Bona fide loan means a loan to an owner or owner-builder by a lender in which the owner or owner-builder has no financial or beneficial interest greater than 5% of the voting shares or other ownership interest.
Bona fide loan means a borrower receives money (from relatives, friends or others) which creates a loan if there is an understanding between the parties that the money borrowed is to be repaid and it is recognized as an enforceable contract under Colorado law. The transaction which creates a loan can be in the form of a written or verbal agreement if enforceable under Colorado law. Absent a negotiable instrument, a bona fide loan must still be convertible to cash in order to be considered a resource. The obligation to repay cannot be contingent on future income that might be received by the borrower. The written or verbal agreement must be in effect at the time of the transaction and there must be a reasonable plan for repayment.
More Definitions of Bona fide loan
Bona fide loan means a loan which has been contracted in good faith without fraud or deceit and genuinely endorsed in writing for repayment.
Bona fide loan means a loan to an owner or owner-builder by a lender in which 2541 the owner or owner-builder has no financial or beneficial interest greater than 5% of the voting 2542 shares or other ownership interest. 2543 (5) "Claimant" means a person entitled to claim a preconstruction or construction lien. 2544 (6) "Compensation" means the payment of money for a service rendered or an expense 2545 incurred, whether based on: 2546 (a) time and expense, lump sum, stipulated sum, percentage of cost, cost plus fixed or 2547 percentage fee, or commission; or 2548 (b) a combination of the bases listed in Subsection (6)(a). 2549 (7) "Construction lender" means a person who makes a construction loan. 2550 (8) "Construction lien" means a lien under this chapter for construction work. 2551 (9) "Construction loan" does not include a consumer loan secured by the equity in the 2552 consumer's home. 2553 (10) "Construction project" means an improvement that is constructed pursuant to an 2554 original contract. 2555 (11) "Construction work": 2556 (a) means labor, service, material, or equipment provided for the purpose and during 2557 the process of constructing, altering, or repairing an improvement; and 2558 (b) includes scheduling, estimating, staking, supervising, managing, materials testing, 2559 inspection, observation, and quality control or assurance involved in constructing, altering, or 2560 repairing an improvement. 2561 (12) "Contestable notice" means a notice of preconstruction service under Section 2562 38-1a-401, a preliminary notice under Section 38-1a-501, or a notice of completion under 2563 Section 38-1a-506. 2564 (13) "Contesting person" means an owner, original contractor, subcontractor, or other 2565 interested person. 2566 (14) "Designated agent" means the third party the division contracts with as provided
Bona fide loan means a borrower receives money (from relatives, friends or others) which creates a loan if there is an understanding between the parties that the money borrowed is to be repaid and it is recognized as an enforceable contract under State law. The transaction which creates a loan can be in the form of a written or oral agreement if enforceable under State law. Absent a negotiable instrument, a bona fide loan must still be convertible to cash in order to be considered a resource.