Common use of Loan Application, Note and Security Clause in Contracts

Loan Application, Note and Security. A Participant shall apply for any loan in accordance with a procedure established by the responsible Named Fiduciary. The responsible Named Fiduciary shall administer Participant loans and shall specify the time frame for approving loan applications. All loans shall be evidenced by a promissory note and security agreement and secured only by a Participant’s Account balance. The Plan shall have a lien on a Participant’s Account to the extent of any outstanding loan balance.

Loan Application, Note and Security. A Participant shall apply for any loan in accordance with a procedure established by the responsible Named Fiduciary. The responsible Named Fiduciary shall administer Participant loans and shall specify the time frame for approving loan applications. All loans shall be evidenced by a promissory note and security agreement and secured only by a Participant’s vested Account balance. The Plan shall have a lien on a Participant’s Account to the extent of any outstanding loan balance.