§412:6-302  Requirements and limits
for certain loans.  (a)  Not less than fifty per cent of the amount of
loans and extensions of credit made by a savings bank shall be in loans and
extensions of credit secured by real estate.



(b)  The aggregate amount loaned by any savings
bank for the following types of loans, whether secured or unsecured, shall not
exceed the following limits:



(1)  Commercial loans:  fifteen per cent of the
savings bank's total assets.  For purposes of this section "commercial
loan" means any loan primarily for business, corporate, commercial, or
agricultural purposes where the savings bank substantially relies on the
borrower's general credit standing for repayment of the loan and, if the loan
is secured by real property, does not primarily rely on the value of or income
or projected income from the security for repayment of the loan; and



(2)  Education loans:  ten per cent of the savings
bank's total assets.  For purposes of this section, "education loan"
means any loan the proceeds of which are used to pay for tuition, fees, books,
and other expenses related to primary, secondary, vocational and undergraduate
and postgraduate college or university education.



(c)  A savings bank may reclassify or apportion
a loan from one category to another in this section. [L 1993, c 350, pt of §1]