California Government Code

§ 63089.80

GOV § 63089.80 Effective Oct 4, 2013Div. 1 · Title 6.7 · Ch. 6 · Art. 8

Statute text

(a)A corporation may utilize funds for direct lending or other debt instruments pursuant to the directives and requirements.

(b)The amount of funds available for direct lending and other debt instruments shall be determined by the directives and requirements. In its capacity as a direct lender, the corporation may sell in the secondary market the guaranteed portion of each loan, if guaranteed, so as to raise additional funds for direct lending.

(c)To execute the direct loan and other debt instruments authorized pursuant to this chapter, including, but not limited to, those authorized pursuant to Section 63088.5, the bank may loan trust funds to a corporation for the express purpose of lending those funds to an identified borrower. The loan authorized by the bank to the corporation shall be on terms similar to the loan between the corporation and the borrower.

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Legislative history

Added by Stats. 2013, Ch. 537, Sec. 4. (AB 1247) Effective October 4, 2013.