FIRST NAT. BANK OF EASTERN ARKANSAS v. TAYLOR

No. 89-1260.

907 F.2d 775 (1990)

FIRST NATIONAL BANK OF EASTERN ARKANSAS, A National Banking Association, Appellee, v. Ron TAYLOR, Commissioner of the Insurance Department for the State of Arkansas, Appellant, Arkansas Credit Insurance Association (Intervenor Below), Appellant.

United States Court of Appeals, Eighth Circuit.

Decided June 25, 1990.

Rehearing and Rehearing Denied July 27, 1990.


Attorney(s) appearing for the Case

Lee Douglas, Little Rock, Ark., for appellant.

Philip Hicky, II, Forrest City, Ark. and James Gillespie, Jr., amicus curiae, Washington, D.C., for appellee.

Before LAY, Chief Judge, FLOYD R. GIBSON, Senior Circuit Judge, and JOHN R. GIBSON, Circuit Judge.


Rehearing and Rehearing En Banc Denied July 27, 1990.

LAY, Chief Judge.

In July, 1987, First National Bank of Eastern Arkansas (FNB) began offering debt cancellation contracts as additional-cost options to customers borrowing $10,000 or less. These contracts obligated FNB to cancel the unpaid loan balance remaining at the borrower's death, regardless of the cause of death. FNB offered the debt cancellation contracts at rates that did not vary with a borrower...

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