§ 34-26-1020 — Permissible investments of credit union funds.

South Carolina § 34-26-1020

• Jurisdiction: South Carolina
• Title 34: BANKING, FINANCIAL INSTITUTIONS AND MONEY
• Ch. 26: SOUTH CAROLINA CREDIT UNION ACT

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Funds not used in loans to members may be invested: (1) in any investment which is legal for state-chartered banks; (2) in deposits, obligations, or other accounts of financial institutions organized under state or federal law; (3) in loans to or in shares or deposits of other credit unions or corporate credit unions; (4) in deposits, in loans to, or shares of any Federal Reserve Bank, U.S. Central Credit Union, or of any central liquidity facility established under state or federal law; (5) in shares, stocks, deposits in, loans to, or other obligations of any credit union service organization, or association exclusively providing services associated with the credit union or engaging in activities incidental to the operations of a credit union. Investments in the aggregate may not exceed fifteen percent of the credit union's reserves and undivided profits; (6) in participation loans with other credit unions; (7) in fixed assets; and (8) in charitable donation accounts if those accounts meet the requirements of 12 C.F.R. 721.3. A credit union shall notify the commissioner before it establishes a charitable donation account.

Legislative History

HISTORY: 1996 Act No. 371, SECTION 1, eff May 29, 1996; 2018 Act No. 186 (S.337), SECTION 4, eff May 15, 2018. Effect of Amendment 2018 Act No. 186, SECTION 4, amended the section, allowing for an investment in certain charitable donation accounts. ARTICLE 11 Reserve Allocations