Nrs: Chapter 99 - Money Of Account And Interest; Legal Investments

Link to law: https://www.leg.state.nv.us/NRS/NRS-099.html
Published: 2015

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[Rev. 2/10/2015 4:11:06

PM--2014R2]

CHAPTER 99 - MONEY OF ACCOUNT AND INTEREST;

LEGAL INVESTMENTS

MONEY OF ACCOUNT AND INTEREST

NRS 99.010             Dollar,

cent and mill to be money of account.

NRS 99.020             Suits

on accounts, notes or bonds expressed in other money of account: Reduction to

dollars or parts of dollars.

NRS 99.030             Obligations,

judgments or executions payable in legal money.

NRS 99.040             Interest

rate when not fixed by express contract for certain types of transactions.

NRS 99.050             Agreed

interest rates; compounding; charges or fees.

NRS 99.055             Prepayment

of loans.

NRS 99.060             Definitions

relating to public securities.

NRS 99.065             Public

securities: Compound interest authorized; repayment.

NRS 99.067             Public

securities: Interest rate for securities issued on or before June 30, 2011.

LEGAL INVESTMENTS

NRS 99.070             Obligations

of United States Postal Service and Federal National Mortgage Association.

_________

MONEY OF ACCOUNT AND INTEREST

      NRS 99.010  Dollar, cent and mill to be money of account.  The money of account of this state shall be

the dollar, cent and mill. All the accounts in the public offices, other public

accounts, and all proceedings in courts, shall be kept and had in conformity

with this section.

      [1:34:1861; B § 29; BH § 4900; C § 2742; RL § 2497;

NCL § 4320]

      NRS 99.020  Suits on accounts, notes or bonds expressed in other money of

account: Reduction to dollars or parts of dollars.  Nothing

contained in NRS 99.010 shall vitiate or affect any

account, charge or entry originally made, or any note, bond or other

instrument, expressed in any other money of account, but the same shall be

reduced to dollars, or parts of dollars, as directed in NRS

99.010, in any suit thereupon.

      [2:34:1861; B § 30; BH § 4901; C § 2743; RL § 2498;

NCL § 4321]

      NRS 99.030  Obligations, judgments or executions payable in legal money.  After February 15, 1893, all official bonds

and undertakings, and all obligations of debt, judgments or executions stated

in terms of dollars and to be paid in money shall be payable in legal money

authorized by the Congress of the United States.

      [1:16:1893; A 1895, 13; C § 2738; RL § 2501; NCL §

4324]

      NRS 99.040  Interest rate when not fixed by express contract for certain

types of transactions.

      1.  When there is no express contract in

writing fixing a different rate of interest, interest must be allowed at a rate

equal to the prime rate at the largest bank in Nevada, as ascertained by the

Commissioner of Financial Institutions, on January 1 or July 1, as the case may

be, immediately preceding the date of the transaction, plus 2 percent, upon all

money from the time it becomes due, in the following cases:

      (a) Upon contracts, express or implied, other

than book accounts.

      (b) Upon the settlement of book or store accounts

from the day on which the balance is ascertained.

      (c) Upon money received to the use and benefit of

another and detained without his or her consent.

      (d) Upon wages or salary, if it is unpaid when

due, after demand therefor has been made.

Ê The rate

must be adjusted accordingly on each January 1 and July 1 thereafter until the

judgment is satisfied.

      2.  The provisions of this section do not

apply to money owed pursuant to chapter 624

of NRS which is governed by the provisions of NRS 624.630.

      3.  As used in this section, “book account”

means a detailed statement which:

      (a) Constitutes the principal record of one or

more transactions between a debtor and a creditor arising out of a contract or

some fiduciary relationship;

      (b) Shows the debits and credits in connection with

that contract or fiduciary relationship and shows against whom and in favor of

whom entries are made;

      (c) Is entered in the regular course of business

as conducted by such creditor or fiduciary; and

      (d) Is kept in a reasonably permanent form and

manner:

             (1) In a bound book;

             (2) On a sheet or sheets fastened in a

book or to backing but detachable therefrom;

             (3) On a card or cards of a permanent

character; or

             (4) In any other reasonably permanent form

and manner.

      [4:34:1861; A 1887, 82; 1917, 351; 1919 RL § 2499;

NCL § 4322]—(NRS A 1979, 830; 1981, 1859; 1983, 426; 1987, 558, 940; 2001, 1625; 2005, 1735, 1856)

      NRS 99.050  Agreed interest rates; compounding; charges or fees.  Except as otherwise provided in section 670 of

the John Warner National Defense Authorization Act for Fiscal Year 2007, Public

Law 109-364, or any regulation adopted pursuant thereto, parties may agree for

the payment of any rate of interest on money due or to become due on any

contract, for the compounding of interest if they choose, and for any other

charges or fees. The parties shall specify in writing the rate upon which they

agree, that interest is to be compounded if so agreed, and any other charges or

fees to which they have agreed.

      [5:34:1861; A 1913, 31; 1919 RL § 2500; NCL §

4323]—(NRS A 1975, 1794; 1979, 583, 963; 1981, 1593; 1983, 976;

1984, 6; 2007,

944, 2850)

      NRS 99.055  Prepayment of loans.  When

any loan is prepaid, the amount of interest earned must be computed by applying

the agreed rate to the unpaid balance for each period. Any greater amount of

interest which may have been precomputed and included in the balance due must

be allowed as a credit on any amount due or refunded. This section does not

preclude the imposition of any:

      1.  Penalty for prepayment; or

      2.  Single charge for making the loan,

Ê to which the

parties agree when the loan is made.

      (Added to NRS by 1983, 976)

      NRS 99.060  Definitions relating to public securities.

      1.  As applied to bonds or other securities

issued by this state or any political subdivision or municipal or public

corporation of this state, “effective interest rate” means the interest rate

based on the actual price paid to the public entity, calculated to maturity of

the obligation according to standard tables of bond values.

      2.  When used in a limitation of the rate

of interest upon such bonds or other securities, the “Index of Twenty Bonds”

and the “Index of Revenue Bonds” refer to these indexes for municipal bonds as

most recently published in the daily or weekly version of The Bond Buyer, at

One State Street Plaza in New York City.

      (Added to NRS by 1969, 1285; A 1983, 570; 1985, 1077; 1989, 587)

      NRS 99.065  Public securities: Compound interest authorized; repayment.

      1.  Bonds or other securities issued by

this state or any of its political subdivisions may provide for the payment of

compound interest. The amount of the compound interest must be treated as

interest and not as an addition to the principal of the bond or other security.

      2.  If interest is compounded on some or

all of an issue of securities, repayment of the securities:

      (a) Must commence no later than the 15th year

after issue; and

      (b) If in installments, must be made no less

often than annually.

      (Added to NRS by 1985, 1076; A 1989, 147; 2011, 3327)

      NRS 99.067  Public securities: Interest rate for securities issued on or

before June 30, 2011.  Notwithstanding

any provision of law to the contrary, in calculating the rate of interest on

any bonds or other securities that are issued by this State or any political

subdivision or municipal or public corporation of this State on or before June

30, 2011, for the purposes of any limitations on the rate of interest provided

by specific statute, and for the purposes of all other statutory requirements

or calculations based on the rate or amount of interest on such bonds or

securities, any credit expected to be paid to or for the benefit of the issuer

of the bonds or other securities under 26 U.S.C. § 6431, as amended, must be

treated as a reduction in the amount of interest paid, as of the date or dates

on which the credit is expected to be received. Such amount must be used to pay

the interest on the bonds or other securities for which it is received or to

reimburse the issuer of the bonds or other securities for that payment. If a

credit that is expected to be paid under 26 U.S.C. § 6431, as amended, is not

paid, the issuer of the bonds or other securities may pay the interest that is

expected to be paid from the sources pledged or otherwise available to pay the

principal of and interest on the bonds or other securities.

      (Added to NRS by 2009, 2656)

LEGAL INVESTMENTS

      NRS 99.070  Obligations of United States Postal Service and Federal National

Mortgage Association.  Notwithstanding

any other provision of law, obligations issued by the United States Postal

Service or the Federal National Mortgage Association, whether or not the

payment of principal and interest thereon is guaranteed by the Government of

the United States, may be purchased by:

      1.  Insurance companies, insurance

associations and all other persons carrying on an insurance business;

      2.  Executors, administrators, guardians,

committees, conservators, liquidators, rehabilitators, receivers, trust

companies and trustees, and all other persons occupying a similar fiduciary

position;

      3.  Banks, bankers and savings banks;

      4.  Savings and loan associations,

investment companies and other financial institutions;

      5.  Credit unions, cemetery associations,

mutual benevolent and benefit associations;

      6.  The State and any municipality, county,

school district or other local government unit or political subdivision;

      7.  All other public officers, boards,

commissions, bodies and agencies of the State and its political subdivisions

and agencies; and

      8.  Any other natural person, firm, group,

corporation, association, institution and fund.

      (Added to NRS by 1971, 267; A 1985, 355)