION
• Art. 28: INDIANA ECONOMIC DEVELOPMENT
• Ch. 29: Capital Access Program

Text

If, after payment of a claim by the
corporation, the lender recovers from a borrower any amount for which
payment of the claim was made, the following apply:
(1) If the recovered amount, when added to the claim previously
paid by the corporation in connection with an enrolled loan,
exceeds the lender's loss on that enrolled loan, the lender shall
promptly pay to the corporation for deposit in the reserve fund the
amount of the excess.
(2) For purposes of this section and section 32 of this chapter, the
lender's loss on an enrolled loan shall be the amount of principal
charged off by the lender plus accrued interest plus one-half (1/2)
of the reasonable and documented out-of-pocket expenses
incurred by the lender in pursuing collection efforts.

Legislative History

As added by P.L.162-2007, SEC.24.