Federal · Title 12 — Banks and Banking
12 U.S.C. § 83: Loans by bank on its own stock
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No national bank shall make any loan or discount on the security of the shares of its own capital stock. For purposes of this section, a national bank shall not be deemed to be making a loan or discount on the security of the shares of its own capital stock if it acquires the stock to prevent loss upon a debt previously contracted for in good faith.
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