Selected Opinions regarding Credit Unions

The publication of these Selected Opinions, as well as the previously issued Annual and Quarterly Digests, is part of the Division's ongoing effort to continue to improve its communication with all those who have a vested interest in the financial services industry. Through these Selected Opinions and Digests, the Division offers its perspective on current issues and questions in the financial services industry. As always, requests for opinions from the Division must be addressed directly to the Commissioner of Banks, Massachusetts Division of Banks, 1000 Washington Street, 10th Floor, Boston, MA 02118-6400 and must include a statement of all relevant facts, cites to applicable statutes and regulatory documents and an analysis of those materials supporting your position. The Division acknowledges receipt of opinion requests by assigning each a number. Any subsequent inquiries to the Division about an opinion request should refer to this opinion number.

Opinion relative to mortgage licensing requirements for CUSOs – May 10, 2011

Opinion relative to whether a state-chartered credit union may offer a split dollar life insurance program to its executives -- May 3, 2010

Opinion on providing credit under the Community Reinvestment Act (CRA) for lenders who participate in the Neighborhood Stabilization Program (NSP) - April 27, 2009

Revised Position Relative to 100% Loan-to-value Automobile Lending by Credit Unions - February 2, 2005

Clarification on the Circumstances which Trigger the Requirement for a State-Chartered Credit Union To Have an Audit Conducted by a Certified Public Accountant or Public Accountant - July 2, 2003

Whether a State-Chartered Credit Union or Banking Institution's Participation in a Program Is a Qualified Activity under the Massachusetts Community Reinvestment Act (CRA) - April 9, 2003

Whether a state-chartered credit union or banking institution's participation in two programs are qualified activities under the Massachusetts Community Reinvestment Act (CRA) - December 12, 2002

Issues on products and services which can be offered to an organization member including member business loans - February 6, 2003

Reimbursement of Certain Director Expenses - September 5, 2002

Clarification on authority to branch outside of the county where the main office is located - April 10, 2002

Authority To Lend or Contribute Money to Foundation Establishing a Credit Union Museum - December 12, 2001

Do Credit Unions Need a License To Have Foreign Transmittals Done by Licensed Entity - August 16, 2001

Use of word banking in Credit Union Advertisement - April 27, 2001

Credit Unions Right To Select An Attorney On Their Behalf In A Mortgage Transaction - Q3 2000

Credit Unions Ability To Accept Insured Nonmember Deposits - Q3 2000

Credit Unions Creation Of A Charitable Foundation - Q2 2000

Honorary Directors Right To Participate In Credit Union's Group Health And Dental Insurance Programs - Q1 2000

The Ability Of A State-Chartered Credit Union To Allow Voting Rights By Mail For The Election Of Directors - Q1 2000

Permissibility For Credit Union To Establish A Mobile Branch - Q3 1999

Disclosure Of Director's Expenses At Annual Meeting - Q3 1999

Permissibility Of State-Chartered Credit Unions To Engage In Indirect Automobile Lending Activities Under The Pending Parity Regulations - Q2 1999

Permissibility Of A Credit Union To Offer "Repurchase Agreements" - Q2 1999

Permissibility Of A Federally-Chartered Corporate Credit Union To Offer A Paid-In Capital Offering To Member State-Chartered Credit Unions - Q2 1999

Permissibility Of Federal Credit Union Considering Conversion To A State Charter In Another State To Open A Branch Office Or Electronic Kiosk - Q2 1999

Permissibility Of State-Chartered Credit Unions Establishing IOLTA Accounts For Attorneys - Q1 1999

Prohibition Against Employees Of Credit Union Obtaining Loans - Q1 1999

CRA Qualification Of Credit Union Mortgage Investment Pool - Q4 1998

Legality Of Certain Investments By State-Chartered Credit Unions - Q4 1998

Collection Of Real Estate Taxes On Mortgage Loans - Q4 1998

Permissibility Of State-Chartered Credit Union To Purchase Loans From Another State-Chartered Or Federally-Chartered Credit Union - Q4 1998

Aggregate Limit On Term Deposits Held By A Credit Union Organizational Member - Q3 1998

Ability Of Credit Unions To Sell Vehicle Service Contracts To Their Members - Q2 1998

Temporary Sharing Of Credit Union Facilities During An Emergency Situation - Q3 1998

Ability of Credit Unions To Offer Credit Cards Issued By Third-Parties - Q2 1998

Ability Of Credit Unions To Branch - Q2 1998

Aggregate Loan Limitations Of One Credit Union Member - Q2 1998

Permissibility Of Credit Card Agreement Provision Allowing Creditor To Increase Account Interest Rate If Borrower Makes A Late Payment - Q3 1998

Permissibility Of Credit Union To Receive Fees For Referring Members To A Licensed Mortgage Broker - Q3 1998

Permissibility Of Board Member Doing Paid Legal Work For Credit Union - Q2 1998

Operating At A Location Not The Main Office

Restrictions On Sharing Of Branch Office By Two Credit Unions - Q4 1997

Policies Regarding Opening New Accounts - Q4 1997

State-Chartered Credit Union Authority To Offer Mortgage Loans Funded, Underwritten And Closed In The Name Of A Third Party - Q4 1997

Ability Of Credit Union To Invest In An Electronic Funds Transfer System

Credit Union Authority To Issue Credit Cards To Low And Moderate Income Applicants Regardless Of Age - Q4 1997

Ability Of MA Credit Union To Advertise In A RI Newspaper

Permissibility Of Leasing Excess Space To A Financial Planning Firm - Q4 1997

Central Credit Union Fund - Q4 1997

Credit Union Implementation Of A Mandatory Vacation Policy - Q3 1997

Providing Group Life Insurance; Accident & Health; Or Medical, Surgical Or Hospital Insurance Or Benefits To Directors - Q3 1997

Offering Insurance Products To Directors

Establishing A Mobile Branch - Q3 1997

Permissibility Of Distributing Loan Applications From Automobile Dealerships - Q3 1997

Credit Union Leasing Branch Office Space To A Financial Planning Firm - Q3 1997

Permissibility Of Designating Credit Union Loan Production Offices As Depots - Q3 1997

Applicability Of The Commonwealth's Electronic Funds Transfer Systems Act To Federal Credit Unions - Q3 1997

Credit Union Authority To Issue VISA Credit Cards To Low To Moderate Income Applicants 62 Years Of Age Or Older - Q3 1997

Copies of past opinions may be obtained for a fee from the Division's Consumer Assistance Unit at (617) 956-1502, and must be paid for by check. The Division's Regulations, found in the Code of Massachusetts Regulations (CMR - agency code number 209), are available through the State House Bookstore, State House Room 116, Boston, Massachusetts, 02133. Please contact the bookstore directly for prices at (617) 727-2834.