§412:9-201  Powers that require regulatory
approval.  (a)  A financial services loan company may sell or refer the
following products and services and collect premiums or fees for the sale or
referral thereof only after obtaining the approval of the commissioner:



(1)  Accidental death and dismemberment insurance,
whether or not connected with a loan, provided that the purchase of this
insurance must be voluntary and not required as a condition of a loan.  The
approval of the insurance commissioner must also be obtained prior to the sale
of any insurance product; and



(2)  Auto club memberships and home and automobile
security plans, whether or not connected with a loan and extension of credit,
provided that the purchase of any such service or product must be voluntary and
not required as a condition of a loan.



(b)  In approving any request to sell or refer
the products and services in subsection (a), the commissioner may impose such
conditions and restrictions that are in the public interest.



(c)  A financial services loan company may
issue standby letters of credit only after obtaining the written approval of
the commissioner.  In approving any request to issue standby letters of credit
pursuant to this subsection, the commissioner may impose conditions and
restrictions that are in the public interest.  Any depository financial
services loan company issuing standby letters of credit shall include those
standby letters of credit with all other loans and extensions of credit for the
purpose of calculating the limit on loans and extensions of credit to one
borrower under section 412:9-404.  Any nondepository financial services loan
company issuing standby letters of credit shall report the aggregate amount of
their standby letters of credit outstanding under MEMORANDA - Total Standby
Letters of Credit Outstanding, on their financial statements submitted to the
commissioner pursuant to section 412:3-112.  The aggregate amount of the
standby letters of credit outstanding shall not exceed twenty per cent of a
nondepository financial services loan company's capital and surplus.  Standby
letters of credit issued by a nondepository financial services loan company
shall not be used for consumer loan transactions.  The issuing nondepository
financial services loan company shall identify itself as a nondepository
financial services loan company in the standby letter of credit. [L 1993, c
350, pt of §1; am L 1996, c 9, §1]