Standby letters of credit.

CFR · 2024-01-01 · US · Title 12

(a) (b) (c) (1) Prior to or at the time of issuance, the issuing bank is paid an amount equal to the bank's maximum liability under the standby letter of credit; or, (2) Prior to or at the time of issuance, the issuing bank has set aside sufficient funds in a segregated deposit account, clearly earmarked for that purpose, to cover the bank's maximum liability under the standby letter of credit. (d)

official document · source cfr-2024 · id 12:§ 337.2