Notwithstanding the provisions of any other law, a bank may take, receive, reserve, and charge on money due or to become due on any contract or other obligation in writing, where the original principal amount is fifteen thousand dollars ($15,000) or less, interest at any rate allowed national banking associations by the laws of the United States of America. A trust company shall not make any extensions of credit on its own account, but may make extensions of credit for trust assets under management.
Effective: July 15, 1998

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Terms Used In Kentucky Statutes 286.3-214

  • Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
  • Contract: A legal written agreement that becomes binding when signed.
  • Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
  • Statute: A law passed by a legislature.
  • Trust company: includes every corporation authorized by this subtitle to do a trust business. See Kentucky Statutes 286.3-010

History: Amended 1998 Ky. Acts ch. 196, sec. 12, effective July 15, 1998. — Amended
1984 Ky. Acts ch. 324, sec. 23, effective July 13, 1984. — Created 1979 (1st Extra. Sess.) Ky. Acts ch. 17, sec. 1, effective February 13, 1979.
Formerly codified as KRS § 287.214.
Legislative Research Commission Note (7/12/2006). In accordance with 2006 Ky. Acts ch. 247, secs. 38 and 39, this statute has been renumbered as a section of the Kentucky Financial Services Code, KRS Chapter 286.