CHAPTER 319

FORMERLY

SENATE BILL NO. 570

AS AMENDED BY SENATE AMENDMENT NO. 1

AN ACT TO AMEND CHAPTER 9 AND CHAPTER 21 OF TITLE 5 OF THE DELAWARE CODE RELATING TO MUTUAL SAVINGS BANKS AND SAVINGS SOCIETIES, SUBJECTING THEM TO THE SAME GENERAL LOAN LIMITATIONS APPLICABLE TO OTHER STATE BANKS OR TRUST COMPANIES.

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF DELAWARE:

Section 1. Amend §909, Chapter 9, Title 5 of the Delaware Code by inserting after the words "trust company" in subsection (a) the words "including mutual savings banks and savings societies".

Section 2. Amend §909, Chapter 9, Title 5 of the Delaware Code by inserting after the words "trust company" in subsection (d) the words "including mutual savings banks and savings societies".

Section 3. Amend §909, Chapter 9, Title 5 of the Delaware Code by adding after the words "profits of the lender" in subsection (a) the words "or in the case of a mutual savings bank or savings society, the total surplus and undivided profits of the lender".

Section 4. Amend §909, Chapter 9, Title 5 of the Delaware Code by adding after the words "profits of the lender;" in subsection (a) (2) the words "or in the case of a mutual savings bank or savings society, the total surplus and undivided profits of the lender".

Section 5. Amend §909, Chapter 9, Title 5 of the Delaware Code by striking the first sentence of subsection (a) (1) and substituting the following:

"(1) Ten percent, if the loan be without collateral security, except where the total of the capital, surplus and undivided profits of the lender or, in the case of a mutual savings bank or savings society, the total surplus and undivided profits of the lender are not more than $25,000, in which case an amount not to exceed 20 percent of such total may be loaned without collateral security, but where such total of the capital, surplus and undivided profits or, in the case of a mutual savings bank or savings society, such total of the surplus and undivided profits are greater than $25,000, but do not exceed $50,000, a loan or loans not exceeding in the aggregate $5,000 to any 1 persons, firm, association or corporation may be made without collateral security."

Section 6. Amend §2112, Chapter 21, Title 5 of the Delaware Code by inserting in subsection (b) after the words "state banks or trust companies" the words "including mutual savings banks and savings societies".

Section 7. Amend §2108, Chapter 21, Title 5 of the Delaware Code by striking the first two sentences of subsection (a) and inserting in lieu thereof the following:

"(a) The holder of any certificate of registration from the State Bank Commissioner, granted pursuant to this chapter, and any state bank or trust company, including mutual savings banks and savings societies, organized under this Code or any other laws of this State, or any national bank (without obtaining such certificate of registration) may lend money to any person, firm or corporation in any sum not exceeding $500, to he repaid in periodic installments, taking the obligation of the borrower therefor, with any security that may be acceptable to the lender. Any such association, firm, partnership or corporation having a paid-in capital or, in the case of a mutual savings bank or savings bank or savings society, having surplus which is not subject to withdrawal and which shall exceed $10,000, may make such loans in amounts to any one borrower in excess of $500, but not exceeding 10% of the paid-in capital stock and surplus of such lender or, in the case of a mutual savings bank or savings society, not exceeding 10% of the surplus of such lender."

Approved June 30, 1982.