---
kind: "section"
citation: "12 C.F.R. § 160.170"
title: "12"
number: "160.170"
heading: "Records for lending transactions."
url: "https://uscodex.org/cfr/12/160.170"
---

# §160.170. Records for lending transactions.


In establishing and maintaining its records pursuant to [§ 163.170](/cfr/12/163.170.md) of this chapter, each Federal savings association and service corporation should establish and maintain loan documentation practices that:

- (a) Ensure that the institution can make an informed lending decision and can assess risk on an ongoing basis;
- (b) Identify the purpose and all sources of repayment for each loan, and assess the ability of the borrower(s) and any guarantor(s) to repay the indebtedness in a timely manner;
- (c) Ensure that any claims against a borrower, guarantor, security holders, and collateral are legally enforceable;
- (d) Demonstrate appropriate administration and monitoring of its loans; and
- (e) **Take into account the size and complexity of its loans.**

## Notes

### Authority

Authority: 12 U.S.C. 1462a, 1463, 1464, 1467a, 1701j-3, 1828, 3803, 3806, 5412(b)(2)(B); 42 U.S.C. 4106.

### Source

Source: 76 FR 49030, Aug. 9, 2011, unless otherwise noted.