reglab/statecodes huggingface dataset:
2023 Michigan Compiled Laws › Chapter 490 - Credit Unions › Act 215 of 2003 - Credit Union Act (490.101 - 490.601) › Article 3 - Domestic Credit Union Organization and Structure (490.301...490.387) › 215-2003-3-7 - Part 7 Administration (490.381...490.387) › Section 490.385 - Payment to Person Claiming Interest in Account; Restrictions.

490.385 Payment to person claiming interest in account; restrictions.
Sec. 385.
(1) A domestic credit union may refuse to make a payment from an account to a person claiming an interest in the account if the domestic credit union is uncertain under the agreement governing the account of who is entitled to receive that payment or if the domestic credit union has actual knowledge of a dispute between any account owners, beneficiaries with present vested rights in the account, or other persons concerning their respective ownership to the money in the account, the proposed withdrawal, or any previous withdrawals from the account.
(2) If a domestic credit union refuses to make a payment under subsection (1), the domestic credit union may notify the account owners, beneficiaries with present vested rights in the account, and other persons claiming an interest in the account in writing of the basis for its refusal and may refuse to make the payment until all interested parties consent in writing to the requested payment or a court with jurisdiction orders the domestic credit union to make the payment. The domestic credit union is not liable for any damages resulting from an action taken under this subsection.
History:
2003, Act 215, Eff. June 1, 2004
2023 Michigan Compiled Laws › Chapter 490 - Credit Unions › Act 215 of 2003 - Credit Union Act (490.101 - 490.601) › Article 3 - Domestic Credit Union Organization and Structure (490.301...490.387) › 215-2003-3-7 - Part 7 Administration (490.381...490.387) › Section 490.386 - Establishment and Maintenance of Reserves.

490.386 Establishment and maintenance of reserves.
Sec. 386.
(1) A domestic credit union shall establish and maintain reserves in an amount that qualifies the domestic credit union for insurance of its accounts under federal law and meets any requirement of the commissioner.
(2) A domestic credit union shall establish allowances for loan and lease losses account based on its reasonably foreseeable loan and lease losses and shall maintain the account in accordance with generally accepted accounting principles. A domestic credit union shall charge a loan or lease or any portion of a loan or lease to the allowance for loan and lease losses account if any of the following occur:
(a) The credit union board considers the loan or lease or any portion of a loan or lease uncollectible.
(b) The loan or lease is 12 or more contractual payments delinquent, the borrower has not made a contractual payment in the past 90 days, and the domestic credit union has not instituted judicial proceedings to collect the loan or lease.
(c) The commissioner orders the domestic credit union to charge the loan or lease or any portion of a loan or lease to the allowance for loan and lease losses account.
(3) A domestic credit union shall establish special reserves to protect the interests of members if required by rule of the commissioner or if the credit union board or the commissioner decide that a special reserve is necessary to protect the interests of the members concerning a specific event.
(4) This section applies to a corporate credit union organized under this act only to the extent the commissioner determines is necessary to protect the interests of the members and other share and deposit account holders of the corporate credit union.
History:
2003, Act 215, Eff. June 1, 2004 ;-- Am. 2004, Act 471, Imd. Eff. Dec. 28, 2004
2023 Michigan Compiled Laws › Chapter 490 - Credit Unions › Act 215 of 2003 - Credit Union Act (490.101 - 490.601) › Article 3 - Domestic Credit Union Organization and Structure (490.301...490.387) › 215-2003-3-7 - Part 7 Administration (490.381...490.387) › Section 490.387 - Insurance of Member Share and Deposit Accounts.

490.387 Insurance of member share and deposit accounts.
Sec. 387.
(1) A domestic credit union that is not a corporate credit union shall apply for and maintain insurance of member share accounts and member deposit accounts from an agency of the federal government that provides that insurance.
(2) A credit union that is denied a commitment for insurance of its share and deposit accounts by the insuring federal agency or that is given notice by the insuring federal agency of the agency's intent to terminate insurance of the credit union's shares and deposits shall either dissolve, merge with another credit union that is insured by an agency of the federal government, or apply in writing to the commissioner within 30 days after the denial or notice for additional time to obtain an insurance commitment.
(3) The commissioner shall grant a credit union described in subsection (2) 1 or more additional periods of time to obtain or reinstate an insurance commitment if the commissioner receives satisfactory evidence that the credit union has made or is making a substantial effort to meet the conditions required by the insuring federal agency for issuance of an insurance commitment.
(4) A credit union may contract with an insurance carrier licensed to do business in this state for insurance of the balances of its accounts that exceed the amount insured by the insuring federal agency.
History:
2003, Act 215, Eff. June 1, 2004
2023 Michigan Compiled Laws › Chapter 490 - Credit Unions › Act 215 of 2003 - Credit Union Act (490.101 - 490.601) › Article 4 - Domestic Credit Union Powers (490.401...490.432) › 215-2003-4-1 - Part 1 General Provisions (490.401...490.413) › Section 490.402 - Corporate Credit Union; Additional Powers.

490.402 Corporate credit union; additional powers.
Sec. 402.
(1) A corporate credit union organized under this act has all of the following powers in addition to the powers granted by this act to all domestic credit unions:
(a) To accept funds, either as shares or deposits, from a domestic, foreign, or alien credit union, whether or not that credit union is a member of the corporate credit union.
(b) To make loans to or investments or deposits in a credit union, whether or not that credit union is a member of the corporate credit union.
(c) To make loans to or place deposits in a bank, savings bank, trust company, or savings and loan association chartered by this state, by another state or territory of the United States, or by the United States.
(d) To place deposits in a bank chartered under the laws of Canada or a member state of the European Union.
(e) To borrow from any source.
(f) To act as a fiscal agent for the United States, a state, or an agency or political subdivision of the United States or a state.
(g) To participate with any other credit union in making loans to its members or to members of the other participating credit union, on the terms and conditions to which the participating credit unions agree.
(h) To purchase, sell, and hold investment securities that are marketable obligations in the form of bonds, notes, or debentures and that are salable under ordinary circumstances. A corporate credit union board shall adopt a written investment policy and the corporate credit union shall make all investments and related contracts and agreements under this subdivision in accordance with that policy.
(i) To contract for penalties for loans paid before their scheduled maturity.
(j) To act as an intermediary of member and credit union funds.
(k) To act as an agent to pay, receive, and transfer assets and liabilities.
(l) To receive and hold securities and other assets.
(m) To provide payment systems services in conjunction with financial institutions or other vendors, or other correspondent services.
(n) To provide services to members involving investments and liquidity management.
(o) To engage in repurchase agreement transactions with broker-dealers.
(p) To purchase, sell, and hold financial derivatives.
(q) To exercise any other power approved by the commissioner by rule, order, or declaratory ruling.
(2) This act does not permit a corporate credit union organized under this act to make or participate in a loan to a natural person that has terms and conditions that would not otherwise be authorized for a loan to a natural person made by another domestic credit union.
History:
2003, Act 215, Eff. June 1, 2004 ;-- Am. 2004, Act 471, Imd. Eff. Dec. 28, 2004
2023 Michigan Compiled Laws › Chapter 490 - Credit Unions › Act 215 of 2003 - Credit Union Act (490.101 - 490.601) › Article 4 - Domestic Credit Union Powers (490.401...490.432) › 215-2003-4-1 - Part 1 General Provisions (490.401...490.413) › Section 490.403 - Domestic Credit Union; Incidental Powers.

490.403 Domestic credit union; incidental powers.
Sec. 403.
A domestic credit union may exercise any incidental powers that are necessary or required to enable it to effectively carry out the business for which it is organized.
History:
2003, Act 215, Eff. June 1, 2004
2023 Michigan Compiled Laws › Chapter 490 - Credit Unions › Act 215 of 2003 - Credit Union Act (490.101 - 490.601) › Article 4 - Domestic Credit Union Powers (490.401...490.432) › 215-2003-4-1 - Part 1 General Provisions (490.401...490.413) › Section 490.404 - Business Outside of State.

490.404 Business outside of state.
Sec. 404.
A domestic credit union may do business outside of this state if permitted by the laws of that jurisdiction.
History:
2003, Act 215, Eff. June 1, 2004
2023 Michigan Compiled Laws › Chapter 490 - Credit Unions › Act 215 of 2003 - Credit Union Act (490.101 - 490.601) › Article 4 - Domestic Credit Union Powers (490.401...490.432) › 215-2003-4-1 - Part 1 General Provisions (490.401...490.413) › Section 490.405 - Pledging Domestic Credit Union Assets as Collateral Security; Limitations.

490.405 Pledging domestic credit union assets as collateral security; limitations.
Sec. 405.
(1) A domestic credit union shall not give preference to any member or depositor by pledging the assets of the domestic credit union as collateral security for purposes of accepting the funds or money of any county, city, village, township, school district, or community college district. With written consent of the commissioner, a domestic credit union may pledge assets of the domestic credit union in an amount not in excess of 10% of its total shares and deposits for the purpose of securing any of the following:
(a) Shares or deposits belonging to the United States or belonging to or administered by an officer, instrumentality, or agent of the United States, shares or deposits of estates being administered by a federal court under federal bankruptcy laws, and any other shares or deposits if required or permitted to do so under the laws of the United States or an order of a federal court.
(b) Shares or deposits acquired or made with surplus funds of this state held by the state treasurer.
(c) Shares or deposits belonging to the Mackinac bridge authority, a political subdivision of this state under 1950 (Ex Sess) PA 21, MCL 254.301 to 254.304.
(d) Shares or deposits of the international bridge authority, a political subdivision of this state under 1954 PA 99, MCL 254.221 to 254.240.
(e) Shares owned or funds on deposit under 1941 PA 205, MCL 252.51 to 252.64.
(f) Shares or deposits belonging to the Michigan employment security commission.
(g) Shares or deposits acquired or made by the Michigan state housing development authority with funds constituting proceeds of the sale of the authority's notes and bonds and repayments of the notes and bonds under the state housing development authority act of 1966, 1966 PA 346, MCL 125.1401 to 125.1499c.
(2) The requirements, restrictions, and limitations imposed by subsection (1) do not apply to the pledging of obligations of the United States, direct or fully guaranteed, or both, for the purpose of securing shares or deposits owned by the United States when such shares or deposits are established coincidentally with the purchase of obligations of the United States by or through any domestic credit union.
History:
2003, Act 215, Eff. June 1, 2004
2023 Michigan Compiled Laws › Chapter 490 - Credit Unions › Act 215 of 2003 - Credit Union Act (490.101 - 490.601) › Article 4 - Domestic Credit Union Powers (490.401...490.432) › 215-2003-4-1 - Part 1 General Provisions (490.401...490.413) › Section 490.406 - Domestic Credit Union; Powers Authorized by Credit Union Board; Acquisition of Interest in Real Property; Definitions.

490.406 Domestic credit union; powers authorized by credit union board; acquisition of interest in real property; definitions.
Sec. 406.
(1) If authorized by the credit union board, a domestic credit union may do any of the following:
(a) Assist in providing cooperative housing and related facilities for its members. A domestic credit union shall not invest more than 5% of its unimpaired share capital in programs described in this subdivision. This section does not authorize a domestic credit union to invest in the stock of a housing cooperative.
(b) Assist in creating a housing cooperative for its members.
(c) Assist a housing cooperative composed of its members in selecting a housing site.
(2) If authorized by the credit union board, a domestic credit union may acquire any interest in real property if all of the following are met:
(a) The property is suitable for a housing cooperative and related facilities for its members.
(b) The domestic credit union will dispose of its interest in the property to a housing cooperative within 3 years.
(c) The purchase price of the property does not exceed the appraised value of the property as determined by a competent disinterested appraiser retained by the domestic credit union.
(d) Before the domestic credit union acquires its interest, if state or federal assistance is contemplated, the domestic credit union where possible obtains the approval of the state or federal agency that will assist the housing cooperative in determining the acceptability to that agency of the property for use as a cooperative housing site.
(3) If within a reasonable time after the domestic credit union acquires its interest in a housing cooperative it determines that the property is not suitable for cooperative housing for its members, the domestic credit union shall dispose of its interest in the manner most advantageous to the domestic credit union.
(4) A domestic credit union may employ consultants, appraisers, or other persons or organizations qualified by experience and training to provide advice and assistance in the acquisition of cooperative housing sites, the creation of housing cooperatives, the processing of applications for state or federal assistance, or the development of plans for the housing and financing, and may take any other action related to its authority under this section.
(5) As used in this section:
(a) “Domestic credit union” may include more than 1 domestic credit union acting in combination.
(b) “Housing cooperative” means a nonprofit housing cooperative corporation.
History:
2003, Act 215, Eff. June 1, 2004
2023 Michigan Compiled Laws › Chapter 490 - Credit Unions › Act 215 of 2003 - Credit Union Act (490.101 - 490.601) › Article 4 - Domestic Credit Union Powers (490.401...490.432) › 215-2003-4-1 - Part 1 General Provisions (490.401...490.413) › Section 490.408 - Automated Information Processing Services.

490.408 Automated information processing services.
Sec. 408.
(1) A domestic credit union that utilizes automated information processing services of a vendor must enter into a written contract, lease, or licensing agreement with the vendor for those services. The credit union board shall review the contract, lease, or licensing agreement to ensure the interests of the domestic credit union are protected. Approval of the contract, lease, or licensing agreement by the credit union board or its designee is required before any automated information processing services are performed or provided to the domestic credit union.
(2) A domestic credit union that utilizes the services of a vendor under subsection (1) retains permanent and exclusive ownership of all internal information and member information in the possession of the vendor. The vendor shall not disclose any of that information to third parties except as explicitly authorized in writing by the domestic credit union; the vendor shall not use any of that information for the vendor's own purposes except as explicitly authorized in writing by the domestic credit union; and if the vendor or any subcontractor of the vendor has access to any member information, the vendor or that subcontractor are subject to regulation and examination by the director.
(3) As used in this section:
(a) "Automated information processing" means automated processing, updating, and storage of internal information or member information.
(b) "Internal information" means the accounts, books, and records of a domestic credit union maintained in any form.
(c) "Member information" means the share, deposit, loan account balances, or other information related to any member of a domestic credit union maintained in any form.
(d) "Vendor" means a person who supplies hardware, software, or systems used for automated information processing services to a domestic credit union or performs automated information processing services for a domestic credit union. The term includes a subcontractor of a vendor.
History:
2003, Act 215, Eff. June 1, 2004 ;-- Am. 2016, Act 152, Eff. Sept. 7, 2016
2023 Michigan Compiled Laws › Chapter 490 - Credit Unions › Act 215 of 2003 - Credit Union Act (490.101 - 490.601) › Article 4 - Domestic Credit Union Powers (490.401...490.432) › 215-2003-4-1 - Part 1 General Provisions (490.401...490.413) › Section 490.410 - Safe Deposit Department.

490.410 Safe deposit department.
Sec. 410.
(1) If authorized by the credit union board, a domestic credit union may invest in the stock of not more than 1 safe and collateral deposit company or may operate a safe deposit department.
(2) If a domestic credit union operates a safe deposit department, the legal liability of the domestic credit union for any loss to a customer shall not exceed the sum of $10,000.00 for any 1 box or compartment. The domestic credit union may contract with the renter to have the renter assume the risks arising from the use of the box or compartment.
(3) A domestic credit union has a lien for unpaid rental charges on the contents of any safe deposit box or compartment. If rental charges are not paid within 1 year after the date of accrual, the domestic credit union may sell the property in the box or compartment at public auction, after providing any notice required by any law applicable to the sale. The domestic credit union may retain from the proceeds of sale the amount of all charges due and owing at the time of the sale and the reasonable expenses of the sale and shall pay the balance, if any, to the renter of the box or compartment or to any person who proves to the satisfaction of the domestic credit union that he or she is entitled to the proceeds. If it acts fairly and in good faith, the domestic credit union may purchase all or part of the property at the sale.
History:
2003, Act 215, Eff. June 1, 2004
2023 Michigan Compiled Laws › Chapter 490 - Credit Unions › Act 215 of 2003 - Credit Union Act (490.101 - 490.601) › Article 4 - Domestic Credit Union Powers (490.401...490.432) › 215-2003-4-1 - Part 1 General Provisions (490.401...490.413) › Section 490.411 - Savings Promotion Raffle; Loan Promotion Raffle; Definitions.

490.411 Savings promotion raffle; loan promotion raffle; definitions.
Sec. 411.
(1) If authorized by the credit union board, a domestic credit union may conduct a savings promotion raffle. All of the following apply to a savings promotion raffle conducted under this subsection:
(a) The domestic credit union shall conduct a savings promotion raffle so that each token or ticket representing an entry in the raffle has an equal chance of being drawn. A domestic credit union shall not conduct a savings promotion raffle in a manner that jeopardizes the domestic credit union's safety and soundness or misleads its members.
(b) Pursuant to his or her supervisory powers under article 2, the director may examine the conduct of a savings promotion raffle. The director may issue a cease and desist order for a violation of this subsection under article 2.
(c) A domestic credit union shall maintain records sufficient to facilitate an audit of a savings promotion raffle.
(2) If authorized by the credit union board, a domestic credit union may conduct a loan promotion raffle. All of the following apply to a loan promotion raffle conducted under this subsection:
(a) The domestic credit union shall conduct a loan promotion raffle so that each token or ticket representing an entry in the raffle has an equal chance of being drawn. A domestic credit union shall not conduct a loan promotion raffle in a manner that jeopardizes the domestic credit union's safety and soundness or misleads its members.
(b) Pursuant to his or her supervisory powers under article 2, the director may examine the conduct of a loan promotion raffle. The director may issue a cease and desist order for a violation of this subsection under article 2.
(c) A domestic credit union shall maintain records sufficient to facilitate an audit of a savings promotion raffle.
(3) As used in this section:
(a) "Loan promotion raffle" means a raffle conducted by a domestic credit union where the sole consideration required for a chance of winning designated prizes is the closing on a loan with the domestic credit union of at least a specified amount.
(b) "Savings promotion raffle" means a raffle conducted by a domestic credit union where the sole consideration required for a chance of winning designated prizes is the deposit of at least a specified amount of money in a savings account or other savings program offered by the domestic credit union.
History:
2003, Act 215, Eff. June 1, 2004 ;-- Am. 2016, Act 157, Eff. Sept. 7, 2016
2023 Michigan Compiled Laws › Chapter 490 - Credit Unions › Act 215 of 2003 - Credit Union Act (490.101 - 490.601) › Article 4 - Domestic Credit Union Powers (490.401...490.432) › 215-2003-4-1 - Part 1 General Provisions (490.401...490.413) › Section 490.412 - Check Cashing Fees.

490.412 Check cashing fees.
Sec. 412.
(1) Except as provided in subsection (2), a domestic credit union shall not contract for, receive, impose, assess, or collect a charge or fee for the cashing of a check that exceeds 1 of the following percentages of the face amount of the check, as applicable:
(a) Five percent for a payroll, pension, or government check.
(b) Seven percent for a check from an insurance company, including, but not limited to, a private health or disability insurance plan payment.
(c) Ten percent for a personal check, money order, or other check.
(2) A domestic credit union may contract for, receive, impose, assess, or collect a charge or fee that does not exceed $25.00 for the first check the credit union cashes for an individual.
History:
2003, Act 215, Eff. June 1, 2004
2023 Michigan Compiled Laws › Chapter 490 - Credit Unions › Act 215 of 2003 - Credit Union Act (490.101 - 490.601) › Article 4 - Domestic Credit Union Powers (490.401...490.432) › 215-2003-4-1 - Part 1 General Provisions (490.401...490.413) › Section 490.413 - Automatic Teller Machine Located on Premises of Casino, Casino Enterprise, Liquor Store, or Adult Entertainment Establishment; Preventing Access to Cash Benefits From Michigan Bridge Card; Definitions.

490.413 Automatic teller machine located on premises of casino, casino enterprise, liquor store, or adult entertainment establishment; preventing access to cash benefits from Michigan bridge card; definitions.
Sec. 413.
(1) A domestic credit union that owns, operates, or manages an automated teller machine located on the premises of a casino, casino enterprise, liquor store, or adult entertainment establishment shall work with the department of human services to ensure that the automated teller machine does not allow an individual access to cash benefits from a Michigan bridge card.
(2) As used in this section:
(a) "Adult entertainment establishment" means any of the following:
(i) An on-premises licensee that holds a topless activity permit described in section 916(3) of the Michigan liquor control code of 1998, 1998 PA 58, MCL 436.1916.
(ii) Any other retail establishment that provides adult-oriented entertainment in which performers disrobe or perform in an unclothed state for entertainment.
(b) "Alcoholic liquor" means that term as defined in section 105 of the Michigan liquor control code of 1998, 1998 PA 58, MCL 436.1105.
(c) Subject to subsection (3), "casino" means that term as defined in section 2 of the Michigan gaming control and revenue act, 1996 IL 1, MCL 432.202.
(d) Subject to subsection (3), "casino enterprise" means that term as defined in section 2 of the Michigan gaming control and revenue act, 1996 IL 1, MCL 432.202.
(e) "Gaming" means that term as defined in section 2 of the Michigan gaming control and revenue act, 1996 IL 1, MCL 432.202.
(f) "Liquor store" means a retailer, as defined in section 111 of the Michigan liquor control code of 1998, 1998 PA 58, MCL 436.1111, that is exclusively or primarily engaged in the sale of alcoholic liquor. The term does not include a retailer that is a retail food store.
(g) "Michigan bridge card" means the card that is used to distribute cash benefits by the department of human services.
(h) "Retail food store" means that term as defined in 7 USC 2012.
(3) As used in this section, the terms casino and casino enterprise do not include any of the following:
(a) A grocery store that sells groceries, including staple foods, and is located in a casino or a casino enterprise.
(b) Any other business establishment that offers gaming that is incidental to the principal purpose of that establishment.
History:
Add. 2013, Act 193, Eff. Feb. 1, 2014
2023 Michigan Compiled Laws › Chapter 490 - Credit Unions › Act 215 of 2003 - Credit Union Act (490.101 - 490.601) › Article 4 - Domestic Credit Union Powers (490.401...490.432) › 215-2003-4-2 - Part 2 Loans (490.421...490.424) › Section 490.421 - Credit Committee; Powers; Meetings; Loan Officers; Appeals of Loan Rejections; Designation of Secretary; Maintenance of Records of Activities.

490.421 Credit committee; powers; meetings; loan officers; appeals of loan rejections; designation of secretary; maintenance of records of activities.
Sec. 421.
(1) If a domestic credit union has a credit committee, the credit committee has general supervision of all loans to members.
(2) A credit committee shall meet as often as the business of the domestic credit union requires. The credit committee shall consider applications for loans or review the credit decisions of the loan officers of the domestic credit union. A majority vote of the members of the committee who are present at a meeting is required to approve or disapprove of a loan to a member.
(3) A credit committee, or the credit union board if the domestic credit union does not have a credit committee, may appoint 1 or more loan officers and delegate to them the power to approve or reject loans or lines of credit or to make credit decisions concerning loans or lines of credit, subject to any limitations or conditions established by the credit committee.
(4) A member whose loan application is disapproved by a loan officer may appeal in writing to the credit committee, or to the credit union board if the domestic credit union does not have a credit committee.
(5) A domestic credit union may establish and use an automated loan approval and rejection process but may not use the automated process for appeals of loan rejections. If a domestic credit union uses an automated process, the domestic credit union shall establish a written procedure to ensure the proper functioning of the automated process.
(6) The credit committee shall designate a secretary of the credit committee. The secretary shall maintain records of the actions of the committee concerning its lending activities as required by the credit union board.
History:
2003, Act 215, Eff. June 1, 2004
2023 Michigan Compiled Laws › Chapter 490 - Credit Unions › Act 215 of 2003 - Credit Union Act (490.101 - 490.601) › Article 4 - Domestic Credit Union Powers (490.401...490.432) › 215-2003-4-2 - Part 2 Loans (490.421...490.424) › Section 490.422 - Loan Agreement With Member or Another Domestic Credit Union.

490.422 Loan agreement with member or another domestic credit union.
Sec. 422.
(1) A loan made by a domestic credit union to another domestic credit union is not subject to any interest rate limitation contained in any law of this state.
(2) In addition to any other loan authorized by law, a domestic credit union may enter into a loan agreement under this subsection with a member. All of the following apply to a loan under this subsection:
(a) The loan may be for any amount up to $1,000.00.
(b) The term of the loan shall be 30 days.
(c) The domestic credit union may charge a fee in addition to any interest in connection with the loan. A fee is in addition to interest authorized by law and is not part of the interest collected or agreed to be paid on loans within the meaning of a law of this state that limits the rate of interest which may be exacted in a transaction.
(d) The total interest, fees, and other costs of the loan shall not exceed 10% of the principal amount.
(e) A member shall not have more than 1 loan under this subsection outstanding with the credit union.
History:
2003, Act 215, Eff. June 1, 2004
2023 Michigan Compiled Laws › Chapter 490 - Credit Unions › Act 215 of 2003 - Credit Union Act (490.101 - 490.601) › Article 4 - Domestic Credit Union Powers (490.401...490.432) › 215-2003-4-2 - Part 2 Loans (490.421...490.424) › Section 490.424 - Property and Casualty Insurance as Condition to Mortgage Loan.

490.424 Property and casualty insurance as condition to mortgage loan.
Sec. 424.
(1) Except as provided in subsection (2), a domestic credit union that requires a mortgagor to maintain property and casualty insurance as a condition to receiving a mortgage loan shall not require an amount of property and casualty insurance that is greater than the replacement cost of the mortgaged building or buildings.
(2) A domestic credit union may require an amount of property and casualty insurance that is required of the domestic credit union as a condition of a sale, transfer, or assignment of all or part of the mortgage to a third party. This subsection does not require that the domestic credit union anticipate a sale, transfer, or assignment at the time the mortgage loan is made.
History:
2003, Act 215, Eff. June 1, 2004
2023 Michigan Compiled Laws › Chapter 490 - Credit Unions › Act 215 of 2003 - Credit Union Act (490.101 - 490.601) › Article 5 - Foreign Credit Unions (490.501...490.502) › Section 490.501 - Conduct of Business by Foreign Credit Union.

490.501 Conduct of business by foreign credit union.
Sec. 501.
(1) A foreign credit union, other than a federal credit union, may conduct business as a credit union in this state only with the written approval of the commissioner. The commissioner shall not grant approval unless the commissioner finds that the foreign credit union meets all of the following requirements:
(a) The credit union is organized under a law similar to this act.
(b) The credit union is financially solvent.
(c) The credit union has insurance through an agency of the federal government of member share and deposit accounts.
(d) The credit union is examined and supervised by the supervisory authority of the state or territory in which it is organized.
(e) The credit union conducts business in this state to adequately serve its members in this state.
(2) The commissioner shall not grant approval under subsection (1) unless the foreign credit union agrees in writing as a condition of the approval to do all of the following:
(a) To charge a rate of interest that does not exceed any rate of interest permitted by the credit reform act, 1995 PA 162, MCL 445.1851 to 445.1864, for a loan in this state by a domestic credit union.
(b) Comply with the same consumer protection laws that a domestic credit union must comply with when making a loan or providing other services in this state. For purposes of this subdivision, a loan is made in this state if any person, other than a guarantor, while physically in this state, signed the loan agreement setting forth the terms and conditions of any obligation created or to be created under the agreement. For purposes of this subdivision, a service other than a loan is provided in this state if a person does not physically travel out of this state to obtain the service or if an agreement to provide the service is signed by a person in this state.
(c) Designate and maintain an agent for the service of process in this state.
(d) File any reports required by the commissioner.
(e) Allow the commissioner to conduct an examination, if necessary, to the same extent as the commissioner is authorized to conduct examinations of domestic credit unions under article 2.
(f) Meet any other requirements that the commissioner requires of domestic credit unions under this act.
(3) The commissioner shall not grant approval under subsection (1) if the state or territory in which the credit union is organized does not permit credit unions organized in this state to do business in that state or territory.
(4) This section does not exempt a foreign credit union from complying with the laws of this state to the extent compliance is otherwise required.
History:
2003, Act 215, Eff. June 1, 2004
2023 Michigan Compiled Laws › Chapter 490 - Credit Unions › Act 215 of 2003 - Credit Union Act (490.101 - 490.601) › Article 5 - Foreign Credit Unions (490.501...490.502) › Section 490.502 - Violations by Foreign Credit Union.

490.502 Violations by foreign credit union.
Sec. 502.
(1) If in the opinion of the commissioner a foreign credit union is engaging, has engaged, or is about to engage in an unsafe or unsound practice in conducting the business of a credit union at a branch located in this state, or is violating, has violated, or is about to violate a state or federal law or a state or federal rule or regulation, the commissioner may notify any state or federal regulatory authority with jurisdiction over the foreign credit union of the practice or violation, or may issue and serve upon the foreign credit union a notice of intent to revoke the foreign credit union's authority to engage in business in this state. The notice shall contain a statement of the facts constituting the alleged unsafe or unsound practice or violation and inform the foreign credit union of its right to request a hearing within 10 days.
(2) If a foreign credit union described in subsection (1) requests a hearing within the 10-day time period, the commissioner shall hold a hearing in accordance with the administrative procedures act of 1969, 1969 PA 306, MCL 24.201 to 24.328.
(3) Within 60 days after the date of a hearing under subsection (2), the commissioner shall file a written decision containing his or her findings and serve a copy on the foreign credit union.
History:
2003, Act 215, Eff. June 1, 2004
2023 Michigan Compiled Laws › Chapter 490 - Credit Unions › Act 215 of 2003 - Credit Union Act (490.101 - 490.601) › Article 6 - Repeal of Predecessor Act (490.601...490.601) › Section 490.601 - Repeal of MCL 490.1 to 490.31.

490.601 Repeal of MCL 490.1 to 490.31.
Sec. 601.
1925 PA 285, MCL 490.1 to 490.31, is repealed.
History:
2003, Act 215, Eff. June 1, 2004
2023 Michigan Compiled Laws › Chapter 491 - Cooperative Savings Associations › Repealed - Act 206 of 1877 - Cooperative Savings Associations (491.1 - 491.21)

COOPERATIVE SAVINGS ASSOCIATIONS
Act 206 of 1877
491.1-491.21 Repealed. 1964, Act 156, Eff. Jan. 1, 1965;—1964, Act 256, Eff. Aug. 28, 1964.
2023 Michigan Compiled Laws › Chapter 491 - Cooperative Savings Associations › Repealed - Act 307 of 1980 - Savings and Loan Act of 1980 (491.102 - 491.1202)

SAVINGS AND LOAN ACT OF 1980
Act 307 of 1980
491.102-491.1202 Repealed. 2012, Act 503, Imd. Eff. Dec. 28, 2012.
Compiler's Notes:
Enacting section 1 of Act 503 of 2012 provides:"Enacting section 1. The savings and loan act of 1980, 1980 PA 307, MCL 491.102 to 491.1202, is repealed effective December 31, 2012."For transfer of authority, powers, duties, functions, and responsibility of the financial institutions bureau and the commissioner of the financial institutions bureau to the commissioner of the office of financial and insurance services and the office of financial and insurance services by type III transfer, see E.R.O. No. 2000-2, compiled at MCL 445.2003 of the Michigan compiled laws.
2023 Michigan Compiled Laws › Chapter 492 - Installment Sales of Motor Vehicles › Act 229 of 2009 - Guaranteed Asset Protection Waiver Act (492.21 - 492.33) › Section 492.21 - Short Title.

492.21 Short title.
Sec. 1.
This act shall be known and may be cited as the "guaranteed asset protection waiver act".
History:
2009, Act 229, Eff. July 7, 2010
2023 Michigan Compiled Laws › Chapter 492 - Installment Sales of Motor Vehicles › Act 229 of 2009 - Guaranteed Asset Protection Waiver Act (492.21 - 492.33) › Section 492.27 - Disclosure; Contents.

492.27 Disclosure; contents.
Sec. 7.
A guaranteed asset protection waiver must disclose, in writing and in clear, understandable language that is easy to read, all of the following, if applicable:
(a) The name and address of the initial creditor and the borrower at the time of sale, and the identity of any administrator if different from the creditor.
(b) The purchase price and the terms of the guaranteed asset protection waiver, including, but not limited to, the requirements for protection, conditions, or exclusions associated with the guaranteed asset protection waiver.
(c) That the borrower may cancel the guaranteed asset protection waiver during the free look period specified in the waiver; and is entitled to a full refund of the purchase price if the borrower has not received benefits under the waiver, or to any full or partial refund included in the waiver if the borrower has received benefits under the waiver.
(d) The procedure the borrower must follow, if any, to obtain guaranteed asset protection waiver benefits under the terms and conditions of the waiver, and a telephone number and address where the borrower may apply for waiver benefits.
(e) Whether or not the borrower may cancel the guaranteed asset protection waiver after the free look period; if so, the conditions under which the borrower may cancel or terminate that waiver; and the procedure the borrower must follow to request any refund due.
(f) That in order to receive any refund due for the cancellation of the guaranteed asset protection waiver, or the early termination of the finance agreement after the free look period, the borrower must provide a written request for a refund to the creditor, administrator, or other party named in the waiver within 90 days after the cancellation of the guaranteed asset protection waiver or the occurrence of the event terminating the finance agreement.
(g) The methodology for calculating any refund of the unearned purchase price of a guaranteed asset protection waiver due to a borrower for the cancellation of a guaranteed asset protection waiver or early termination of the finance agreement.
(h) That a creditor may not condition an extension of credit, the terms of that credit, or the terms of the related finance agreement on the purchase of a guaranteed asset protection waiver.
History:
2009, Act 229, Eff. July 7, 2010
2023 Michigan Compiled Laws › Chapter 492 - Installment Sales of Motor Vehicles › Act 229 of 2009 - Guaranteed Asset Protection Waiver Act (492.21 - 492.33) › Section 492.29 - Cancellation.

492.29 Cancellation.
Sec. 9.
All of the following apply concerning the cancellation of guaranteed asset protection waivers:
(a) A creditor may offer a guaranteed asset protection waiver agreement that is cancelable or not cancelable after the free look period. A guaranteed asset protection waiver must provide that if a borrower cancels the waiver during the free look period, the borrower is entitled to a full refund of the purchase price if the borrower has not received benefits under the waiver, or to any full or partial refund included in the waiver if the borrower has received benefits under the waiver.
(b) If a borrower cancels the guaranteed asset protection waiver, or the finance agreement is terminated, after the free look period, the borrower may be entitled to a refund of any unearned portion of the purchase price of the waiver unless the waiver provides otherwise. In order to receive a refund, the borrower, must provide a written request to the creditor, administrator, or other party, within 90 days after the cancellation of the waiver or the occurrence of the event terminating the finance agreement, that meets any applicable notice provisions of the waiver.
(c) If the cancellation of a guaranteed asset protection waiver occurs as a result of a default under a finance agreement, the repossession of the motor vehicle associated with the finance agreement, or any other termination of the finance agreement, any refund due may be paid directly to the creditor or administrator and applied as set forth in subdivision (d).
(d) A creditor may apply any cancellation refund received under subdivision (a), (b), or (c) as a reduction of the amount owed under the finance agreement, unless the borrower can show that the finance agreement has been paid in full.
History:
2009, Act 229, Eff. July 7, 2010
2023 Michigan Compiled Laws › Chapter 492 - Installment Sales of Motor Vehicles › Act 229 of 2009 - Guaranteed Asset Protection Waiver Act (492.21 - 492.33) › Section 492.31 - Commissioner; Enforcement of Act; Notice and Hearing; Actions.

492.31 Commissioner; enforcement of act; notice and hearing; actions.
Sec. 11.
The commissioner may take any action he or she determines is necessary or appropriate to enforce this act and to protect guaranteed asset protection waiver holders in this state, including, but not limited to, doing any of the following after proper notice and an opportunity for hearing under the administrative procedures act of 1969, 1969 PA 306, MCL 24.201 to 24.328:
(a) Order a creditor, administrator, or any other person that does not comply with this act to cease and desist from further guaranteed asset protection waiver-related operations that violate this act.
(b) Assess an administrative fine of not more than $500.00 against a person for a violation of this act. However, the commissioner may not assess administrative fines under this act against any person that in the aggregate are more than $20,000.00 for multiple violations of a similar nature. For purposes of this subdivision, "similar nature" means that the violations consist of the same or a similar course of conduct, action, or practice, regardless of the number of times that action, conduct, or practice occurs.
History:
2009, Act 229, Eff. July 7, 2010
2023 Michigan Compiled Laws › Chapter 492 - Installment Sales of Motor Vehicles › Act 229 of 2009 - Guaranteed Asset Protection Waiver Act (492.21 - 492.33) › Section 492.33 - Applicability; Exceptions.

492.33 Applicability; exceptions.
Sec. 13.
(1) This act does not apply to any of the following:
(a) An insurance policy offered by an insurer under the insurance code of 1956, 1956 PA 218, MCL 500.100 to 500.8302.
(b) An offer of a debt cancellation or debt suspension contract that complies with 12 CFR part 37, 12 CFR part 721, or other federal law.
(2) Section 5(1)(d) does not apply to a guaranteed asset protection waiver offered in connection with a lease or retail installment sale associated with a commercial transaction.
History:
2009, Act 229, Eff. July 7, 2010
2023 Michigan Compiled Laws › Chapter 492 - Installment Sales of Motor Vehicles › Act 27 of 1950 (Ex. Sess.) - Motor Vehicle Sales Finance Act (492.101 - 492.141) › Section 492.101 - Motor Vehicle Sales Finance Act; Short Title.

492.101 Motor vehicle sales finance act; short title.
Sec. 1.
This act shall be known and may be cited as the "Motor vehicle sales finance act."
History:
1950, Ex. Sess., Act 27, Eff. Mar. 31, 1951
Compiler's Notes:
For transfer of authority, powers, duties, functions, and responsibility of the financial institutions bureau and the commissioner of the financial institutions bureau to the commissioner of the office of financial and insurance services and the office of financial and insurance services by type III transfer, see E.R.O. No. 2000-2, compiled at MCL 445.2003 of the Michigan compiled laws.
2023 Michigan Compiled Laws › Chapter 492 - Installment Sales of Motor Vehicles › Act 27 of 1950 (Ex. Sess.) - Motor Vehicle Sales Finance Act (492.101 - 492.141) › Section 492.103 - Installment Seller of Motor Vehicles; Sales Finance Company; License Required.

492.103 Installment seller of motor vehicles; sales finance company; license required.
Sec. 3.
Except for a person licensed under the consumer financial services act, a person shall not engage in this state as a principal, employee, agent, or broker in either of the following unless that person is licensed as provided in this act:
(a) The business of an installment seller of motor vehicles under installment sale contracts.
(b) The business of a sales finance company.
History:
1950, Ex. Sess., Act 27, Eff. Mar. 31, 1951 ;-- Am. 1988, Act 163, Eff. Sept. 1, 1988
2023 Michigan Compiled Laws › Chapter 492 - Installment Sales of Motor Vehicles › Act 27 of 1950 (Ex. Sess.) - Motor Vehicle Sales Finance Act (492.101 - 492.141) › Section 492.104 - License; Application; Form; Contents; Appointment of Statutory Agent; Service of Process; Separate Application for Each Place of Business; Renewal.

492.104 License; application; form; contents; appointment of statutory agent; service of process; separate application for each place of business; renewal.
Sec. 4.
(1) A person shall file an application for a new or renewal license under this act in writing, under oath, and in the form prescribed by the administrator.
(2) A complete license application shall contain all of the following:
(a) The name under which the business is conducted.
(b) The address of the principal place of business and of each other place of business, if more than 1.
(c) One of the following:
(i) The date and place of incorporation and the name and address of all officers and directors if the applicant is a corporation.
(ii) The name and residence address of the owner if the applicant is an individual owner or operating under an assumed name.
(iii) The name and residence address of all owners, partners, or members if the applicant is a partnership, association, or limited liability company.
(d) An appointment under subsection (3), if applicable.
(e) The bond required under section 5, if applicable.
(f) The license fee or fees required under section 5.
(g) Any other information the administrator requires.
(3) If a license applicant does not maintain an office in this state and does not have a resident agent in this state, the application shall include a written appointment of a statutory agent upon whom process, notice, or demand may be served. The statutory agent shall be an individual residing in this state or a corporation whose principal place of business is located in this state. If the identity or address of the statutory agent changes while the application is pending or after a license is issued, the applicant or licensee shall within 3 days file with the department a written appointment of the new statutory agent or written notice of the new address, as applicable.
(4) A new or renewal license applicant shall submit a separate application, on the prescribed form, for each place of business conducted by or to be established by the licensee within this state.
(5) An applicant for a renewal license shall submit the application for renewal of the license on or before the June 16 preceding the renewal period.
History:
1950, Ex. Sess., Act 27, Eff. Mar. 31, 1951 ;-- Am. 2004, Act 283, Imd. Eff. July 23, 2004