California · Financial Code

FIN §7451: Except as otherwise provided by the commissioner, an association shall not make or acquire total loans with respect to one borrower or on one project in an amount exceeding 25 percent of the net worth

What this law says, in plain English

An association cannot make or acquire total loans to one borrower or project exceeding 25 percent of its net worth, unless the commissioner provides otherwise.

Read the full statutory text

Except as otherwise provided by the commissioner, an association shall not make or acquire total loans with respect to one borrower or on one project in an amount exceeding 25 percent of the net worth of the association. As used in this section, “one borrower” has the meaning defined in Section 7453.

Verify at the official source: California legislative text

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