§412:10-400 Applicability of part. This part sets forth the requirements and restrictions for lending by all credit unions. A credit union may make loans and extensions of credit as permitted by this part and as provided elsewhere in this article. [L 1993, c 350, pt of §1]
§412:10-401 General requirements for loans. A credit union shall make loans and extensions of credit that are consistent with prudent lending practices and in compliance with all applicable federal and state law. [L 1993, c 350, pt of §1]
§412:10-402 Loans to members. A credit union may make unsecured and secured loans to its members for such purposes and upon such conditions as the bylaws may provide. The board of directors shall establish written policies with respect to the granting of loans and the extending of lines of credit, including the terms, conditions and […]
§412:10-403 Interest rates. (a) The interest rates on loans shall be determined by the board of directors, subject to the following: (1) The interest rate on any credit union loan hereafter made shall not exceed eighteen per cent per year on the unpaid balance, may be fixed or variable, and may provide for a balloon […]
§412:10-404 Other charges. (a) In addition to interest charged on loans, a credit union may charge members all reasonable expenses in connection with the making, closing, disbursing, extending, collecting or renewing of loans. (b) A credit union may assess charges to members, in accordance with the bylaws, for failure to meet their obligations to the […]
§412:10-405 Applications. Except as provided in section 412:10-410, every application for a loan shall be made in writing upon a form prescribed by the credit union. Each loan shall be evidenced by a written document. [L 1993, c 350, pt of §1]
§412:10-406 Prepayment of loan. A member may repay a loan, prior to maturity in whole or in part on any business day without penalty. [L 1993, c 350, pt of §1]
§412:10-407 Limitations on obligations of one borrower. (a) No credit union shall permit a person to become indebted or liable to it, either directly or indirectly, on loans or extensions of credit in a total amount outstanding at any one time in excess of ten per cent of the credit union’s capital. (b) The aggregate […]
§412:10-408 Loans to officials. Loans may be made to officers, directors and members of the credit and supervisory committees of the credit union, provided that: (1) The loan complies with all lawful requirements under this article with respect to loans to other borrowers and is not on terms more favorable than those extended to other […]
§412:10-409 Real estate mortgage loans. (a) The amount of any credit union loan secured by a mortgage on real property shall be limited to the following percentages of the appraised value of the property: (1) Ninety per cent of the value of any residential real property; and (2) Eighty per cent of the value of […]
§412:10-410 Lines of credit. A credit union may offer its members self-replenishing lines of credit. Loan advances within the limits of a line of credit may be made without the necessity of submitting additional loan applications; provided that the applicant qualifies for the line of credit and the applicant’s aggregate indebtedness under the line of […]
§412:10-411 Loans to other credit unions. A credit union may make loans to other credit unions, central credit unions, corporate credit unions or a central liquidity facility established under federal or state law; provided that the loans shall be approved by the board of directors and that the aggregate of all loans to such credit […]
§412:10-412 Participation loans. Participation loans to credit union members jointly with other credit unions, credit union service organizations, or financial organizations shall be in accordance with written policies of the board of directors. A credit union which originates a loan for which participation arrangements are made in accordance with this section shall retain an interest […]
§412:10-413 Other loan programs. (a) A credit union may loan to members under any government guaranteed or insured loan program and such insurance on these loans shall be deemed adequate security. The terms of such loans shall be as defined by the board of directors under the provisions of the loan program. (b) A credit […]
