2.59.2063    COMBINATIONS OR GUARANTEES

(1) Loans or extensions of credit to a person will be combined with loans or extensions of credit to one or more other persons when: 

(a) proceeds of a loan or extension of credit are to be used for the direct benefit of the other person; or

(b) a common enterprise is deemed to exist between the persons, to the extent that loan proceeds are used for the benefit of the common enterprise and repayment is dependent upon the common enterprise.

(2) A loan or extension of credit guaranteed by a person shall be aggregated with the person's other loans and extensions of credit only to the extent that the person receives direct benefit from the loan.

History: 32-2-925, MCA; IMP, 32-2-925, MCA; NEW, 2022 MAR p. 230, Eff. 2/12/22.