Loans to officials
HRS §412:10-408
in effect412:10-408. Loans to officials
Loans may be made to officers, directors and members of the credit and supervisory committees of the credit union, provided that:
(1) The loan complies with all lawful requirements
under this article with respect to loans to other borrowers and is not on terms
more favorable than those extended to other borrowers;
(2) The loan shall be approved by the board of
directors if the aggregate amount of all loans outstanding to the applicant
including the loan amount applied for exceeds $10,000. Loans that are fully
secured by shares and deposits in the credit union need not be approved by the
board of directors and need not be included in determining the aggregate amount
of loans outstanding to the applicant. Acting as a co-borrower, guarantor, or
endorser of any loan to other members made by the same credit union shall be counted
as a loan in determining the aggregate amount of loans made by the credit union
to any applicant; and
(3) The loan applicant takes no part in and is not
present during the consideration of the application.
[L 1993, c 350, pt of §1]
Source: Hawaii State Legislature (capitol.hawaii.gov), via Internet Archive capturesURL: https://www.capitol.hawaii.gov/hrscurrent/Vol08_Ch0401-0429/HRS0412/HRS_0412-0010-0408.htmFetched: 11/10/2026