---
urn: urn:us-la:rs:6:422
citation: "R.S. 6:422"
status: active
breadcrumb: "Title 6 › Chapter 4"
acts_citations:
  - { year: 1984, number: 719, section: 1, effective_date: 1985-01-01, role: enactment }
  - { year: 1995, number: 424, section: 1, effective_date: 1995-06-17, role: amendment }
---

# Excessive borrowings or repurchase agreements

No state bank shall borrow additional sums as long as it has borrowed upon bills payable, rediscounts, or otherwise, or entered into repurchase agreements in any sum equal to three times its total capital less undivided profits. This prohibition shall not apply to borrowings from or repurchase transactions with a federal reserve bank or federal home loan bank.