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HomeFinancial CodeDiv. 7Ch. 10Art. 3§ 18681 Foreign Industrial Loan Exemptions

§ 18681 Foreign Industrial Loan Exemptions

Financial Code·California
AI Summary·Official Text·Key Terms·Related Statutes·References
AI SummaryVerified

§ 18681 Foreign Industrial Loan Exemptions

Key Takeaways

  • •Out-of-state loan companies can do business in California even if they don’t have an office here.
  • •They can make loans using California property (like houses) as security.
  • •They can work with a California loan company as their agent.

Example

A loan company from Nevada wants to give a loan to someone in California using their house as security.

The Nevada company can do this even if they don’t have an office in California. The law allows it.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source
View on CA.gov

§ 18681 Foreign Industrial Loan Exemptions

Section 18680 does not prohibit: (a) Any foreign (other state) industrial loan company which does not maintain a California branch office from carrying on the activities described in subdivision (d) of Section 191 of the Corporations Code. (b) Any foreign (other state) industrial loan company which does not maintain a California branch office from making in this state loans secured by liens on real property located in this state. (c) Any foreign (other state) industrial loan company from having a California industrial loan company as its agent pursuant to Article 5 (commencing with Section 18700). (Amended by Stats. 1996, Ch. 887, Sec. 55. Effective September 25, 1996.)

Last verified: January 23, 2026

Key Terms

foreign (other state) industrial loan companyCalifornia branch officeloans secured by liens on real propertyagent pursuant to Article 5

Related Statutes

  • § 18687 Foreign Industrial Loan Restrictions
  • § 18664 Foreign Industrial Loan Fees
  • § 18682 Foreign Loan Company Branches
  • § 18683 Foreign Industrial Loan Branches
  • § 18684 Foreign Industrial Loan Mergers

References

  • Official text at leginfo.legislature.ca.gov
  • California Legislature. Financial Code. Section 18681.
View Official Source