S&Ls, Builders Say 'Loans to One Borrower' Rule Too Harsh

• Published in: The American banker
• Main Author: ROBERT M. GARSSON and AMY SUZANNE KING
• Format: Newspaper Article
• Language: English
• Published: New York, N.Y SourceMedia 26.02.1990
• Subjects: Bailouts; Comptrollers; Loans; National banks; Transition rules; WASHINGTON

A provision in last year's bailout law requires thrifts to follow the standards set for national banks on the matter. As a result, S&Ls can lend to one borrower no more than 15% of capital, the bank industry standard, or $500,000 - whichever is greater. The $500,000 exception was added beca...