Bill > H794

This bill proposes to amend existing law regarding the reserve fund for credit unions, specifically concerning deposit limits for individual members once the fund reaches a certain size. The key provision is that after the reserve fund's total assets reach $50,000,000, no single member's deposits can exceed 20 percent of all deposits in the fund. If reaching this $50,000,000 asset threshold would cause a member to exceed that 20 percent limit, that member will be permitted to maintain their current deposit amount but will be prohibited from making further deposits until their total deposits fall back within the 20 percent limit. This aims to ensure diversification of deposits within the reserve fund as it grows.