§ 5501.5
320 words·~1 min read·
/ca/financial-code/5501-5A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
The articles of incorporation of each domestic association incorporated after January 1, 1984, shall include a statement that it is formed for each of the following purposes:
(a)To engage primarily in the specific business of a savings association and any other lawful activities not prohibited to a savings association by applicable laws and regulations.
(b)To encourage industry, frugality, home building, and the accumulation of savings. That statement shall add either “among its members” or “among its savings account holders” and may also add “and among others.”
(c)For the loaning of the money accumulated, with the interest and earnings thereon. The statement shall add either “to its members” or “to its savings account holders” and the statement may also add “and to others.”
(d)For the repayment subject to the provisions of this division and any act amendatory thereof or supplementary thereto of the savings and interest to each savings account holder whenever the savings account holder desires to withdraw the same, or when the association desires to repay the same.
(e)In the case of a stock association, for the purpose of issuing capital stock and savings accounts.
(f)In the case of a mutual association, for the purpose of accumulating capital by the issuance of savings accounts and to grant holders of savings accounts the right to be a member of the association with entitlement to one vote for each one hundred dollars ($100) of the withdrawal value of each savings account to be voted in person or by proxy to transact the business of the association.
(g)For any and all purposes specified in the Savings Association Law with all the rights, powers, privileges and immunities as set forth in that law.
The above provisions are in lieu of paragraph
(1)of subdivision
(b)of Section 202 of the Corporations Code and may be supplemented or modified with such provisions as the commissioner may approve.