S.D. Admin. R. 12:07:14:16

Current through Register Vol. 51, page 70, December 27, 2024

Section 12:07:14:16 - Lender's responsibilities

During the application process, the lender shall ensure that the loan proposal receives the same degree of analysis as any other loan proposal. Upon approval of the guaranty, the lender shall do the following:

(1) Execute the initial loan and disburse the proceeds;

(2) Execute and retain the loan documentation and furnish a copy of the loan documentation to the office;

(3) Obtain and maintain documentation necessary for the perfection of a security interest and furnish copies to the office;

(4) Serve as the point of contact for the administration of the loan and apprise the office of the loan status; and

(5) Service and manage the loan in accordance with its usual practices and exercise the same degree of care as it does with unguaranteed loans.

S.D. Admin. R. 12:07:14:16

17 SDR 141, effective 3/25/1991.

General Authority: SDCL 38-6-8.1.

Law Implemented: SDCL 38-6-3, 38-6-8.