South Carolina Code of Regulations
Chapter 15 - STATE BOARD OF FINANCIAL INSTITUTIONS CONSUMER FINANCE DIVISION
Article 1 - BANKING, COMMERCIAL PAPER AND FINANCE
Section 15-26 - Disposition of Real Property of Banks
Current through Register Vol. 47, No. 12, December 22, 2023
Other real estate owned shall be disposed of within a period of five years, except upon written approval of the Board of Financial Institutions to extend the period up to an additional five years. The preferred method of disposition is through immediate sale at a price sufficient to cover the bank's investment and costs of acquisition. When consummation of such a sale has not taken place, the following policy is to be initiated by the bank:
(a) The book value of each parcel of real estate should represent only the balance of the loan when transferred to an account titled, "Other Real Estate Owned." Accrued interest, taxes and attorney fees should be charged off upon transfer.
(b) A new appraisal of the property should be made at the time of its acquisition. When book value exceeds this appraised value, the difference shall immediately be charged off and book value established at this appraised value.
Amended by State Register Volume 19, Issue No. 5, eff May 26, 1995.
Statutory Authority: 1976 Code Sections 34-1-60 and 34-1-110
