RESTRICTED STOCK
                                 LOAN AGREEMENT


THIS  RESTRICTED  STOCK  LOAN  AGREEMENT  ("Agreement")  is made  this 22 day of
October,  1998, by and between ANCHOR  FINANCIAL  CORPORATION,  a South Carolina
corporation  ("Anchor")  and STEPHEN L. CHRYST of Myrtle Beach,  South  Carolina
("Executive").

In conjunction with the recently awarded restricted stock grant in the amount of
12,500 shares,  Anchor hereby agrees to provide the Executive a loan  sufficient
to pay the taxes  associated  with his Election to Include  Value of  Restricted
Property and Gross  Income in Year of Transfer  under Code  Section  83(b).  The
terms of the loan are as follows:

       1.         Stephen L. Chryst may borrow up to an amount equivalent to the
                  income  taxes due as a result of his  execution  and filing of
                  the Election to Include Value of Restricted Property and Gross
                  Income in Year of  Transfer  under  Code  Section  83(b).  The
                  maximum amount of the loan will be $225,000.

       2.         The loan will accrue interest at the prime rate as determined
                  on the date of the loan.

       3.         The  Executive   agrees  to  repay  the  loan  in  five  equal
                  installments.  The first installment will be due one year from
                  the date the loan is  provided  to the  Executive;  the second
                  installment  will be due two years  from the date of the loan;
                  the third installment will be due three years from the date of
                  the loan; the fourth  installment  will be due four years from
                  the date of the loan;  and the fifth  installment  will be due
                  five years from the date of the loan.

       4.         Notwithstanding  the above  repayment  schedule,  on each loan
                  repayment  due date that the  Executive  is still  employed by
                  Anchor,  the  Executive's  payment due will be forgiven  (both
                  principal and interest).

       5.         On each date on which a loan repayment is forgiven pursuant to
                  paragraph 4 above,  Anchor will pay a bonus  sufficient to pay
                  any taxes associated with the forgiven debt.

       6.         If during the repayment  period the Executive  dies or becomes
                  disabled (as defined in the  Executive's  disability  coverage
                  provided   through  Anchor),   the  remaining   balance  (both
                  principal and interest) will be immediately forgiven.

       7.         Upon  Change  in  Control  (as  defined  in  the   Executive's
                  employment  agreement),  the remaining balance (both principal
                  and interest) will be immediately forgiven.

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       8.         In the event the Executive  voluntarily  terminates employment
                  prior to full repayment,  the remaining principal and interest
                  due and  owing  will be  forgiven  on the date the  Restricted
                  Shares are returned to Anchor pursuant to paragraph  2c(ii) of
                  the Anchor  Financial  Corporation  Restricted Stock Agreement
                  entered into between the  Executive  and Anchor on October 22,
                  1998.




Date of Loan:  
               ---------------------------
Amount of Loan:
                 -------------------------
Interest Rate of Loan:
                         -----------------


IN WITNESS  WHEREOF,  the Executive and Anchor (by action of its duly authorized
representative) have executed this Agreement on the date first above written.


                                                  ANCHOR FINANCIAL CORPORATION
ATTEST:  /s/ Rhonda P. Housand                    By:  /s/ Thomas J. Rogers
                                                  Name:  Thomas J. Rogers
                                                  Title:   Vice Chairman



                                                  EXECUTIVE

ATTEST:  /s/ Christie Truette                     /s/ Stephen L. Chryst
                                                  STEPHEN L. CHRYST