Standards for qualified loans

Section 8.8 of the Farm Credit Act of 1971 (12 U.S.C. 2279aa–8) is amended— (1) in subsection (a)(3), by striking mortgage investors and inserting investors in those types of loans; and (2) by striking subsection (c) and inserting the following: (c) Qualified loan limitation for single borrowers (1) In general The Corporation shall not treat a loan secured by agricultural real estate as a qualified loan when the cumulative principal amount of all loans to a single borrower or related borrowers exceeds 10 percent of the Corporation’s tier 1 capital, as defined by the Farm Credit Administration. (2) Regulator determination The Farm Credit Administration may issue regulations establishing a single borrower concentration limit lower than the percentage specified in paragraph (1) if the Farm Credit Administration determines that such a lower limit is necessary for the safe and sound operation of the Corporation..

Section 8.8 of the Farm Credit Act of 1971 (12 U.S.C. 2279aa–8) is amended— (1) in subsection (a)(3), by striking mortgage investors and inserting investors in those types of loans; and (2) by striking subsection (c) and inserting the following: (c) Qualified loan limitation for single borrowers (1) In general The Corporation shall not treat a loan secured by agricultural real estate as a qualified loan when the cumulative principal amount of all loans to a single borrower or related borrowers exceeds 10 percent of the Corporation’s tier 1 capital, as defined by the Farm Credit Administration. (2) Regulator determination The Farm Credit Administration may issue regulations establishing a single borrower concentration limit lower than the percentage specified in paragraph (1) if the Farm Credit Administration determines that such a lower limit is necessary for the safe and sound operation of the Corporation..