§ 712.11. What requirements apply to subsidiary CUSOs?
179 words·~1 min read·
/us/cfr/t12/s§ 712.11·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
(a)FCUs investing in a CUSO with a subsidiary CUSO. FCUs may only invest in or loan to a CUSO, which has a subsidiary CUSO, if the subsidiary CUSO satisfies all of the requirements of this part. The requirements of this part apply to all tiers or levels of a CUSO's structure.
(b)FISCUs investing in a CUSO with a subsidiary CUSO. FISCUs may only invest in or loan to a CUSO which has a subsidiary CUSO, if the subsidiary CUSO complies with the following:
(1)All applicable state laws and rules regarding CUSOs; and
(2)All of the requirements of this part that apply to FISCUs, which are listed in § 712.1. The requirements of this part that apply to FISCUs apply to all tiers or levels of a CUSO's structure.
(c)For purposes of this section, a subsidiary CUSO is any entity in which a CUSO has an ownership interest of any amount, if that entity is engaged primarily in providing products or services to credit unions or credit union members. [78 FR 72549, Dec. 3, 2013]