Bill > H564

This bill aims to enhance fair competition among financial institutions by further regulating credit unions. Some key provisions include: 1. Prohibiting credit unions from receiving shares or deposits from non-members, and restricting credit unions from making loans or mortgage loans to members that are not natural persons. 2. Requiring credit unions to establish a written policy for verifying membership eligibility, and subjecting credit unions to potential adverse examinations and regulatory actions if members are found to be ineligible. 3. Imposing limits on the amount of loans a credit union can make to organizational members, and prohibiting credit unions from making certain other types of business loans beyond these limits. 4. Requiring credit unions to file reports on any membership expansion resulting from by-law changes, and allowing the public to comment on proposed membership by-law amendments. The overall goal is to create a more level playing field between credit unions and other financial institutions by increasing oversight and restrictions on credit union membership and lending activities.

Business and Industry

https://malegislature.gov/Bills/190/H564