<html> <head> <title>Rule 20:07:03:07 Accounting for advances to borrowers.</title> <META NAME="Keywords" Content="Administrative Rules 20:07:03:07"> <META NAME="Description" Content="Administrative Rules 20:07:03:07 Accounting for advances to borrowers."> <meta name=Generator content="Microsoft Office HTML Filter 2.0"> <meta http-equiv=Content-Type content="text/html; charset=windows-1252"> <meta name=Originator content="Microsoft Word 10"> <style> <!-- --> </style> </head> <body lang=EN-US> <div> <p>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <b>20:07:03:07.&nbsp;&nbsp;Accounting for advances to borrowers.</b> When a bank has made a loan, any advances made to the borrower, whether to protect the bank's security or otherwise, shall be considered as increasing the loan and not as protecting the security as far as the liability of SDCL <A HREF="/statutes/DisplayStatute.aspx?Type=Statute&Statute=51A-12-8">51A-12-8</A> is concerned. This includes advances made for the payment of taxes on the collateral security to the loan and any advances for operations.</p> <p>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <b>Source:</b> SL 1975, ch 16, §&nbsp;1; 12 SDR 151, 12 SDR 155, effective July 1, 1986.</p> <p>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <b>General Authority:</b>SDCL <A HREF="/statutes/DisplayStatute.aspx?Type=Statute&Statute=51A-2-13">51A-2-13.</A></p> <p>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <b>Law Implemented:</b>SDCL <A HREF="/statutes/DisplayStatute.aspx?Type=Statute&Statute=51A-12-8">51A-12-8.</A></p> </div> </body> </html>