§224.3. Margin regulations to be applied by nonexempted borrowers.
12 C.F.R. § 224.3
Credit transactions outside the United States. No borrower shall obtain purpose credit from outside the United States unless it conforms to the following margin regulations:
Regulation T (12 CFR part 220) if the credit is obtained from a foreign branch of a broker-dealer;
Regulation U (12 CFR part 221), as it applies to banks, if the credit is obtained from a foreign branch of a bank, except for the requirement of a purpose statement (12 CFR 221.3(c)(1)(i) and (c)(2)(i)); and
Regulation U (12 CFR part 221), as it applies to nonbank lenders, if the credit is obtained from any other lender outside the United States, except for the requirement of a purpose statement (12 CFR 221.3(c)(1)(ii) and (c)(2)(ii)).
Credit transactions within the United States. Any borrower who willfully causes credit to be extended in contravention of Regulations T and U (12 CFR parts 220 and 221), and who, therefore, is not exempted by § 224.1(b)(1), must conform the credit to the margin regulation that applies to the lender.
Notes, amendments, and revision history
Amendments
[Reg. X, 63 FR 2839, Jan. 16, 1998]
Authority
Authority: 15 U.S.C. 78g.
Source
Source: Reg. X, 48 FR 56572, Dec. 22, 1983, unless otherwise noted.
Amendments
[Reg. X, 63 FR 2839, Jan. 16, 1998]