Company: BPOPM
Filing Date: 2025-03-03
Form Type: 10-K
Source: 0001193125-25-043848
Chunk: 73

Company: POPULAR, INC.
Filing Date: 2025-03-03
Form: 10-K
Item: Item 5
Chunk 73
---
%)
of the paid-in
capital and reserve fund
of the bank.
As of December
31, 2024, the
legal 
lending limit
for BPPR
under this
provision was
approximately $349
million. In
the case
of loans
which are
secured by
collateral 
worth at
least 25% more
than the amount
of the
loan, the
maximum aggregate amount
of such secured
loans is
increased to
one 
third of
the paid-in capital
of the bank,
plus its reserve
fund. In no
event may the
total of unsecured
and secured loans
to any one 
person, firm, partnership or corporation exceed an aggregate amount of 33 1/3% of the paid-in capital and reserve fund of the bank. 

  23 
If the institution is well capitalized and had been rated
1 in the last examination performed by the Office
of the Commissioner or any 
regulatory agency,
its legal
lending limit
shall also
include 15%
of 50%
of its
undivided profits
and for
loans secured
by collateral 
worth at
least 25%
more than
the amount
of the
loan, the
capital of
the bank
shall also
include 33
1/3% of
50% of
its undivided 
profits. Institutions rated 2
in their last
regulatory examination may include this
additional component in their
legal lending limit
only 
with the previous authorization of the Office of the Commissioner. There are no restrictions under Section 17 on the amount of loans 
that are wholly secured
by bonds, securities and
other evidence of indebtedness
of the Government of
the United States or
Puerto 
Rico,
or
by
current
debt
bonds,
not
in
default,
of
municipalities
or
instrumentalities
of
Puerto
Rico.
During
2024,
BPPR
was
in 
compliance with the lending limit requirements of Section
17 of the Banking Law. 
Section
14
of
the
Banking Law
authorizes a
bank to
conduct certain
financial
and
related
activities directly
or
through 
subsidiaries, including finance leasing of personal property and originating and servicing
mortgage loans. BPPR engages in finance