369.234. Preference given association holding first lien.
Preference given association holding first lien.
369.234. An association may:
(1) Make without limitation any advances necessary toprotect the security of any loan or the priority of lien thereonwhich shall stand secured by such first lien irrespective ofintervening liens;
(2) If it holds a recorded first lien on the property, makean additional loan or loans not exceeding in the aggregate theamount fixed from time to time by the director of the division offinance, which shall be secured by such first lien, for theimprovement, equipment or furnishing of such property; and
(3) Make any further advances or loans for any purpose tothe extent authorized by the deed of trust evidencing the firstlien on the property.
(L. 1971 S.B. 3 § 46, A.L. 1994 H.B. 1165)Effective 7-6-94