21.20.830 - Debenture companies -- Investments in unsecured loans.

Debenture companies — Investments in unsecured loans.

(1) A debenture company shall not invest more than twenty percent of its assets in unsecured loans.

     (2)(a) Except as provided in (b) of this subsection, a loan shall be deemed unsecured if the ascertained market value of the collateral securing the loan does not exceed one hundred twenty-five percent of the loan and all senior indebtedness.

     (b) A loan shall not be deemed unsecured to the extent that the loan is guaranteed or insured by the federal housing administration, the administrator of veterans' affairs, the farmers home administration, or an insurer authorized to do business in this state, or any other guarantor or insurer approved by the director.

[1988 c 244 § 11.]

Notes: Severability -- Effective date -- Implementation -- Application -- 1988 c 244: See notes following RCW 21.20.700.