WAC 208-460-010. What is a member business loan?

(1) Definition of MBL. "Member business loan" or "MBL" includes any loan, line of credit, letter of credit, or any unfunded commitment to make a loan, where the borrower intends to use the proceeds for any of the following purposes: (a) Commercial; (b) Corporate; (c) Investment property; (d) Business venture; or (e) Agricultural. (2) Exemptions. The following are not member business loans: (a) A business purpose loan fully secured by a lien on a one to four family dwelling that is the member's primary residence; (b) A business purpose loan fully secured by shares or deposits in the credit union making the extension of credit or in other credit unions, or by deposits in other financial institutions; (c) One or more business purpose loans to a member or any associated member which in the aggregate do not exceed the amount of 49,999 dollars. The entire amount of such a loan that exceeds this figure, or that causes the aggregate to exceed this figure, is a MBL; (d) A business purpose loan where a federal or state agency (or any political subdivision of a state) fully insures repayment, or fully guarantees repayment, or provides an advance commitment to purchase in full; or (e) A loan granted by a corporate credit union to another credit union. (3) Other definitions. Certain other terms used in this chapter are defined in WAC 208-460-170 .