Utah § 7-3-19 - Limitations on loans and extensions of credit.

Full text of Utah Utah Code § 7-3-19 — Limitations on loans and extensions of credit., with citation guidance and answers to common questions.

§ 7-3-19. Limitations on loans and extensions of credit.

7-3-19.  Limitations on loans and extensions of credit.
(1) The total loans and extensions of credit, including credit exposure to a derivative transaction, by a bank to a person outstanding at one time and not fully secured, as determined in a manner consistent with Subsection (2), by collateral having a market value at least equal to the amount of the loan or extension of credit may not exceed 15% of the amount of the bank's total capital.
(2)
(a) The total loans and extensions of credit, including credit exposure to a derivative transaction, by a bank to a person outstanding at one time and fully secured by readily marketable collateral having a market value, as determined by reliable and continuously available price quotations, at least equal to the amount of the funds outstanding may not exceed 10% of the total capital of the bank.
(b) The limitation of Subsection (2)(a) is separate from and in addition to the limitation described in Subsection (1).
(3)
(a) The limitations contained in Subsections (1) and (2) are subject to exceptions the commissioner may prescribe by rule made in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act.
(b) A rule made under this section may not be inconsistent with law and regulations applicable to loan restrictions on national banks.
(4)
(a) The commissioner may, by rule made in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, define the following terms as used in this section:
(i) "credit exposure to a derivative transaction";
(ii) "derivative";
(iii) "loans and extensions of credit"; and
(iv) "person".
(b) The definitions described under Subsection (4)(a) may not be inconsistent with those applicable to national banks.


Amended by Chapter 194, 2012 General Session

Source: official Utah text · Last verified 2026-08-27

Related Utah Legal Topics

Frequently Asked Questions About Utah § 7-3-19

What does Utah Code § 7-3-19 cover?

Section 7-3-19 ("Limitations on loans and extensions of credit.") is part of the Utah Code, the codified statutory law of Utah. 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 Utah § 7-3-19?

A common citation format is "Utah Code § 7-3-19" (Utah). 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 Utah law?

No. This page is for research and education and may not include the most recent amendments. For official current law, check the Utah official source linked on this page or consult a licensed Utah attorney.

How does Utah § 7-3-19 apply to my situation?

Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Utah 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 Utah.