{"data":{"id":"us/12-cfr-714.5","jurisdiction":"us","citation":"12 CFR 714.5","heading":"What is required if you rely on an estimated residual value greater than 25% of the original cost of the leased property?","body":"If the amount of the estimated residual value you rely upon to satisfy the full payout lease requirement of § 714.4(b) exceeds 25% of the original cost of the leased property, a financially capable party must guarantee the excess. The guarantor may be the manufacturer. The guarantor may also be an insurance company with an A.M. Best rating of at least a B + , or with at least the equivalent of an A.M. Best B + rating from another major rating company. You must obtain or have on file financial documentation demonstrating that the guarantor has the resources to meet the guarantee.","path":["Title 12—Banks and Banking","CHAPTER VII—NATIONAL CREDIT UNION ADMINISTRATION","SUBCHAPTER A—REGULATIONS AFFECTING CREDIT UNIONS","PART 714—LEASING"],"source_url":"https://www.ecfr.gov/api/versioner/v1/full/2026-08-25/title-12.xml","current_through":"2026-08-25","vintage":"","retrieved_at":"2026-08-27T02:24:16Z","sha256":"2c7873aa5fdc647e1bbb814f0e510cc7c203ade0f0f8e48bc0697b964620fff7","source_id":"us-cfr","stale":true,"prev":"us/12-cfr-714.4","next":"us/12-cfr-714.6"},"notice":"GroundRules: Original legal text. Not legal advice."}