Definitions.

CFR · 2024-01-01 · US · Title 12

For the purposes of this part, the following terms apply: (1) Decides not to make a loan to an applicant; (2) Approves a loan in an amount less than the applicant requested; or (3) Denies an application for restructuring. (1) The borrower is demonstrating adverse financial and repayment trends. (2) The loan is delinquent or past due under the terms of the loan contract. (3) One or both of the factors listed in paragraphs (1) and (2) of this section, together with inadequate collateralization, present a high probability of loss to the qualified lender. (1) The amount of any stock or participation certificates that a borrower is required to buy to obtain the loan; and (2) Any loan origination charges paid by a borrower to a qualified lender to obtain the loan. (1) A foreclosure or similar legal proceeding to enforce a lien on property, whether real or personal, that secures a non-interest-earning asset or distressed loan; or (2) The seizing of and realizing on non-real property collateral, other than collateral subject to a statutory lien arising under titles I and II of the Act, to effect collection of a nonaccrual or distressed loan. (1) A System institution, except a bank for cooperatives, that makes loans as defined in this section; and (2) Each bank, institution, corporation, company, credit union, and association described in section 1.7(b)(1)(B) of the Act (commonly referred to as an other financing institution), but only with respect to loans discounted or pledged under

official document · source cfr-2024 · id 12:§ 617.7000