Corporate Credit Union

HRS div. 2, tit. 22, ch. 412, art. 10, pt. VIII

in effect

HRS §412:10-801 Purposes

412:10-801. Purposes The purposes of the corporate credit union are to: (1) Accumulate and prudently manage the liquidity of its member credit unions through interlending and investment services; (2) Act as an intermediary for credit union funds between members and other corporate credit unions; (3) Obtain liquid funds from other credit union organizations, financial intermediaries, and other sources; (4) Foster and promote in cooperation with other state, regional, and national corporate credit unions and credit union organizations or associations the economic security, growth, and development of member credit unions; and (5) Provide payment systems and correspondent services to its members. [L 1993, c 350, pt of §1]

HRS §412:10-802 Membership

412:10-802. Membership Membership in the corporate credit union shall consist of and be limited to the credit union subscribers to the articles of association, credit unions chartered under this article, the Federal Credit Union Act or any other credit union law, and organizations or associations of credit unions. [L 1993, c 350, pt of §1]

HRS §412:10-803 Organization

412:10-803. Organization The application, approval and formation process for the corporate credit union shall be the same as for any other credit union, except that ten or more credit unions shall be required to file an application for a charter. L 1993, c 350, pt of §1

HRS §412:10-804 Management and operation of corporate credit union

412:10-804. Management and operation of corporate credit union The corporate credit union shall be organized and operated like any other credit union, except that: (1) Persons eligible to hold office and vote shall be designated by the board of directors of each member of the corporate credit union as the voting representative in the corporate credit union. Such voting representative shall be eligible to hold office in the corporate credit union as if such person were an individual member of the corporate credit union. Each member shall have only one vote; (2) The corporate credit union shall be exempt from the regular reserve requirements established under this article, but shall establish and maintain an equity reserve to meet losses, in accordance with rules adopted by the commissioner; (3) The corporate credit union shall be exempt from the share and deposit requirements of this article and from the security laws of this State; and (4) The supervisory committee of a corporate credit union shall cause an annual opinion audit to be made by an independent, duly licensed certified public accountant and shall submit the audit report to the board of directors. A summary of the audit report shall be submitted to the membership at the next annual meeting. A copy of the audit report shall be submitted to the commissioner within thirty days after receipt by the board of directors. [L 1993, c 350, pt of §1]

HRS §412:10-806 Participation in central system

412:10-806. Participation in central system The corporate credit union may enter into agreements and subscribe to any required shares for the purpose of participation in the National Credit Union Administration Central Liquidity Facility created by Public Law 95-630 or any other state or federal central liquidity facility or central financial system for credit unions. The corporate credit union may also enter into agreements with any third parties to aid credit unions to obtain additional sources of liquidity. [L 1993, c 350, pt of §1]

HRS §412:10-807 Collection on loans to members

412:10-807. Collection on loans to members (a) For any amounts due from a member to the corporate credit union, the corporate credit union shall have: (1) A right of immediate setoff against the balances of the share and deposit accounts of each member; and (2) A lien on all share and deposit accounts of each member in the total amount of the indebtedness, which shall attach to such accounts and be effective whenever the member is indebted to the corporate credit union, and which shall have priority over the interest of all members and unsecured creditors of the debtor member. (b) The board of directors or credit committee of the corporate credit union may require and accept additional security for loans to a member in the form of a pledge, assignment, hypothecation, or mortgage of any assets of the member or a guarantor. [L 1993, c 350, pt of §1]

HRS §412:10-808 Meetings

412:10-808. Meetings The board of directors of the corporate credit union shall meet at least every ninety days in person or by means of telephone as provided in the bylaws. 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-.htmFetched: 11/10/2026