Whether it be on the sale or purchase side of the loan participation transaction,
there is an ever-increasing incident of lender liability allegations involving one
financial institution with another. Even if no wrong-doing can be proven, it
must be defended which can certainly be expensive.
Every community bank should assess their FI Bond Agreement E Securities
and Signature Guarantees. Covers loss resulting in acquiring, selling, delivering,
giving value, extending credit or assuming liability on the faith of a certificated