670A.200 - Members required to loan money to corporation; limits. - Nevada Statutes

670A.200  Members required to loan money to corporation; limits.

      1.  Each member shall lend money to the corporation as and when called upon by it to do so, but the total amount on loan by any member at any one time must not exceed the limits described in subsections 2 and 3, to be determined as of the time the financial institution or insurer becomes a member. The amount may thereafter be readjusted annually if any change in the base of the loan limit of the member occurs.

      2.  The loan limits are, for:

      (a) Banks and stock insurance companies, 2 percent of the stockholders’ equity of the bank or company.

      (b) Savings and loan associations, 2 percent of the surplus account.

      (c) Mutual insurance companies, 2 percent of surplus to policyholders.

      (d) Other financial institutions and insurance companies, and Nevada corporations described in NRS 670A.190, an amount established by the board of directors.

      3.  Except as otherwise provided in this subsection, the total amount on loan by any member at any one time must not exceed $250,000. Any member who has a loan limit in excess of $250,000, may elect that its total amount on loan at any one time to the corporation equal its loan limit, but in no event may it exceed $500,000.

      4.  All loan limits must be established at the thousand dollar figure nearest to the amount computed on an actual basis.

      (Added to NRS by 1983, 1276; A 1997, 1012)