Bill > SB85

This bill modifies several aspects of banking regulations in New Hampshire, primarily focusing on lending limits and the status of new banks. Specifically, the bill increases the amount of money a bank can lend to a single borrower by introducing two new lending limit options: 20 percent of the bank's capital and surplus, or 25 percent if the additional amount above the first limit is fully secured by U.S. obligations with a market value of at least 100 percent. The bill also shortens the "de novo" (new bank) status period from 5 to 3 years, affecting requirements for capital plans, business plans, and material changes to business operations. For new banks, the commissioner now has discretion to adjust the planning period to match Federal Deposit Insurance Corporation requirements and can extend the initial 3-year period by an additional 2 years if deemed necessary for the bank's safety and soundness. These changes aim to provide more flexibility for new banks while maintaining regulatory oversight and protecting financial institutions' stability. The bill will take effect immediately upon passage.

Business and Industry

https://gc.nh.gov/bill_status/legacy/bs2016/bill_docket.aspx?lsr=1020&sy=2025&sortoption=&txtsessionyear=2025&txtbillnumber=SB85