- (a) Before commencing business, a credit union must provide evidence to the commissioner that an insurance commitment has been obtained for its share and deposit accounts by an insuring organization which has been approved by the commissioner or, alternatively, by the National Credit Union Administration under Title II of the Federal Credit Union Act (12 USC Section 1781 et. seq.).
- (b) Any credit union that fails to maintain in full force and effect share and deposit insurance as provided in this section shall cease accepting deposits and making loans immediately and shall terminate its corporate existence in this state under such terms and conditions as the commissioner deems appropriate.
- (c) As used in this section an insuring organization is an organization that provides aid and financial assistance to credit unions that are in the process of liquidation or are incurring financial difficulty in order that the share and deposit accounts in the member credit unions shall be protected or guaranteed against loss up to a specified level for each account.
Source Note:The provisions of this §95.100 adopted to be effective November 11, 1999.