04 NCAC 03K .0302. SURETY BONDS

(a)  All authorized lenders shall post a surety bond in the amount of one hundred thousand dollars ($100,000) with the Commissioner which shall run to the benefit of the Commissioner.  The bond shall be executed by an insurance company authorized to do business in North Carolina and not affiliated with the lender.  The bond shall be conditioned upon the authorized lender's compliance with the provisions of Article 21 of Chapter 53 of the General Statutes and all rules adopted thereunder.

(b)  All authorized lenders which are approved by the Commissioner on or after the effective date of this rule shall meet the requirements of this Rule upon approval.  Authorized lenders which were approved by the Commissioner before the effective date of this Rule shall have until March 31, 1995 to comply with this Rule.

 

History Note:        Authority G.S. 53-258(b); 53-259; 53-271(a);

Eff. January 1, 1995.