1. (a) A credit union may make a loan, including a business loan, to a member with or without security in accordance with the written lending policies established by the board that cover all secured and unsecured loans.

2. (b) A credit union may accept as security for a loan:

   1. (1) An endorsed note;
   2. (2) A note secured by a lien on real, leasehold, or personal property;
   3. (3) An assignment of shares or deposits in the credit union; or
   4. (4) Any other kind of security that is approved by the Commissioner.
3. (c) The Commissioner may review the lending policies of the credit union and order changes.

Added as Financial Institutions § 6-505 by Added by Acts 1980, c. 33, § 2, eff. July 1, 1980. Amended by Acts 1987, c. 369; Acts 1992, c. 444; Acts 1994, c. 546, § 1, eff. Oct. 1, 1994; Acts 1996, c. 326, § 2, eff. July 1, 1996; Acts 1997, c. 679, § 1, eff. Oct. 1, 1997. Renumbered as Financial Institutions § 6-605 and amended by Acts 2001, c. 147, § 1, eff. Oct. 1, 2001; Acts 2001, c. 148, § 1, eff. Oct. 1, 2001.

Formerly Art. 11, § 152.