Eligible Lender.

CFR · 2024-01-01 · US · Title 13

(a) A lender eligible to apply to the Board for a Guarantee of a loan must be: (1) A banking institution, such as a commercial bank or trust company, subject to regulation by the Federal (2) An investment institution, such as an investment bank, commercial finance company, or insurance company, that is currently engaged in commercial lending in the normal course of its business. (b)(1) If more than one banking or investment institution is applying to the Board for a Guarantee of a single loan, each one of the banking or investment institutions on the application must meet the requirements to be an eligible lender set forth in paragraph (a) of this section. (2) An application for a Guarantee of a single loan submitted by a group of banking or investment institutions, as described in paragraph (b)(1) of this section, must identify one of the banking or investment institutions applying for such loan to act as agent for all. This agent is responsible for administering the loan and shall have those duties and responsibilities required of an agent, as set forth in the Guarantee. (3) Each Lender, irrespective of any indemnities or other agreements between the Lenders and the Agent, shall be bound by all actions, and/or failures to act, of the Agent. The Board shall be entitled to rely upon such actions and/or failures to act of the Agent as binding the Lenders. (c) Status as a Lender under paragraph (a) of this section does not assure that the Board will issue the Guarantee sought,

official document · source cfr-2024 · id 13:§ 500.201