Emergency Banking Affairs Act, 657
In order to inspire spending and keep the economy mobile while also mitigating the worst effects of the present economic plights the people and businesses of the Republic of Kodiak are facing; the following emergency measures are to be made towards the domestic banking sector, until the monetary situation in the country has been sufficiently stabilized.
ACTIONED on ## month ####, ## Aye, ## Nay, ## Abstain.
Article One - Interest Rates
1.1 The interest of personal loans valued up to 50,000 Florins, that went into effect prior to August of 657 from domestic banks is eliminated until further notice.
1.2 The interest of business loans valued up to 100,000 Florins, that went into effect prior to August of 657 from domestic banks is eliminated until further notice.
1.3 The interest of loans valued up to 50,000 Florins, legally formed subsequently to August of 657 in domestic banks, cannot exceed 3% until further notice.
1.4 The interest of business loans valued up to 100,000 Florins, legally formed subsequently to August of 657 in domestic banks, cannot exceed 2% until further notice.
Article Two - Loan Availability
2.1 By the directive of the Assembly, the Central Bank of Kodiak and other nationalized banks cannot refuse to give a loan to employed citizens, or citizens who have been employed in the past six months, until further notice.
2.2 Contracts for loans taken out subsequently to August of 657 need to include the legal details that are suspended by the Emergency Banking Act, and which may go into effect after the Act is lifted. These details cannot include an interest rate that exceeds 7% for business loans, and cannot exceed 6% for private loans.
2.3. Banks cannot demand any form of seizure or other unwarranted influence onto the principal borrower within the contract, unless in a situation where they fail to meet their binding obligations.
Article Three - State of National Banks
3.1. The State will guarantee that the share prices of banks affected by the Emergency Banking Affairs Act does not go lower than 25 Florins per-share while it is in effect, artificially making up the difference.
Tabled by Anthony Dvorak, Independent