§ 23-38-215 - Authority to borrow money. - Arkansas Statutes

23-38-215. Authority to borrow money.

(a) Building and loan associations of this state shall, subject to the prior approval of the Securities Commissioner in each instance as to the amount of the loan, have the power and authority to borrow money for corporate purposes, to issue negotiable notes therefor, to pledge and endorse and, from time to time, substitute their assets as may be required for the security of the repayment of the borrowed money.

(b) However, any loan made by any association from the Federal Home Loan Bank, or any successor thereof established under the authority of the United States, may be consummated in full legal effect by the association without obtaining either the prior or subsequent approval of the commissioner.