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 1. Paragraph 1 of subsection A of section 14 of chapter 167E of the General Laws, as appearing in the 1990 Official Edition, is hereby amended by striking out clause (e).

SECTION 2. Paragraph 1 of subsection B of said section 14 of said chapter 167E, as so appearing, is hereby amended by striking out clause (d).

SECTION 3. Said section 14 of said chapter 167E, as so appearing, is hereby further amended by striking out subsection D, and inserting in place thereof the following subsection:-

(D) A mortgage loan secured by a first lien on real estate improved with a dwelling to be occupied by not more than four families and occupied or to be occupied in whole or in part by the borrower shall not be calculated against the total obligations of such borrower for the purposes of the limitations under the provisions of subsection A or subsection B.

SECTION 4. Section 58 of chapter 171 of the General Laws, as so appearing, is hereby amended by striking out the third paragraph and inserting in place thereof the following paragraph:-

In computing the total liability of a member hereunder, there shall be included the direct liability of the member and his liability as endorser, guarantor or surety on the obligation of others which are held by the credit union; provided, however, there shall be excluded from such computation the amount of any mortgage loan secured by a first lien on real estate improved with a dwelling to be occupied by not more than four families and occupied or to be occupied, in whole or in part, by such member.

SECTION 5. Sections three and four of this act shall not be construed to affect or alter the validity of any investment or any amount loaned or invested under the provisions of any applicable chapters of the General Laws in effect prior to the effective date of this act or any written commitment for such a loan or investment entered into, executed or contracted for prior to such effective date.