12 USC 2015 - Lending authority

U.S Code last checked for updates: Nov 23, 2024

§ 2015.

Lending authority

(a)

Real estate loans and related assistance

(1)

Real estate loans

(2)

Financial assistance

(b)

Intermediate credit

(1)

In general

The Farm Credit Banks are authorized to make loans and extend other similar financial assistance to and to discount for or purchase from—

(A)

any production credit association, or

(B)

any national bank, State bank, trust company, agricultural credit corporation, incorporated livestock loan company, savings institution, credit union, or any association of agricultural producers engaged in the making of loans to farmers and ranchers, and any corporation engaged in the making of loans to producers or harvesters of aquatic products,

any note, draft, or other obligation with the institution’s endorsement or guarantee, the proceeds of which note, draft, or other obligation have been advanced to persons and for purposes eligible for financing by production credit associations as authorized by this chapter.

(2)

Participation with other entities

(3)

Limitations on extension of financial services

(A)

General rule

(B)

Limitation on national bank

(4)

FCA regulations

(A)

In general

(B)

Requirement of regulations

The regulations shall assure that such loans, financial assistance, discounts, and purchases are available on a reasonable basis to any financing institution authorized to receive such services under paragraph (1)(B) of this subsection, and that—

(i)

is significantly involved in lending for agricultural or aquatic purposes;

(ii)

demonstrates a continuing need for supplementary sources of funds to meet the credit requirements of its agricultural or aquatic borrowers;

(iii)

has limited access to national or regional capital markets; and

(iv)

does not use such services to expand its financing activities to persons and for purposes other than those authorized under subchapter II.

(C)

Fees

(D)

Subsidiaries and affiliates

(5)

Effective date

(Pub. L. 92–181, title I, § 1.7, as added Pub. L. 100–233, title IV, § 401, Jan. 6, 1988, 101 Stat. 1625; amended Pub. L. 100–399, title IV, § 401(e), (f), Aug. 17, 1988, 102 Stat. 995, 996.)

cite as: 12 USC 2015