CHAPTER 74

An Act to amend and reenact § 6-848 of the Code of Virginia, relating to
loans by, and the rate of interest and other charges allowed to banks,
brokers and certain other corporations and associations. nH 14]

Approved February 24, 1960

Be it enacted by the General Assembly of Virginia:
ty That § 6-848 of the Code of Virginia be amended and reenacted as

ollows:

§ 6-348. Any bank, or any broker duly licensed to transact business
as a stockbroker or as a broker dealing in options and futures under the
provisions of Title 58, may loan money or discount bonds, bills, notes or
other paper at a rate not exceeding one-half of one per centum for thirty
days, and may charge a minimum loan or discount fee of one dollar on loans
or discounts, and may receive such interest in advance; provided, however,
that any bank may charge in advance the legal rate of interest upon the
entire amount of any loan, payable in weekly, monthly or other periodical
installments, and any note evidencing such an installment loan may provide
that the entire unpaid balance thereof, at the option of the holder, shall
become due and payable upon default in payment of any stipulated install-
ment, without impairing the negotiability of such note, if otherwise ne-
gotiable; and provided, further, that any bank may charge a rate not
exceeding one per centum per month on daily balances, or on maximum
calendar or fiscal monthly balances, under a written contract for revolving
credit on any plan which permits an obligor to avail himself of the credit
so established, and may also charge as a service fee a sum not exceeding
twenty-five cents for each check, draft or other order on the credit so
established; and provided, further, that agricultural credit corporations or
associations organized under the laws of this State may charge interest
or discount on loans made for agricultural purposes at a rate not exceeding
one and one-half per centum per annum in excess of the rate charged such
agricultural credit corporations or associations by federal intermediate
credit banks, at the time such loans are made, or said agricultural credit
corporations or associations may in their discretion charge the rate of
interest prescribed by § 6-346 and in either case, such agricultural credit
corporations or associations may charge a minimum loan or discount fee
of one dollar on loans or discounts for thirty days or more and may receive
such interest or discount in either case in advance.

2. An emergency exists and this act is in force from its passage.