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Can the bank keep the credit if the loan goes bad?

April 26, 2017bad Bank credit loan

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Can the bank keep the credit if the loan goes bad?

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Yes. Once a financial institution has been granted a credit under this program the credit belongs to the financial institution regardless of the actions of the eligible housing entity. However, eligible housing entities that fail to perform according to the terms of the credit application will not be allowed to participate in additional community investment tax credit projects.