Nevada § 164.895 - Allocation from proceeds of collateral financial assets to income and principal; allocation of payments in exchange for interest in asset-backed security to principal or to principal and income
Full text of Nevada Nevada Revised Statutes § 164.895 — Allocation from proceeds of collateral financial assets to income and principal; allocation of payments in exchange for interest in asset-backed security to principal or to principal and income, with citation guidance and answers to common questions.
§ 164.895. Allocation from proceeds of collateral financial assets to income and principal; allocation of payments in exchange for interest in asset-backed security to principal or to principal and income
1. As used in this section, “ asset-backed security ” means an asset whose value is based upon the right it gives the owner to receive
distributions from the proceeds of financial assets that provide collateral for the
security. The term includes an asset that gives the owner the right to receive from the collateral
financial assets only the interest or other current return or only the proceeds other
than interest or current return. The term does not include an asset to which NRS 164.825 or 164.865 applies. 2. If a trust receives a payment from interest or other current return and from other
proceeds of the collateral financial assets, the trustee shall allocate to income
the portion of the payment which the payor identifies as being from interest or other
current return and shall allocate the balance of the payment to principal. 3. If a trust receives one or more payments in exchange for the trust's entire interest
in an asset-backed security in one accounting period, the trustee shall allocate the
payments to principal. If a payment is one of a series of payments that will result in the liquidation
of the trust's interest in the security over more than one accounting period, the
trustee shall allocate 10 percent of the payment to income and the balance to principal.
Source: official Nevada text · Last verified 2026-08-27
Frequently Asked Questions About Nevada § 164.895
What does Nevada Revised Statutes § 164.895 cover?
Section 164.895 ("Allocation from proceeds of collateral financial assets to income and principal; allocation of payments in exchange for interest in asset-backed security to principal or to principal and income") is part of the Nevada Revised Statutes, the codified statutory law of Nevada. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite Nevada § 164.895?
A common citation format is "Nevada Revised Statutes § 164.895" (Nevada). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of Nevada law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the Nevada official source linked on this page or consult a licensed Nevada attorney.
How does Nevada § 164.895 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Nevada can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in Nevada.