§ 26-503.01 — General Powers.

District of Columbia § 26-503.01

• Jurisdiction: District of Columbia
• Title 26: Banks and Other Financial Institutions.
• Ch. 5: Credit Unions.
• Subch. I: Credit Union Act of 2020.
• Part C: Credit Union Powers.

Text

(a) A District credit union may:

(1) Enter into contracts or other agreements, as necessary, to provide the services authorized by this subchapter ;

(2) Sue and be sued;

(3) Acquire, lease as lessor or lessee, hold, assign, pledge, mortgage, sell, or otherwise dispose of real or personal property or assets, either in whole or in part;

(4) Borrow from any source; except, that a District credit union shall notify the Commissioner in writing of its intention to borrow in excess of 50% of the District credit union's net worth, shares, and deposits;

(5) Purchase the assets of another credit union or sell all, or substantially all, of its assets to another credit union;

(6) Offer related financial services, including electronic fund transfers, safe deposit boxes, negotiable instruments, leasing, and correspondent arrangements with or to other financial institutions and their members;

(7) Hold membership in other District credit unions, federal credit unions, or foreign credit unions, and in credit union-related trade associations and organizations;

(8) Engage in activities and programs as requested by a government unit;

(9) Act as fiscal agent for, and receive payments on, share and deposit accounts from a government unit;

(10) Make reasonable contributions to any nonprofit civic, charitable, or service organization;

(11) Require the payment of an entrance fee, annual membership fee, or both, of any person admitted to membership pursuant to the District credit union's bylaws;

(12) Receive deposits from its members in the form of shares and deposits and honor requests for withdrawals or transfers of all or any part of share and deposit accounts in any manner approved by the board of directors;

(13) Lend funds to its members;

(14) Discount and sell any obligations owed to the District credit union;

(15) Invest surplus funds as provided in this subchapter ;

(16) Invest in shares of other credit unions and make deposits in other financial institutions and trust companies;

(17) Invest in credit union service organizations;

(18) Issue certificates of indebtedness to members that are subordinated to all other claimants on the District credit union;

(19) Assess fees and charges to members;

(20) Declare dividends on shares, interest on deposit accounts, and pay interest refunds to borrowers;

(21) Receive savings from non-members in the form of shares, if the District credit union serves predominantly low-income members;

(22) Receive deposits from, or lend funds to, other District credit unions, federal credit unions, or foreign credit unions;

(23) Sell insurance products, subject to applicable insurance laws;

(24) Purchase and maintain insurance:

(A) On behalf of:

(i) A current or former director, officer, employee, or agent of the District credit union; or

(ii) A person who is or was serving at the request of the District credit union as a director, officer, employee, or agent of another corporation, partnership, joint venture, trust, or other enterprise; or

(B) To protect against any liability asserted against a person identified in subparagraph (A) of this paragraph in any capacity arising out of that person's status related to the District credit union, regardless of the District credit union's power to indemnify that person against liability.

(25) Offer services permitted for state-chartered banks and national banks, savings and loans, mutual savings banks, and their subsidiaries and affiliates, including electronic fund transfers, safe deposit boxes, trust services, the issuance of negotiable instruments, and leasing and correspondent arrangements with other financial institutions;

(26) Receive payments on share, share draft, and share certificate accounts;

(27) Enter into lease agreements, lease contracts, and lease-purchase agreements with members;

(28) Indemnify or limit the personal liability of officials in accordance with the District credit union's articles of incorporation and bylaws;

(29) Act as agent for any electric, electric distribution, gas, water, telephone, or other utility company operating within the District in receiving money due for utility services furnished by it;

(30) Exercise the powers granted to corporations and nonprofit corporations; except, that, in the event of a conflict between laws governing corporations and nonprofit corporations and this subchapter , the provisions of this subchapter shall govern;

(31) Offer debt cancellation and debt suspension contracts;

(32) Receive supplemental capital from members and non-members; and

(33) Exercise other powers that will not impair the safe and sound operation of the District credit union and that are approved by the Commissioner by rule.