Pilot Program Raises Lending Limit for Some National Banks

by Mary Beth Guard

The OCC has amended 12 CFR 32 to initiate a three-year pilot program that will allow national banks that are rated 1 or 2 and have a rating of at least 2 for the asset and management components of the CAMEL rating to apply for approval to utilize a higher lending limit. Approval can be granted to allow the national bank to lend up to the state limit, but no more than 25 percent of capital, to certain types of borrowers.

Originally appeared in the Oklahoma Bankers Association Compliance Informer.

First published on BankersOnline.com 11/26/01