NRS 672.710 Loans to members: Application; approval; limitations; participation loans; nonmember participation; payment.

291 words·~1 min read·/nv/chapter-672-credit-unions/672-710

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1. Except as otherwise provided in subsection 5, a credit union may make loans to members in accordance with the provisions of the bylaws and policies established by the board of directors upon receipt of approval by the credit committee or loan officer at a rate of interest agreed upon by the credit union and member.

2. Every loan must be evidenced by a record which is adequate to support enforcement or collection of the loan and any review of the loan by the credit union or the Commissioner. Any such loan must comply with the requirements of this chapter and any regulations adopted pursuant thereto.

3. A loan must not be made to any member in an aggregate amount in excess of 10 percent of the credit union’s unimpaired capital and surplus.

4. A credit union may participate with other credit unions, corporations or financial institutions in making loans to credit union members.

5. A credit union may permit a nonmember to participate in an obligation or extension of credit to a member as a joint applicant, joint obligor, co-borrower, surety or guarantor. Except as otherwise provided by law, a credit union shall not extend any other benefit or service of the credit union to a nonmember solely as a result of participation as a joint applicant, joint obligor, co-borrower, surety or guarantor unless the nonmember is thereafter admitted as a member of the credit union.

6. A member may receive a loan in installments or in one sum and may pay the whole or any part of his or her loan on any day on which the office of the credit union is open for business.