reglab/statecodes huggingface dataset:
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 4 - Merger and Consolidation of Banks › Section 58-4-10 - Dissenting stockholders.

A. A dissenting stockholder of a state bank shall be entitled to receive the value in each of only those shares which were voted against a merger to result in a state bank, against the conversion of a state bank into a national bank or against a sale of all or substantially all of the state bank's assets, and only if written demand thereupon is made to the resulting state or national bank at any time within thirty days after the effective date of the merger or conversion accompanied by the surrender of the stock certificates. The value of such shares shall be determined, as of the date of the stockholders' meeting approving the merger or conversion, by three appraisers, one to be selected by the vote of the owners of two-thirds of the shares involved at a meeting called by the director of the financial institutions division on 10 days notice, one by the board of directors of the resulting state or national bank and the third by the two so chosen. The valuation agreed upon by any two appraisers shall govern. If any necessary appraiser is not appointed within 60 days after the effective date of the merger or conversion, the director of the financial institutions division shall make the necessary appointment, or if the appraisal is not completed within 90 days after the merger or conversion becomes effective, the director of the financial institutions division shall cause an appraisal to be made.
B. The merger agreement may fix an amount which the merging banks consider to be the fair market value of the shares of a merging or the converting bank at the time of the stockholders' meeting approving the merger or conversion, which the resulting bank will pay dissenting stockholders of that bank entitled to payment in cash. The amount due under such accepted offer or under the appraisal shall constitute a debt of the resulting state or national bank.
C. The expenses of appraisal shall be paid by the resulting state bank except where the value fixed by the appraisers does not exceed the value fixed by the merger agreement in which case one-half of the expenses shall be paid by the resulting bank and one-half by the dissenting stockholders requesting the appraisal in proportion to their respective holdings.
History:
1941 Comp., § 50-1910, enacted by Laws 1951, ch. 37, § 10; 1953 Comp., § 48-13-10; Laws 1977, ch. 245, § 33.
ANNOTATIONS
Am. Jur. 2d, A.L.R. and C.J.S. references. —
10 Am. Jur. 2d Banks § 29.
Construction and effect of provisions for payment of dissenting stockholders in statutes relating to merger, consolidation or reorganization of banks or other corporations, 87 A.L.R. 597, 162 A.L.R. 1237, 174 A.L.R. 960.
Constitutionality of recent legislation relating to merger, consolidation or reorganization of banks as affected by rights of dissenting creditors or stockholders, 92 A.L.R. 1337, 96 A.L.R. 1445, 104 A.L.R. 1203.
9 C.J.S. Banks and Banking § 158 et seq.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 4 - Merger and Consolidation of Banks › Section 58-4-11 - Nonconforming assets or business.

If a merging, converting or selling bank has assets which do not conform to the requirements of state law for the resulting or purchasing state bank or carries on business activities which are not authorized or permitted for the resulting or purchasing state bank, the director of the financial institutions division may permit a reasonable time to conform with the law of this state, and, in the case of a resulting or purchasing state bank that is not to exercise trust powers, shall require that prompt application be made to a court of competent jurisdiction for the appointment of a successor trustee.
History:
1941 Comp., § 50-1911, enacted by Laws 1951, ch. 37, § 11; 1953 Comp., § 48-13-11; Laws 1977, ch. 245, § 34.
ANNOTATIONS
Am. Jur. 2d, A.L.R. and C.J.S. references. —
10 Am. Jur. 2d Banks § 28.
Novation where bank transfers its assets to another bank which assumes its obligation, 79 A.L.R. 82.
9 C.J.S. Banks and Banking § 128.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 4 - Merger and Consolidation of Banks › Section 58-4-12 - Book value of assets.

Without approval by the director of the financial institutions division no asset shall be carried on the books of the resulting or purchasing state bank at a valuation higher than that on the books of the merging or converting bank at the time of its last examination by a state or national bank examiner before the effective date of the merger or conversion.
History:
1941 Comp., § 50-1912, enacted by Laws 1951, ch. 37, § 12; 1953 Comp., § 48-13-12; Laws 1977, ch. 245, § 35.
ANNOTATIONS
Compiler's notes.
— Laws 1951, ch. 37, § 13, provided where the act should be compiled in the 1941 Comp.
Am. Jur. 2d, A.L.R. and C.J.S. references. —
10 Am. Jur. 2d Banks § 28.
Novation where bank transfers its assets to another bank which assumes its obligation, 79 A.L.R. 82.
9 C.J.S. Banks and Banking § 128.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 5 - Organization and Management › Section 58-5-1 - Board of directors; oaths.

A. A board member, when initially elected, shall take an oath that:
(1) he will, so far as the duty devolves upon him, diligently and honestly administer the affairs of the bank and will not knowingly violate or willingly permit to be violated any of the provisions of the Banking Act; and
(2) he is the owner, in good faith and in his own right or jointly with his spouse, of the number of shares of stock required by law standing in his name on the books of the corporation and that the stock is not hypothecated or in any way pledged as security for any loan or debt.
B. The oath, subscribed by the board member making it and certified by the notary public before whom it was taken, shall be immediately transmitted to the director of the division and shall be filed and preserved in his office.
History:
1953 Comp., § 48-2-10, enacted by Laws 1975, ch. 330, § 1; 1977, ch. 245, § 19; 1995, ch. 190, § 13.
ANNOTATIONS
The 1995 amendment,
effective June 16, 1995, substituted the introductory sentence in Subsection A for "A director, when selected, shall take an oath that", substituted "the" for "such" preceding "bank" in Paragraph (1) of Subsection A, substituted "stock" for "same" preceding "is not hypothecated" in Paragraph (2) of Subsection A, and substituted "The oath, subscribed by the board member" for "Such oath, subscribed by the director" and "director of the division" for "director of the financial institutions division" in Subsection B.
Am. Jur. 2d, A.L.R. and C.J.S. references. —
10 Am. Jur. 2d Banks §§ 78, 79, 221.
Liability, under National Banking Act (12 USCS § 93), of national bank directors for retaliation against office or employee who discloses or refuses to commit banking irregularity, 101 A.L.R. Fed. 377.
9 C.J.S. Banks and Banking § 103.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 5 - Organization and Management › Section 58-5-3 - Branch banks; permit to open; powers; location.

Branches of banks authorized under the provisions of this article are authorized to accept deposits, cash checks, buy and sell exchange, make loans and do a general banking business. A permit to open the branch shall first be obtained from the director.
History:
1941 Comp., § 50-215b, enacted by Laws 1951, ch. 32, § 2; 1953 Comp., § 48-2-17; Laws 1977, ch. 245, § 21; 1991, ch. 12, § 2.
ANNOTATIONS
The 1991 amendment,
effective June 14, 1991, in the first sentence, substituted "of banks authorized under the provisions of this article are" for "or banks authorized under the provisions hereof shall be," and deleted a proviso relating to the location of the branches and, in the second sentence deleted "of the financial institutions division" from the end and made a minor stylistic change.
Branch banks prohibited in counties with banks.
— While this provision of the law now authorizes branch banks instead of banking agencies, they are still prohibited if there is a bank operating in the county in which the branch is proposed to be opened. Again, under present law, operation of a bank in the county is the criterion, not willingness to conduct branch banking operations in the area in question. 1959 Op. Att'y Gen. No. 59-35.
Am. Jur. 2d, A.L.R. and C.J.S. references. —
10 Am. Jur. 2d Banks § 324.
What is a "branch bank" within statutes regulating the establishment of branch banks, 23 A.L.R.3d 683.
9 C.J.S. Banks and Banking §§ 45, 46.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 5 - Organization and Management › Section 58-5-4 - Repealed.

ANNOTATIONS
Repeals.
— Laws 1985, ch. 30, § 5 repeals 58-5-4 NMSA 1978, as amended by Laws 1977, ch. 245, § 22, relating to fees for examination of a bank, effective January 1, 1986. For present comparable provisions, see 58-1-41, 58-1-41.1, 58-1-41.2 NMSA 1978.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 5 - Organization and Management › Section 58-5-5 - [Prior bank agencies; designation as branches.]

Any bank agency or agencies heretofore opened and conducted prior to the passage and approval hereof under the authorization contained in Chapter 50 Section 216 of the New Mexico Statutes Annotated, 1941 Compilation, are hereafter to be conducted and known as branches under the authorization hereof.
History:
1941 Comp., § 48-2-19, enacted by Laws 1951, ch. 32, § 4; 1953 Comp., § 48-2-19.
ANNOTATIONS
Compiler's notes.
— Section 50-216 of the 1941 Compilation referred to in this section was repealed by Laws 1951, ch. 32, § 5.
Unlawfully established agency not validated.
— This section does not validate the prior action of the state bank examiner in granting the Otero county state bank a permit for its agency at White Sands since this section is not operative unless the agency previously established was done lawfully under the provisions of prior 50-216 of the 1941 Comp. 1959 Op. Att'y Gen. No. 59-35.
Am. Jur. 2d, A.L.R. and C.J.S. references. —
10 Am. Jur. 2d Banks § 324.
Power of national bank to establish branches or maintain separate banking offices, 30 A.L.R. 927, 50 A.L.R. 1340, 136 A.L.R. 471.
Branch banks, effect of maintenance of, on rights of creditors on insolvency of branch or parent bank, 50 A.L.R. 1353, 136 A.L.R. 471.
Judicial notice as to branch banks, 89 A.L.R. 1353.
9 C.J.S. Banks and Banking §§ 45, 46.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 5 - Organization and Management › Section 58-5-6 - Banking days; notice; closing.

A. A bank is authorized to fix from time to time the days and hours when each of its banking offices will be open to the public for its banking business. The days and hours need not be the same for each office. The bank shall notify the director of the financial institutions division of the days and hours of each banking office and of any change in the scheduled days and hours of each office. The bank shall give further notice by whatever means it selects as best calculated to advise the public of any change.
B. In an emergency or threat of an emergency or other circumstances beyond the control of the bank which would imperil persons or property or impede normal operations, all or any of its banking offices may be or remain closed. Notice of the closing shall be given to the director of the financial institutions division as promptly as conditions will permit. The director of the financial institutions division may order the reopening of any office on his finding that conditions justifying the closing under this section do not then exist.
C. Any day on which a bank shall pursuant to this section be or remain closed shall with respect to the bank be deemed a legal holiday.
D. Any office of a bank may be closed under Subsection A or B of this section, even though other offices of the bank are open, but any day of such closing shall not be a legal holiday in respect to any acts to be performed by or at the bank on such day unless the act is to be performed only by or at the office which is closed.
E. Where pursuant to agreement or law any act is to be performed by or at a bank on any day when such bank shall pursuant to this section be or remain closed, the act may be performed on the next succeeding banking day with the effect as though performed on the appointed day.
F. Nothing in any law of this state shall in any manner whatsoever affect the validity of or render void or voidable the payment, satisfaction or acceptance of a check or other negotiable instrument or any other transaction by a bank because done or performed on any holiday or partial holiday.
History:
1953 Comp., § 48-2-20, enacted by Laws 1975, ch. 330, § 2; 1977, ch. 245, § 23.
ANNOTATIONS
Am. Jur. 2d, A.L.R. and C.J.S. references. —
10 Am. Jur. 2d Banks §§ 136, 429.
Banking hours, receipt of deposits after, as affecting right of depositor to reclaim it on bank's insolvency, 15 A.L.R. 429.
9 C.J.S. Banks and Banking § 232.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 5 - Organization and Management › Section 58-5-7 - Legal holidays for banks.

A. The following legal holidays may be observed by banks, notwithstanding the provisions of Sections 12-5-1 through 12-5-9 NMSA 1978:
New Year's Day ................................. January 1
Martin Luther King, Jr.'s Birthday ... 3rd Monday in January
President's Day .................................. 3rd Monday in February
Memorial Day ..................................... the date determined by the director to be the date recognized by the majority of the federal reserve districts in New Mexico
Independence Day ............................. July 4
Labor Day ........................................... 1st Monday in September
Indigenous Peoples' Day .................... 2nd Monday in October
Armistice Day and Veterans' Day ....... November 11
Thanksgiving Day ............................... 4th Thursday in November
Christmas Day .................................... December 25.
Whenever one of these bank holidays falls on a Sunday, the following Monday is a legal bank holiday. Whenever one of these bank holidays falls on a Saturday, that Saturday and the preceding Friday are legal bank holidays.
B. Nothing in this section shall be deemed to require a bank to close or cease operating any remote financial service unit installed pursuant to the Remote Financial Service Unit Act [Chapter 58, Article 16 NMSA 1978] or any automated teller machines located on the bank premises during all or any part of a legal bank holiday.
History:
1953 Comp., § 48-2-21, enacted by Laws 1975, ch. 330, § 3; 1977, ch. 340, § 1; 1977, ch. 359, § 19; 1 981, ch. 42, § 1; 1991, ch. 75, § 1; 1999, ch. 213, § 8; 2019, ch. 123, § 4.
ANNOTATIONS
The 2019 amendment,
effective July 1, 2019, in Subsection A, after "3rd Monday in January", deleted "Washington's Birthday" and added "President's Day", and after "1st Monday in September", deleted "Columbus" and added "Indigenous Peoples'".
The 1999 amendment,
effective June 18, 1999, in the introductory language of Subsection A substituted "may" for "shall" and updated a section reference.
The 1991 amendment,
effective July 1, 1991, inserted "Martin Luther King, Jr.'s Birthday" in the list of legal holidays and deleted "of the financial institutions division" following "director" in the provision on determination of the Memorial Day holiday.
Am. Jur. 2d, A.L.R. and C.J.S. references. —
10 Am. Jur. 2d Banks §§ 278, 710.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 5 - Organization and Management › Section 58-5-8 - [Federal reserve; bank may become stockholder or member.]

Any incorporated bank may apply to the federal reserve board for the right to subscribe to the stock of the federal reserve bank organized within the federal reserve district where the applicant bank is located, and may become a stockholder of such bank and exercise all of the powers of member banks in accordance with the provisions of the act of congress entitled "Federal Reserve Act," approved December 23, 1913.
History:
Laws 1915, ch. 67, § 96; 1919, ch. 120, § 35; C.S. 1929, § 13-701; 1941 Comp., § 50-222; 1953 Comp., § 48-2-27.
ANNOTATIONS
Compiler's notes.
— Laws 1915, ch. 67, § 97, which was renumbered as § 99 thereof by Laws 1919, ch. 120, § 36, and in which the only other changes were the insertions of the parenthetical references, read: "Sections 244 to 254 inclusive (sections 395 to 405 N.M. Statutes Annotated 1915), and sections 260 to 284 (sections 406 to 430 N.M. Statutes Annotated 1915) inclusive of the Compiled Laws of 1897, and all acts and parts of acts amendatory thereof, chapter 62 of the Laws of 1899 (sections 472 to 474 N.M. Statutes Annotated 1915), chapter 52 of the Laws of 1903 (sections 431 to 455 N.M. Statutes Annotated 1915), and all acts and parts of acts amendatory thereof, and all acts and parts of acts in conflict herewith are hereby repealed. Provided: That such repeal shall not abate or affect any suit, action or proceeding, civil or criminal, commenced under any of the laws so repealed prior to the taking of effect of this act, but all such suits, actions or proceedings may be prosecuted to final determination under the laws so repealed, and Provided further; that such repeal shall not affect, abridge, deny, divest or impair any right or cause of action, civil or criminal, accruing under the laws hereby repealed, but such right or cause of action so accruing or arising shall be brought and prosecuted under the laws so repealed."
Cross references.
— For the Federal Reserve Act,
see
12 U.S.C. § 221.
Am. Jur. 2d, A.L.R. and C.J.S. references. —
10 Am. Jur. 2d Banks § 5.
Interest in respect of insured deposit, liability of federal deposit insurance corporation for, 153 A.L.R. 532.
State laws regarding superadded liability of stockholders in state banks as affected by federal legislation, 169 A.L.R. 942.
9 C.J.S. Banks and Banking § 661.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 5 - Organization and Management › Section 58-5-9 - [Compliance with federal reserve requirements satisfies state balance requirements.]

Compliance on the part of any bank or trust company exercising the right conferred by Section 96 [58-5-8 NMSA 1978] hereof with the reserve requirements of the Federal Reserve Act shall be held to be a full compliance with these [those] provisions of the laws of this state which require banks or trust companies to maintain cash balances in their vaults or with other banks, and no such bank or trust company shall be required to carry or maintain reserve other than such as is required under the terms of the Federal Reserve Act.
History:
Laws 1915, ch. 67, § 97, enacted by Laws 1919, ch. 120, § 35; C.S. 1929, § 13-702; 1941 Comp., § 50-223; 1953 Comp., § 48-2-28.
ANNOTATIONS
Compiler's notes.
— The bracketed material was inserted by the compiler and is not part of the law.
Cross references.
— For the Federal Reserve Act,
see
12 U.S.C. § 221.
Law reviews.
— For student symposium, "Constitutional Revision - State Aid to Private Enterprise in New Mexico," see 9 Nat. Resources J. 457 (1969).
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 5 - Organization and Management › Section 58-5-10 - [Federal reserve member banks; state examination.]

Such bank or trust company shall continue to be subject to the supervision and examination required by the laws of this state, except that the federal reserve board shall have the right, if it deems necessary, to make examinations; and the authorities of this state having supervision over such banks or trust companies may disclose to the federal reserve board, or to examiners duly appointed by it, all information in reference to the affairs of any bank or trust company which has become, or desires to become, a member of a federal reserve bank.
History:
Laws 1915, ch. 67, § 98, enacted by Laws 1919, ch. 120, § 35; C.S. 1929, § 13-703; 1941 Comp., § 50-224; 1953 Comp., § 48-2-29.
ANNOTATIONS
Am. Jur. 2d, A.L.R. and C.J.S. references. —
10 Am. Jur. 2d Banks § 18.
9 C.J.S. Banks and Banking § 652.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 5 - Organization and Management › Section 58-5-11 - Interstate acquisition; procedures.

A. A bank holding company which has control over a company operating as a bank in some jurisdiction, but not in this state, may acquire all, substantially all or such lesser portion as the director deems reasonable of the assets and liabilities of a bank operating in this state, but only if all the following conditions are met:
(1) the federal deposit insurance corporation has been appointed the receiver for the bank whose assets and liabilities are to be acquired;
(2) the federal deposit insurance corporation requests the bids for the assets and liabilities of the bank from institutions operating as banks in New Mexico or bank holding companies controlling an institution operating as a bank in New Mexico and the majority of which company's assets are located in New Mexico or from any qualified individuals and upon opening those bids finds none has met the minimum bid requirements set by the corporation; and
(3) after the federal deposit insurance corporation finds that the conditions of Paragraph (2) of this subsection have been met, it then requests and opens the bids of bank holding companies described at the beginning of this subsection and any supplemental bids of the bank holding companies, institutions and qualified individuals described in Paragraph (2) of this subsection, and finds that the bid of a bank holding company described at the beginning of this subsection is the highest bid.
B. Notwithstanding the provisions of Section 58-5-3 NMSA 1978, an institution operating as a bank in New Mexico may establish a branch or branches outside the county in which the institution is located for the purpose of acquiring assets and liabilities pursuant to this section. If these branches are approved, the institution shall be deemed located both in the county where the institution is located and in the county where the new branches are located for purposes of Section 58-5-3 NMSA 1978.
C. After the federal deposit insurance corporation has been appointed the receiver for a bank, the director may waive any procedural requirements, including any time periods but not including any fees, in the granting of permission to file articles of incorporation. The director may also temporarily waive any substantive requirement in the granting of permission to file articles of incorporation, other than those relating to financial or managerial capability, for a reasonable time as determined by the director. Failure to comply with any substantive requirement within the time set by the director shall make the applicant liable to the state at a rate of one thousand dollars ($1,000) per day of noncompliance. The director may institute a civil action in a court of competent jurisdiction to recover all or any portion of such sums owed.
History:
1978 Comp., § 58-5-11, enacted by Laws 1986, ch. 23, § 1.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 6 - Miscellaneous Loans › Section 58-6-2 - Repealed.

ANNOTATIONS
Repeals.
— Laws 1999, ch. 213, § 10 repeals 58-6-1 and 58-6-2 NMSA 1978, being Laws 1945, ch. 122, §§ 1 and 2, as amended, relating to power to make loans guaranteed under Servicemen's Readjustment Act, which had been repealed in 1958 by P.L. No. 85-857, and minors' eligibility for such loans, effective June 18, 1999. For provisions of former sections,
see
the 1998 NMSA 1978 on
NMOneSource.com.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 6 - Miscellaneous Loans › Section 58-6-3 - Legal disability of minors removed when borrowing money for educational purposes.

A. As used in this section:
(1) "person" means any individual, partnership, company, corporation, association, institution, department or agency; and
(2) "institution of higher learning" means any graduate or undergraduate junior college, college, university, technical and vocational institute or similar institution accredited or approved by the appropriate official, department or agency as provided by the laws of the state wherein the institution is located.
B. Any written promissory note, contract or other obligation entered into or executed by a minor sixteen years of age or over evidencing loans or other aid and assistance received by him from any person for the purpose of furthering his education at an institution of higher learning is enforceable against the minor with the same effect as if he had, at the time of its execution, reached the age of majority, provided that the person making the loan shall have in his records prior to making the loan a certification from the institution of higher learning that the minor is regularly enrolled in the institution of higher learning or has been accepted for regular enrollment in the institution of higher learning.
History:
1953 Comp., § 48-3-11.1, enacted by Laws 1967, ch. 159, § 1; 1973, ch. 138, § 18.
ANNOTATIONS
Cross references.
— For Student Loan Act,
see
21-21-1 NMSA 1978.
For Medical Student Loan for Service Act,
see
21-2-1 NMSA 1978.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 6 - Miscellaneous Loans › Section 58-6-4 - [Mortgage loan sales to federal national mortgage association authorized.]

Notwithstanding any other provision of law, any institution, including a bank, trust company, building and loan association, insurance company or other banking, building or insuring organization, organized under the laws of this state, which has as one of its principal purposes the making or purchasing of loans secured by real estate mortgages, is authorized to sell such mortgage loans to the federal national mortgage association, a corporation chartered by an act of congress, or any successor thereof, and in connection therewith to make payments of any capital contributions, required pursuant to law, in the nature of subscriptions for stock of the federal national mortgage association or any successor thereof, to receive stock evidencing such capital contributions and to hold or dispose of such stock.
History:
1953 Comp., § 48-3-17, enacted by Laws 1955, ch. 109, § 1.
ANNOTATIONS
Am. Jur. 2d, A.L.R. and C.J.S. references. —
10 Am. Jur. 2d Banks § 683 et seq.
Power to mortgage as authorizing insertion of power of sale in mortgage, 72 A.L.R. 158.
9 C.J.S. Banks and Banking § 604.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 6 - Miscellaneous Loans › Section 58-6-5 - Credit agreements; requirements.

A. As used in this section, "financial institution" means a bank, savings and loan association or credit union authorized to transact business in the state.
B. A contract, promise or commitment to loan money or to grant, extend or renew credit or any modification thereof, in an amount greater than twenty-five thousand dollars ($25,000), not primarily for personal, family or household purposes, made by a financial institution shall not be enforceable unless in writing and signed by the party to be charged or that party's authorized representative.
History:
Laws 1990, ch. 45, § 1; 1999, ch. 213, § 9.
ANNOTATIONS
The 1999 amendment,
effective June 18, 1999, deleted "provided, however, that the provisions of this section shall not apply unless the financial institution is able to produce a statement signed by the borrower or recipient of loan monies on credit that he or she is aware of the provisions of this section" from the end of Subsection B.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 7 - Installment Loans › Section 58-7-1 - Short title.

Chapter 58, Article 7 NMSA 1978 may be cited as the "New Mexico Bank Installment Loan Act of 1959".
History:
1953 Comp., § 48-21-1, enacted by Laws 1959, ch. 327, § 1; 2017, ch. 110, § 2.
ANNOTATIONS
The 2017 amendment,
effective January 1, 2018, changed "This act shall be known" to "Chapter 58, Article 7 NMSA 1978 may be cited".
Applicability.
— Laws 2017, ch. 110, § 26 provided that the provisions of Laws 2017, ch. 110 shall apply to loans subject to the New Mexico Small Loan Act of 1955 and the New Mexico Bank Installment Loan Act of 1959 executed on or after January 1, 2018.
Am. Jur. 2d, A.L.R. and C.J.S. references. —
Failure of moneylender or creditor engaged in business of making loans to procure license or permit as affecting validity or enforceability of contract, 29 A.L.R.4th 884.
Construction and application of Consumer Credit Protection Act provisions (18 USCS §§ 891-894) prohibiting extortionate credit transactions, 106 A.L.R. Fed. 33.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 7 - Installment Loans › Section 58-7-2 - Persons to whom act applicable.

This act [58-7-1 to 58-7-3, 58-7-5 to 58-7-9 NMSA 1978] shall apply to any state or national bank located in and authorized to do business in the state, to any licensee as defined in the New Mexico Small Loan Act of 1955 [Chapter 58, Article 15 NMSA 1978] or to any sales finance company as defined in the Motor Vehicle Sales Finance Act and who hereafter makes a loan of money or credit, or forbearing or postponing [forbears or postpones] the right to receive money or credit in the state.
History:
1953 Comp., § 48-21-2, enacted by Laws 1959, ch. 327, § 2; 1967, ch. 106, § 1.
ANNOTATIONS
Bracketed material.
— The bracketed material was inserted by the compiler and is not a part of the law.
Cross references.
— For the Motor Vehicle Sales Finance Act,
see
58-19-1 NMSA 1978.
Am. Jur. 2d, A.L.R. and C.J.S. references. —
10 Am. Jur. 2d Banks § 694.
What constitutes "business or commercial" purpose within meaning of § 104(1) of Truth in Lending Act (15 USCS § 1603(1)), exempting business or commercial credit transactions from act, 54 A.L.R. Fed. 491.
What constitutes Truth in Lending Act violation which "was not intentional and resulted from bona fide error not withstanding maintenance of procedures reasonably adapted to avoid any such error" within meaning of § 130(c) of Act (15 USCA § 1640(c)), 153 A.L.R. Fed. 193.
9 C.J.S. Banks and Banking §§ 8, 9.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 7 - Installment Loans › Section 58-7-3 - Loans covered by act.

A. The New Mexico Bank Installment Loan Act of 1959 applies to a loan that is a precomputed loan repayable in installments and that is clearly identified on the loan documents as being made under that act.
B. A loan in an amount equal to ten thousand dollars ($10,000) or less shall be made only pursuant to the New Mexico Bank Installment Loan Act of 1959 or the New Mexico Small Loan Act of 1955 [Chapter 58, Article 15 NMSA 1978]. A loan made pursuant to the New Mexico Bank Installment Loan Act of 1959 shall be identified in the loan documents as being made pursuant to that act.
C. The provisions of Subsection B of this section shall not apply to a federally insured depository institution.
History:
1978 Comp., § 58-7-3, enacted by Laws 1995, ch. 190, § 15; 2017, ch. 110, § 3; 2019, ch. 201, § 1; 2022, ch. 23, § 1.
ANNOTATIONS
Repeals and reenactments.
— Laws 1995, ch. 190, § 15, repealed former section 58-7-3 NMSA 1978, as amended by Laws 1975, ch. 252, § 1, and enacted a new section, effective June 16, 1995.
The 2022 amendment,
effective January 1, 2023, raised the maximum dollar amount for loans that may be made pursuant to the Bank Installment Loan Act of 1959; and in Subsection B, after "an amount equal to", deleted "five thousand dollars ($5,000)" and added "ten thousand dollars ($10,000)".
The 2019 amendment,
effective January 1, 2020, provided that a loan made pursuant to the New Mexico Bank Installment Loan Act of 1959 shall be identified as such in the loan documents; in Subsection B, added "A loan made pursuant to the New Mexico Bank Installment Loan Act of 1959 shall be identified in the loan documents as being made pursuant to that act"; and in Subsection C, after "provisions", added "of Subsection B".
Applicability.
— Laws 2019, ch. 201, § 17 provided that the provisions of Laws 2019, ch. 201 apply to loans subject to the New Mexico Small Loan Act of 1955 and the New Mexico Bank Installment Loan Act of 1959 that are executed on or after January 1, 2020.
The 2017 amendment,
effective January 1, 2018, provided that loans in the amount of five thousand dollars ($5,000) or less shall be made only pursuant to the New Mexico Bank Installment Loan Act of 1959 or the New Mexico Small Loan Act of 1955, and exempted federally insured depository institutions from the provisions of this section; added the subsection designation "A."; in Subsection A, after "installments", deleted "or" and added "and"; and added Subsections B and C.
Am. Jur. 2d, A.L.R. and C.J.S. references. —
10 Am. Jur. 2d Banks § 684.
9 C.J.S. Banks and Banking § 634.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 7 - Installment Loans › Section 58-7-3.1 - Precomputed loan.

In a precomputed loan transaction, the interest charge shall be calculated on the assumption that all scheduled payments will be made when due, and the effect of prepayment is governed by the provisions of rebate upon prepayment in Section 58-7-5 NMSA 1978.
History:
1978 Comp., § 58-7-3.1, enacted by Laws 1983, ch. 96, § 1; 2017, ch. 110, § 4.
ANNOTATIONS
The 2017 amendment,
effective January 1, 2018, required that interest charged on precomputed loan transactions be calculated on the assumption that all scheduled payments will be made when due; deleted "If the loan is" and added "In", and after "the interest charge", deleted "may" and added "shall".
Applicability.
— Laws 2017, ch. 110, § 26 provided that the provisions of Laws 2017, ch. 110 shall apply to loans subject to the New Mexico Small Loan Act of 1955 and the New Mexico Bank Installment Loan Act of 1959 executed on or after January 1, 2018.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 7 - Installment Loans › Section 58-7-3.2 - Extension agreement.

In precomputed loan transactions where the borrower and lender execute an extension agreement for the deferral of an installment payment, the lender may make an interest charge on the monthly installment that is deferred at a rate not exceeding that on the original loan for each month or portion of a month that the payment has been deferred.
History:
1978 Comp., § 58-7-3.2, enacted by Laws 1983, ch. 96, § 2.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 7 - Installment Loans › Section 58-7-3.4 - Right of rescission.

All agreements for precomputed loan transactions shall include a provision granting the borrower the right to rescind the transaction by returning in cash, or through certified funds, one hundred percent of the amount advanced by the lender pursuant to the New Mexico Bank Installment Loan Act of 1959 [Chapter 58, Article 15 NMSA 1978] no later than the close of business New Mexico time or, if the loan was made online, no later than midnight New Mexico time on the first day of business conducted by the lender following the date of execution of the loan agreement. If a borrower exercises the right of rescission pursuant to this section, no fee for the rescinded transaction shall be charged to the borrower, and the lender shall not charge or impose on the borrower a fee for exercising the right of rescission pursuant to this section. If a borrower exercises the right of rescission pursuant to this section, any fee collected by the lender shall be returned in full to the borrower.
History:
Laws 2019, ch. 201, § 7.
ANNOTATIONS
Effective dates.
— Laws 2019, ch. 201, § 18 made Laws 2019, ch. 201 effective January 1, 2020.
Applicability.
— Laws 2019, ch. 201, § 17 provided that the provisions of this act apply to loans subject to the New Mexico Small Loan Act of 1955 and the New Mexico Bank Installment Loan Act of 1959 that are executed on or after January 1, 2020.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 7 - Installment Loans › Section 58-7-4 - Repealed.

ANNOTATIONS
Repeals.
— Laws 1981, ch. 263, § 4, repeals 58-7-4 NMSA 1978, relating to the rate of interest charge, effective July 1, 1981.
Compiler's notes.
— Laws 1981, ch. 263, § 6, revived 58-7-4 NMSA 1978, effective July 1, 1983.
Laws 1983, ch. 44, § 1, repeals Laws 1981, ch. 263, § 6, effective June 30, 1983.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 7 - Installment Loans › Section 58-7-5 - Prepayment; precomputed loan transactions.

If the entire unpaid balance outstanding on a precomputed loan transaction is paid by cash, renewal or otherwise, at any time prior to maturity, the lender shall give a refund or credit of the unearned portion of such charge, according to the rule commonly known as "the rule of 78th" ["the rule of 78's"], which refund or credit shall represent at least as great a portion of the original charge as the sum of the consecutive monthly balances of the contract scheduled to be outstanding after the date of prepayment bears to the sum of all the consecutive monthly balances of the contract scheduled to be outstanding under the schedule of payments in the original instrument or instruments evidencing the loan; provided however, that if the contract is prepaid in cash rather than renewed or refinanced, the lender shall not be required to make a refund or credit, if the amount, computed as herein set forth, would be less than one dollar ($1.00) for each loan paid prior to the maturity.
History:
1953 Comp., § 48-21-5, enacted by Laws 1959, ch. 327, § 5; 1975, ch. 252, § 3.
ANNOTATIONS
Bracketed material.
— The bracketed material was inserted by the compiler and is not a part of the law.
Am. Jur. 2d, A.L.R. and C.J.S. references. —
10 Am. Jur. 2d Banks § 693.
Validity and construction of provision of mortgage or other real-estate financing contract prohibiting prepayment for a fixed period of time, 81 A.L.R.4th 423.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 7 - Installment Loans › Section 58-7-10 - Reporting of credit required.

For each installment loan made pursuant to the New Mexico Bank Installment Loan Act of 1959, a lender shall report to a consumer reporting agency the terms of the loan and the borrower's performance pursuant to those terms.
History:
Laws 2017, ch. 110, § 9.
ANNOTATIONS
Effective dates.
— Laws 2017, ch. 110, § 27 made Laws 2017, ch. 110, § 9 effective January 1, 2018.
Applicability.
— Laws 2017, ch. 110, § 26 provided that the provisions of Laws 2017, ch. 110 shall apply to loans subject to the New Mexico Small Loan Act of 1955 and the New Mexico Bank Installment Loan Act of 1959 executed on or after January 1, 2018.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 7 - Installment Loans › Section 58-7-11 - Preemption.

The state has exclusive jurisdiction and authority regarding the terms and conditions of loans to which the New Mexico Bank Installment Loan Act of 1959 is applicable, and counties, municipalities and other political subdivisions of the state are preempted from any regulation of terms and conditions of such loans by ordinance, resolution or otherwise.
History:
Laws 2017, ch. 110, § 10.
ANNOTATIONS
Effective dates.
— Laws 2017, ch. 110, § 27 made Laws 2017, ch. 110, § 10 effective January 1, 2018.
Applicability.
— Laws 2017, ch. 110, § 26 provided that the provisions of Laws 2017, ch. 110 shall apply to loans subject to the New Mexico Small Loan Act of 1955 and the New Mexico Bank Installment Loan Act of 1959 executed on or after January 1, 2018.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 8 - National Housing Act Loans and Obligations › Section 58-8-1 - Powers of banks, financial institutions and lenders approved for loans by the National Housing Act.

Subject to such regulations as may be prescribed by the director of the financial institutions division, state and national banks, trust companies, savings banks, building and loan associations and savings and loan associations whose principal offices are located in this state and lenders approved for loans by the National Housing Act are authorized:
A. to make such loans, secured by real property or leasehold, as the federal housing administrator insures or makes a commitment to insure, and to obtain such insurance; and to make such loans, secured by real property or leasehold, as the veterans administrator guarantees or makes a commitment to guarantee, and to obtain such guarantee, and to invest in loans eligible for purchase by the federal national mortgage association, the government national mortgage association or the federal home loan mortgage corporation, or from any financial institution from which it could be purchased by the federal home loan mortgage corporation;
B. to make such loans and advances of credit, and purchases of obligations representing loans and advances of credit for the purpose of financing alterations, repairs and improvements upon real property, as the federal housing administrator insures or makes a commitment to insure, and to obtain such insurance, and to make such loans and advances of credit, and purchase of obligations representing loans and advances of credit for the purpose of financing alterations, repairs and improvements upon real property, as the veterans administrator guarantees or makes a commitment to guarantee, and to obtain such guarantee, and to invest in loans eligible for purchase by the federal national mortgage association, the government national mortgage association or the federal home loan mortgage corporation, or from any financial institution from which it could be purchased by the federal home [loan] mortgage corporation; and
C. to invest their funds and the money in their custody or possession which is eligible for investment in mortgages insured and debentures issued by the federal housing administrator and in obligations of national mortgage associations, and in mortgages guaranteed by the veterans administrator.
History:
Laws 1935, ch. 5, § 1; 1937, ch. 34, § 1; 1941 Comp., § 50-1201; 1953 Comp., § 48-12-1; Laws 1975, ch. 337, § 1; 1977, ch. 245, § 27.
ANNOTATIONS
Cross references.
— For the National Housing Act,
see
12 U.S.C. § 1701.
Am. Jur. 2d, A.L.R. and C.J.S. references. —
40 Am. Jur. 2d Housing Laws and Urban Redevelopment § 6.
9 C.J.S. Banks and Banking §§ 461, 462.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 8 - National Housing Act Loans and Obligations › Section 58-8-2 - State laws; exemption.

No law of this state prescribing or limiting the nature, amount or form of security or requiring security upon which loans or advances of credit may be made, or prescribing or limiting interest rates upon loans or advances of credit, or prescribing or limiting the period for which loans or advances of credit may be made shall be deemed to apply to loans, advances of credit or purchases made pursuant to Section 58-8-1 NMSA 1978.
History:
Laws 1935, ch. 5, § 2; 1941 Comp., § 50-1202; 1953 Comp., § 48-12-2; Laws 1975, ch. 337, § 2.
ANNOTATIONS
Am. Jur. 2d, A.L.R. and C.J.S. references. —
40 Am. Jur. 2d Housing Laws and Urban Redevelopment § 2.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 8 - National Housing Act Loans and Obligations › Section 58-8-3 - [Collateral as security for deposit of funds; investment of capital or surplus; eligible securities.]

Wherever, by statute of this state, collateral is required as security for the deposit of public or other funds; or deposits are required to be made with any public official or department; or an investment of capital or surplus, or a reserve or other fund, is required to be maintained consisting of designated securities, notes and bonds secured by mortgages insured, and debentures issued, by the federal housing administrator, and obligations of national mortgage associations shall be considered eligible securities for such purposes.
History:
Laws 1937, ch. 34, § 2; 1941 Comp., § 50-1203; 1953 Comp., § 48-12-3.
ANNOTATIONS
Bracketed material.
— The bracketed material was inserted by the compiler and is not part of the law.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 9 - Trust Companies › Section 58-9-1 - Short title.

Chapter 58, Article 9 NMSA 1978 may be cited as the "Trust Company Act".
History:
1953 Comp., § 48-24-1, enacted by Laws 1973, ch. 191, § 1; 2013, ch. 88, § 1; 2013, ch. 97, § 1.
ANNOTATIONS
Cross references.
— For the Banking Act,
see
58-1-1 NMSA 1978.
For fiduciaries, see Chapter 46 NMSA 1978.
The 2013 amendment,
effective June 14, 2013, added the NMSA chapter and article for the Trust Company Act; and at the beginning of the sentence, deleted "Sections 1 through 13 of this act" and added "Chapter 58, Article 9 NMSA 1978".
Laws 2013, ch. 88, § 1, and Laws 2013, ch. 97, § 1, both effective June 1, 2013, enacted identical amendments to this section. The section was set out as amended by Laws 2013, ch. 97, § 1.
See
12-1-8 NMSA 1978.
Corporation's stock all owned by out-of-state bank holding company.
— The financial institutions division may issue a trust company certificate to a New Mexico corporation if all of its common stock is owned by an out-of-state bank holding company; provided that the corporation complies with all requirements of the Trust Company Act, Sections 58-9-1 to 58-9-13 NMSA 1978. 1987 Op. Att'y Gen. No. 87-06.
Operation in banks owned by holding company.
— If a trust company certificate is issued to a corporation whose common stock is owned by an out-of-state bank holding company, the resulting trust company may operate in the main office or branches of banks owned by the holding company. 1987 Op. Att'y Gen. No. 87-06.
Am. Jur. 2d, A.L.R. and C.J.S. references. —
Exclusion from debtor status of banks and the like by § 109(b)(2) of Bankruptcy Code (11 USCS § 109(b)(2)), 87 A.L.R. Fed. 282.