(a) General rule.--A credit union may borrow from any source a sum not exceeding 50% of its unimpaired capital, regular reserve, contingency reserves and undivided earnings for the purpose of meeting the demand for loans to members or for the purpose of meeting demands for share withdrawals.
(b) Exception.--A credit union shall not borrow for the purpose of making investments authorized by section 501(b)(7) (relating to powers).
(Dec. 9, 2002, P.L.1572, No.207, eff. 60 days; June 18, 2014, P.L.754, No.62, eff. 60 days)
2014 Amendment. Act 62 amended subsec. (a).
Structure Pennsylvania Consolidated & Unconsolidated Statutes
Pennsylvania Consolidated & Unconsolidated Statutes
Chapter 5 - Corporate Powers, Duties and Safeguards
Section 502 - Powers of central or corporate credit unions
Section 503 - Regulation by department
Section 505 - Capital and shares
Section 507 - Minority and trust accounts
Section 509 - Fees and charges