1301:9-2-20 Loan authority.

(A) No credit union shall loan, directly or indirectly, to any member or other credit union more than ten per cent of the lending institution’s shares and undivided earnings. Fully share secured loans are exempt from the ten per cent limitation.

(B) Official family members, including directors, officers, employees and members of the credit committee or supervisory audit committee, shall not act as comakers, endorsers, guarantors, or sureties, for any loan or advance made by the credit union, except a loan made to a member of such official family member’s immediate family. As used in this rule: “immediate family” includes a spouse of the member, or the member’s child, parent, grandchild, grandparent, brother or sister, or the spouse of any such individual.

(C) In the discretion of the superintendent, all corporate loans shall be reported quarterly to the superintendent by the borrowing credit union. This report shall contain the following information: name of borrowing credit union, name of lender, date of loan, repayment schedule, amount of loan and the aggregate total of notes payable to each source.

R.C. 119.032 review dates: 03/17/2006 and 11/15/2010

Promulgated Under: 119.03

Statutory Authority: 1733.41

Rule Amplifies: 1733.25

Prior Effective Dates: 8/3/93