This is an unofficial version of Commonwealth regulations and is posted here for the convenience of the public. It is not an official statement of the regulations.
Regulation 209 CMR 50: Parity with federal credit unions
Table of Contents
Notice of public hearing
In accordance with the provisions of Massachusetts General Laws chapter 30A, a public hearing will be held on May 14, 2003 at 9:30 a.m. in Hearing Room A, 5 th Floor, One South Station, Boston, Massachusetts at which oral comments will be received by the Division of Banks relative to the adoption of amendments to 209 CMR 47.00 et seq., Parity with National Banks, and 209 CMR 50.00 et seq., Parity with Federal Credit Unions.
These amendments were filed on April 8, 2003 with the Secretary of State as emergency regulations pursuant to G.L. c. 167F, §2, p. 31, G.L. c. 171, §6A and G.L. c. 30A, §2. The purpose of these regulations is to address a court decision which has potential wide-range implications for state-chartered banks and credit unions. The amendments clarify the requirement that permissible powers and activities sought by banks and credit unions pursuant to the respective governing parity laws, G.L. c. 167F, §2, p. 31 and G.L. c. 171, §6A, must be expressly authorized by the Commissioner and set forth in 209 CMR 47.00 et seq. and 209 CMR 50.00 et seq. Powers and activities not so authorized are prohibited. The Division is now following the process to make the regulations permanent.
Written comments may be submitted to the Division of Banks on the proposed amendments until 1:00 p.m. on the date of the hearing, May 14, 2003. Copies of the proposed regulations are posted below and may also be obtained from the Division of Banks at One South Station, Boston, Massachusetts 02110.
50.01: Purpose and scope
The purpose of 209 CMR 50.00 et seq. is to specify authorized powers and activities of credit unions, pursuant to M.G.L. c. 171, §6A, and to establish procedures and requirements, applicable to credit unions seeking to exercise powers granted to or conduct activities authorized for federal credit unions under federal law, to the extent that such powers are not otherwise prohibited.
In determining whether or not to authorize any power or activity, the Commissioner shall also determine whether or not competition among credit unions will be unreasonably affected and whether public convenience and advantage will be promoted.
A credit union may, under M.G.L. c. 171, §6A and 209 CMR 50.00 et seq., exercise only those powers and engage in only those activities expressly authorized by the Commissioner as forth in 209 CMR 50.00 et seq. Powers and activities not so authorized are prohibited.