Texas Finance Code - Section 63.004. Power To Borrow
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§ 63.004. POWER TO BORROW. (a) An association may:
(1) borrow from any nongovernmental source an
aggregate amount that does not exceed 25 percent of the amount of
the association's savings liability on the date of borrowing; and
(2) pledge the association's assets to secure
repayment of the borrowed money.
(b) Except as provided by Subsection (c), an association may
borrow from a nongovernmental source an amount exceeding the amount
described in Subsection (a)(1) only with the prior written approval
of the commissioner.
(c) An association that is a member of a Federal Home Loan
Bank may borrow or obtain an advance from that bank in an amount and
on terms prescribed by that bank.
(d) An association at any time through action of its board
may issue a capital note, debenture, or other capital obligation
authorized by rules adopted under Section 11.302.
Acts 1997, 75th Leg., ch. 1008, § 1, eff. Sept. 1, 1997.
Section: 62.558 62.559 62.560 62.561 63.001 63.002 63.003 63.004 63.005 63.006 63.007 63.008 63.009 63.010 64.001
Last modified: August 10, 2007
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