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#1111887 - 01/15/09 07:47 PM Stock secured loan LTV
etm614 Offline
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etm614
Joined: Jan 2003
Posts: 695
Massachusetts
Are there regulatory limits on the permissible LTV for loans secured by stock already owned by the borrower (i.e. purpose is not to purchase stock)? I am confused by the word "carry" in Reg U and its 50% LTV applicability to stock-secured loans made for the purpose of debt consolidation. Thanks.

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Lending Compliance
#1112152 - 01/16/09 02:54 AM Re: Stock secured loan LTV etm614
rlcarey Offline
10K Club
rlcarey
Joined: Jul 2001
Posts: 77,294
Galveston, TX
The bank can set the LTV standards for non-purpose loans.
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