1998 Minnesota Statutes

     52.16 May loan money, conditions. 

    Subdivision 1.    Purposes; repayment; loans involving 
 officers.  A credit union may loan to members. Loans must be 
 for a provident or productive purpose and are made subject to 
 the conditions contained in the bylaws.  A borrower may repay a 
 loan, in whole or in part, any day the office of the credit 
 union is open for business.  Except for loans secured by first 
 real estate mortgages on homes owned and occupied, of the 
 character made to other members, no director, officer, or member 
 of the credit or supervisory committee may become liable, as a 
 borrower or endorser for other borrowers, or both, to the credit 
 union in which that person holds office, beyond the amount of 
 the person's holdings in shares and deposits therein, unless the 
 loan shall have been approved in the manner provided by section 
 52.10. 

    Subd. 2.    Self-replenishing line of credit.  Upon 
 application by a member, the credit committee may approve in 
 advance a self-replenishing line of credit, and advances may be 
 granted to a member within the limit of the extension of 
 credit.  Where a self-replenishing line of credit has been 
 approved, additional loan applications may be required. 

    HIST: (7774-16) 1925 c 206 s 16; 1943 c 647 s 4; 1978 c 663 s 
 2; 1986 c 444