§ 18058 Investment Certificate Insurance Claims

Financial Code·California

AI SummaryVerified

This law stops industrial loan companies from advertising that their investment certificates are insured unless they actually are.

Key Takeaways

•You can't say an investment is insured unless it really is.
•The rule applies to any ads or statements that might lead people to believe the investment is insured.
•Breaking this rule can result in penalties for the company.

Example

A loan company puts a billboard that says 'Your investment is insured' even though the certificates are not insured.

Because the claim could make people think the investment is protected when it isn’t, the company would be breaking the law.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source

View on CA.gov

§ 18058 Investment Certificate Insurance Claims

An industrial loan company shall not use any advertising nor make any representations which indicate, infer or might lead a person to believe that investment certificates are insured unless such is the fact. (Added by Stats. 1976, Ch. 964.)

Last verified: January 11, 2026

Key Terms

industrial loan company investment certificates insured

References

Official text at leginfo.legislature.ca.gov
California Legislature. Financial Code. Section 18058.

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Key Takeaways

Example

Key Terms

Related Statutes

References