[Code of Federal Regulations]
[Title 38, Volume 1]
[Revised as of January 1, 2007]
From the U.S. Government Printing Office via GPO Access
[CITE: 38CFR11.80]

[Page 542]
 
            TITLE 38--PENSIONS, BONUSES, AND VETERANS' RELIEF
 
                CHAPTER I--DEPARTMENT OF VETERANS AFFAIRS
 
PART 11_LOANS BY BANKS ON AND PAYMENT OF ADJUSTED SERVICE 
 
Sec. 11.80  Sale or discount of note by holding bank.

    Any bank holding a note secured by an Adjusted Service Certificate 
may sell the note to any bank authorized to make a loan to a veteran and 
deliver the certificate to such bank. In case a note secured by an 
Adjusted Service Certificate is sold or transferred, the bank selling, 
discounting or rediscounting the note is required by law to notify the 
veteran promptly by mail at his last known post office address. No 
Adjusted Service Certificate is negotiable or assignable, or may serve 
as security for a loan, except as provided in section 502 of the World 
War Adjusted Compensation Act, as amended. Any negotiation, assignment 
or loan made in violation of section 502 of the World War Adjusted 
Compensation Act is void. In case of sale, discount or rediscount by the 
bank which made the loan, the note or notes should be accompanied by the 
affidavit required by Sec. 11.85.