Regulation O and Loans to Executive Officers
Issue/Inquiry
For loans to key officers, Regulation O requires a notice to be provided to key officers stipulating that the extension of credit will, at the option of the Bank, become due and payable at any time that the officer is indebted to any other bank(s) in an aggregate amount greater than the amount specified in the regulation. When should this notice be provided? Since banks are no longer required to collect information regarding loans to officers from other banks, what are the options for obtaining this information from key officers?
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