Session Laws

Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows:

Section 59 of chapter 171 of the General Laws, inserted by section 1 of chapter 79 of the acts of 1990, is hereby amended by striking out subparagraph (3) and inserting in place thereof the following subparagraph:-

(3) A credit union having assets of less than one hundred thousand dollars may make loans evidenced by the note of the borrower and secured by a pledge or security interest in satisfactory collateral valued at not more than eighty-five percent of its market value, in amounts not exceeding five thousand dollars; a credit union having assets of more than one hundred thousand dollars may make loans evidenced by a pledge or security interest in satisfactory collateral valued at not more than ninety-five percent of its market value, in amounts not exceeding fifteen thousand dollars or one percent of assets, whichever is greater; provided, however, that a loan based on one percent of assets shall not exceed forty thousand dollars. Each such loan made under this paragraph shall be payable within sixty months from the date of the note.