Credit Union Member Business Loans

Regulation
Tuesday, May 15, 2012
Reg-B-2012-01

 

Purpose:  This Regulation supersedes and replaces Regulation B-2000-01.  The amendments to the rule: (1) make the rule compatible with the requirements of the National Credit Union Administration (“NCUA”); (2) update the definitions and provide a better explanation of what constitutes a construction or development loan; (3) provide that business purpose loans to any one borrower which, in the aggregate, do not exceed $50,000.00 are excluded from the regulation (the rule increases the threshold from $15,000.00 to $50,000.00); (4) set forth the minimum requirements for a credit union’s member business loan policy; (5) require that a credit union that engages in member business lending must utilize the services of someone with at least 5 years experience in business lending; (6) update individual and aggregate loan limits; and (7) update accounting calculations related to member business lending.
 
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Reg B-2012-01.pdf335.82 KB

These documents are not legal documents but are placed here for reference purposes only. For a legal copy please contact the department.