reglab/statecodes huggingface dataset:
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 25 - South Carolina Banking And Branching Efficiency Act Of 1996 › Section 34-25-250. Application.

Any out-of-state bank that will be the resulting bank pursuant to an interstate merger transaction involving a South Carolina state bank shall notify the board of the proposed merger not later than the date on which it files an application for an interstate merger transaction with the responsible federal bank supervisory agency, and shall submit a copy of that application to the board and pay the filing fee, if any, required by the board. Any South Carolina state bank which is a party to such interstate merger transaction shall comply with the South Carolina Business Corporation Act of 1988, and with other applicable state and federal laws. Any out-of-state bank which shall be the resulting bank in such an interstate merger transaction shall provide satisfactory evidence to the board of compliance with applicable requirements of Section 33-15-101.
HISTORY: 1996 Act No. 310, Section 2, eff July 1, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 25 - South Carolina Banking And Branching Efficiency Act Of 1996 › Section 34-25-260. Findings of board.

An interstate merger transaction prior to June 1, 1997, involving a South Carolina bank shall not be consummated, and any out-of-state bank resulting from such a merger shall not operate any branch in South Carolina, unless the board first (i) finds that the laws of the home state of each out-of-state bank involved in the interstate merger transaction permits South Carolina state banks, under substantially the same terms and conditions as are set forth in this article, to acquire banks and establish and maintain branches in that state by means of interstate merger transactions, (ii) concludes that the resulting out-of-state bank has complied with all applicable requirements of South Carolina law and has agreed in writing to comply with the laws of this State applicable to its operation of branches in South Carolina, and (iii) certifies to the federal bank supervisory agency having authority to approve the interstate merger transaction that the conditions and requirements of this article have been met.
HISTORY: 1996 Act No. 310, Section 2, eff July 1, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 25 - South Carolina Banking And Branching Efficiency Act Of 1996 › Section 34-25-270. Applicable law.

(a) An out-of-state state bank which establishes and maintains one or more branches in South Carolina under this article may conduct any activities at such branch or branches that are authorized under the laws of this State for South Carolina state banks.
(b) A South Carolina state bank may conduct any activities at any branch outside South Carolina that are permissible for a bank chartered by the host state where the branch is located.
(c) An out-of-state bank that has established or acquired a branch in South Carolina under this article may establish or acquire additional branches in South Carolina to the same extent that any South Carolina bank may establish or acquire a branch in South Carolina under state law.
HISTORY: 1996 Act No. 310, Section 2, eff July 1, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 25 - South Carolina Banking And Branching Efficiency Act Of 1996 › Section 34-25-290. Enforcement.

If the board determines that a branch maintained by an out-of-state state bank in this State is being operated in violation of any provision of the laws of this State, or that such branch is being operated in an unsafe and unsound manner, the board shall have the authority to take all such enforcement actions as it would be empowered to take if the branch were a South Carolina state bank; provided that the board promptly shall give notice to the home state regulator of each enforcement action taken against an out-of-state state bank and, to the extent practicable, shall consult and cooperate with the home state regulator in pursuing and resolving the enforcement action.
HISTORY: 1996 Act No. 310, Section 2, eff July 1, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 25 - South Carolina Banking And Branching Efficiency Act Of 1996 › Section 34-25-300. Promulgation of regulations.

The board may promulgate such regulations as it determines to be necessary or appropriate in order to implement the provisions of this article.
HISTORY: 1996 Act No. 310, Section 2, eff July 1, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 25 - South Carolina Banking And Branching Efficiency Act Of 1996 › Section 34-25-310. Notice of transaction.

Each out-of-state state bank that has established and maintains a branch in this State pursuant to this article, shall give at least thirty days' prior written notice (or, in the case of an emergency transaction, such shorter notice as is consistent with applicable state or federal law) to the board of any merger, consolidation, or other transaction that would cause a change of control with respect to such bank or any bank holding company that controls such bank, with the result that an application would be required to be filed pursuant to the federal Change in Bank Control Act of 1978, as amended, or the federal Bank Holding Company Act of 1956, as amended, or any successor statutes thereto.
HISTORY: 1996 Act No. 310, Section 2, eff July 1, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-200. Responsibility of Board of Financial Institutions.

The Board of Financial Institutions shall be responsible for the supervision and regulation of credit unions incorporated under this chapter.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-210. Discretionary powers of board.

(1) The board may establish procedures to implement any provision of this chapter and to define any term not defined in the chapter. Such procedures shall serve to foster and maintain an effective level of credit union services and the security of member accounts. The provisions of the State Administrative Procedures Act shall apply to all regulations of the board under this chapter.
(2) The board may restrict the withdrawal of shares or deposit accounts or both from any credit union having determined circumstances exist which make such restriction necessary for the proper protection of shareholders or depositors.
(3) The board may issue cease and desist orders having determined from competent and substantial evidence that a credit union is engaged or has engaged, or when the board has reasonable cause to believe the credit union is about to engage, in an unsafe or unsound practice, or is violating or has violated or the board has reasonable cause to believe is about to violate a material provision of any law, regulation, or any condition imposed in writing by the board or any written agreement made with the board.
(4) The board may suspend from office and prohibit from further participation in any manner in the conduct of the affairs of a credit union any director, officer, or committee member who has committed any violation of a law, regulation, or of a cease and desist order or who has engaged or participated in any unsafe or unsound practice in connection with the credit union or who has committed or engaged in any act, omission, or practice which constitutes a breach of that person's fiduciary duty as such director, officer, or committee member, when the board has determined that such action or actions have resulted or will result in substantial financial loss or other damage that seriously prejudices the interests of the members.
(5) By issuing operational instructions, the board may authorize state credit unions to engage in activities approved for federally-chartered credit unions.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-230. Appointment of conservator of credit union assets by board or board designee; remedy of credit union to regain possession and control of assets.

(1) The board may, at the board's sole discretion and without advance notice, self appoint or appoint an insuring organization or any other person as conservator to immediately take possession and control of the business and assets of any credit union in any case in which the board determines that such action is necessary to conserve the assets of the credit union or to protect the interests of the members of such credit union.
(2) Not later than fifteen days after the date on which the board or a designee takes possession and control of the business and assets of a credit union pursuant to subsection (1), such credit union may apply to the appropriate court for the judicial circuit in which the principal office of credit union is located for an order requiring the board to show cause why the board or the designee should not be enjoined from continuing such possession and control.
(3) Except as provided in subsection (2), the board or a designee may maintain possession and control of the business and assets of such credit union and may operate such credit union until such time:
(a) as the board shall permit such credit union to continue business subject to such terms and conditions as the board imposes; or
(b) as such credit union is merged or liquidated.
(4) The board may appoint such agents as considered necessary in order to assist in carrying out the duties of the conservator under this section.
(5) All expenses incurred by the board in exercising the authority of that office under this section with respect to any credit union shall be paid out of the assets of such credit union, except that the board may waive the charging of all or a part of such expenses.
(6) The authority granted by this section is in addition to all other authority granted to the board under this chapter.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-240. Duty of board to examine credit union; disclosure requirements of credit union officers and agents.

(1) The board at periodic intervals not to exceed twenty-four months shall examine or cause to be examined each credit union. A credit union and any of its officers and agents shall be required to give the board or the board's representatives full access to all books, papers, securities, records, and other sources of information under their control.
(2) A report of such examination shall be forwarded to the chairman of the board after completion. The report shall contain comments relative to the management of the affairs of the credit union and the general condition of its assets. Within sixty days after the receipt of such report, the directors and committeemen shall meet to consider matters contained in the report.
(3) In lieu of making an examination of a credit union, the commissioner may accept an examination or audit report of the condition of the credit union made by the National Credit Union Administration.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-250. Duty of credit union to maintain books, records, accounting systems, and procedures.

(1) A credit union shall maintain all books, records, accounting systems, and procedures in accordance with such regulations as the board from time to time prescribes.
(2) A credit union is not liable for destroying records after the expiration of the record retention time prescribed by regulation, except for any records involved in an official investigation or examination about which the credit union has received notice.
(3) Reproduction of any credit union records shall be admissible as evidence of transactions with the credit union as provided in Section 34-3-540.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-260. Form of credit union annual report to board.

(1) Credit unions shall report to the board annually on forms approved by the board for that purpose. Additional reports may be required.
(2) A charge shall be levied, as prescribed by regulation, for each day a credit union fails to provide a required report, unless it is excused for cause.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-270. Fees to defray administration, supervision, examination, and other expenses of annual examination of credit union.

(1) The board shall establish annual supervisory fees to be paid by credit unions. Such fees shall defray, as far as practicable, the administrative, supervisory, examining, and other expenses of the annual examination.
(2) Any such fees established shall be in accordance with a graduated scale on the basis of assets and shall be payable annually.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-280. Conflict of interest; prohibitions respecting board or commissioner's office employees and credit unions.

(1) No employee of the South Carolina Board of Financial Institutions or the commissioner's office shall be an officer, director, or attorney for any credit union incorporated under this chapter, or, except as provided in subsection (2), receive, directly or indirectly, any payment or gratuity from any such credit union.
(2) Subsection (1) does not prohibit any such person from being a shareholder or depositor in a credit union incorporated under this chapter on the same terms as are available to other members.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-300. Application for credit union charter of incorporation; articles of incorporation and bylaws.

(1) Any ten or more residents of this State, of legal age, who share one or more common bonds referred to in Section 34-26-500(2) with one thousand or more residents of this State may apply for a credit union charter by complying with this section.
(2) The incorporators shall prepare, adopt, and execute in duplicate articles of incorporation and agree to the terms thereof. The articles shall state:
(a) The credit union's name, and the location of the proposed credit union's principal place of business;
(b) that the existence of the credit union shall be perpetual; and
(c) the names and addresses of the incorporators to the articles of incorporation.
(3) The incorporators shall prepare, adopt, and execute in duplicate bylaws consistent with this chapter for the general government of the credit union.
(4) The incorporators shall select at least five persons who are eligible for membership and who agree to become members and serve on the board of directors, and at least three other persons who are eligible for membership and who agree to become members and serve on the supervisory committee. The persons selected to serve on the board of directors and supervisory committee shall execute an agreement to serve in these capacities until the first annual meeting or until the election of their respective successors, whichever is later.
(5) The incorporators shall forward to the commissioner the incorporation fee, if any, the duplicate articles of incorporation and bylaws and the agreements to serve.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996; 1999 Act No. 49, Section 1, eff June 1, 1999.
Effect of Amendment
The 1999 amendment, in (1), changed "a common bond" to "one or more common bonds".
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-310. Consideration of application; time period for approval or denial; factors considered.

(1) The board shall act upon the application within ninety days. The application shall be approved if the articles and bylaws are in conformity with this chapter and the board is satisfied that:
(a) the characteristics of the membership set forth in the application for charter are favorable to the economic viability of the proposed credit union; and
(b) the reputation and character of the initial board of directors and supervisory committee provide assurance that the credit union's affairs will be properly administered.
(2) If a certificate of incorporation is issued, the commissioner shall return a copy of the bylaws and one of the duplicate originals of the articles of incorporation to the incorporators or their representatives. The original articles and bylaws shall be preserved in the permanent files of the credit union.
(3) If an application is denied, the board shall notify the incorporators and set forth reasons for the denial.
(4) The incorporators may not transact any credit union business until a certificate of incorporation has been received.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996; 1999 Act No. 49, Section 2, eff June 1, 1999.
Effect of Amendment
The 1999 amendment, in (1)(a), substituted "membership set forth in the application for charter" for a reference to a common bond.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-320. Model articles of incorporation to facilitate organization of credit unions.

In order to simplify the organization of credit unions, the commissioner shall cause to be prepared model articles of incorporation and bylaws, consistent with this chapter, which may be used by credit union incorporators for their guidance. Such articles of incorporation and bylaws shall be available to persons desiring to organize a credit union.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-330. Amendment of articles of incorporation and bylaws.

(1) The articles of incorporation and the bylaws may be amended as provided in the articles and bylaws, respectively. Amendments to the bylaws shall be submitted to the commissioner for approval.
(2) Amendments shall become effective upon approval in writing by the commissioner.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-340. Name requirements of credit unions.

(1) The name of every credit union organized under this chapter shall include the phrase "credit union". No credit union may adopt a name either identical to the name of any other credit union doing business in this State or so similar to the name of any other credit union doing business in this State as to be misleading or to cause confusion.
(2) No person, other than a credit union incorporated under this chapter, the Federal Credit Union Act, or a credit union authorized to do business in this State under Section 34-26-370, an association of credit unions, or an organization, corporation, or association, whose membership or ownership is primarily limited to credit unions or credit union organizations, may use a name or title containing the phrase "credit union" or any derivation thereof, or represent itself as a credit union or conduct business as a credit union.
(3) The board may petition a court of competent jurisdiction to enjoin a violation of this section.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-350. Principal place of business of credit union; other locations.

(1) A credit union may change its principal place of business within this State upon approval of the commissioner.
(2) A credit union may maintain and dispose of other service facilities, including automated terminals, at locations other than its principal office upon approval of the commissioner. The maintenance of such facilities must be reasonably necessary to furnish service to its members or potential members.
(3) A credit union may join with one or more other credit unions or other financial organizations in the operation of automated terminals or other service facilities.
(4) A credit union may establish and close branches and purchase property for future expansion with approval of the Board of Financial Institutions.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996; 2007 Act No. 51, Section 2, eff upon approval (became law without the Governor's signature on June 7, 2007); 2021 Act No. 30 (S.467), Section 14, eff May 6, 2021.
Effect of Amendment
The 2007 amendment, in subsection (4), substituted "Board of Financial Institutions" for "board".
2021 Act No. 30, Section 14, in (2), in the second sentence, added "or potential members" at the end.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-370. Conduct of business in state by lawful out-of-state credit union; requirements of board approval.

(1) A credit union organized under the laws of another state or territory of the United States may conduct business as a credit union in this State with the approval of the board, provided credit unions incorporated under this chapter are allowed to do business in the other state under conditions similar to these provisions. Before granting the approval, the board must find that the out-of-state credit union:
(a) is a credit union organized under laws similar to this chapter;
(b) is financially solvent;
(c) has account insurance comparable to that required for credit unions incorporated under this chapter;
(d) is examined and supervised by a regulatory agency of the state in which it is organized or the federal government; and
(e) needs to conduct business in this State to adequately serve its members in this State.
(2) No out-of-state credit union may conduct business in this State unless it:
(a) charges interest in compliance with the provisions of Section 34-26-810 when making loans in this State;
(b) complies with the consumer protection provided by law and provisions and regulations applicable to credit unions incorporated under this chapter;
(c) agrees to furnish the commissioner a copy of the report of examination of its regulatory agency and if necessary to submit to an examination by the commissioner; and
(d) designates and maintains an agent for the service of process in this State.
(3) The board may revoke the approval of a credit union to conduct business in this State if the board finds that:
(a) the credit union no longer meets the requirements of subsection (1);
(b) the credit union has violated the laws of this State or regulations or orders issued by the board;
(c) the credit union has engaged in a pattern of unsafe or unsound credit union practices; or
(d) continued operation by the credit union is likely to have a substantially adverse impact on the financial, economic, or other interests of residents of this State.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-380. Conduct of business out-of-state by credit union; necessity of board approval.

A credit union incorporated under this chapter may conduct business outside of this State, in other states, or territories where it is permitted to conduct business as a credit union. However, a credit union may not operate an out-of-state branch without first obtaining approval of the board.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-400. Particular powers of cooperative credit union; loans to other credit unions.

A cooperative credit union may receive the savings of its members in payment for shares, may lend to its members at reasonable rates of interest, not to exceed the rate authorized by law, or may invest, as provided by law, the funds so accumulated, may borrow from banks, savings and loan associations, trust companies, or other credit unions, or persons, and loan such money to its members, and may undertake such other activities authorized by law, provided that any credit union may loan money to any other credit union at such rate as the parties to the loan may agree.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-410. Additional powers of credit union.

In addition to the powers mentioned elsewhere in this chapter, a credit union may:
(1) enter into contracts of any nature;
(2) sue and be sued;
(3) adopt, use, and display a corporate seal;
(4) acquire, lease, hold, assign, pledge, hypothecate, sell, discount, or otherwise dispose of property or assets, either in whole or part, necessary or incidental to its operations;
(5) borrow from any source, provided that a credit union must receive the commissioner's approval to borrow in excess of an aggregate of twenty-five percent of its capital and deposits;
(6) purchase the assets of another credit union upon approval of the commissioner;
(7) offer related financial services including, but not limited to, electronic fund transfers, safe deposit boxes, leasing, and correspondent arrangements with other financial institutions;
(8) hold membership in other credit unions organized under this or other provisions of law, and in associations and organizations controlled by or fostering the interests of credit unions, including a central liquidity facility organized under state or federal law;
(9) act as fiscal agent for and receive payments on share and deposit accounts from a governmental unit;
(10) make contributions to any nonprofit civic, charitable, or service organizations;
(11) purchase, sell, and hold investment securities which are marketable obligations in the form of bonds, notes, or debentures which are salable under ordinary circumstances with reasonable promptness at a fair value; and
(12) sell, to persons in the field of membership, negotiable checks, including traveler's checks, money orders, and other similar money transfer instruments, including international and domestic electronic fund transfers and remittance transfers and cash checks and money orders for persons in the field of membership for a fee.
All investments and related contracts and agreements shall be made in accordance with written investment policies established by the board of directors.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996; 2018 Act No. 186 (S.337), Section 1, eff May 15, 2018.
Effect of Amendment
2018 Act No. 186, Section 1, added (12), providing that a credit union may sell certain financial instruments to persons in the field of membership.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-420. Powers incidental to purpose of credit union; limitations.

A credit union may exercise incidental powers to enable it to carry out its purposes. However, the powers granted by state law or regulation to a state-chartered credit union shall not exceed those provided by federal law to a federally chartered credit union.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996; 2007 Act No. 51, Section 3, eff upon approval (became law without the Governor's signature on June 7, 2007).
Effect of Amendment
The 2007 amendment at the end of the second sentence substituted "to a federally chartered credit union" for "or regulation".
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-510. Organizations eligible for credit union membership.

Organizations comprised entirely of individuals who are eligible for membership in the credit union may be admitted to membership. Likewise, organizations, one of whose principal functions is to provide services to persons who are eligible for membership in the credit union, may be admitted to membership. Other organizations having a commonality of interest with the credit union may be admitted to membership with the approval of the commissioner.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-520. Eligibility of other credit unions.

Any credit union organized under this chapter may accept as a member any other credit union organized under this or any other provision of law.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-530. Application for membership; appeal of membership denial.

Persons wishing to join a credit union must do so by written application which shall be acted upon in accordance with credit union procedure. A person denied membership may appeal the denial to the credit union board.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996; 2021 Act No. 30 (S.467), Section 15, eff May 6, 2021.
Effect of Amendment
2021 Act No. 30, Section 15, deleted the first sentence, which related to the board of directors acting upon applications for membership, and in the second sentence, deleted "by a membership officer" following "A person denied membership".
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-540. Retention of membership.

Members who cease to be eligible for membership may be permitted to retain their membership in the credit union, under reasonable standards established by the board of directors.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-550. Member liability for credit union debt.

The members of the credit union shall not be personally or individually liable for the payment of the credit union's debts solely by virtue of holding membership.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-560. Expulsion; request for hearing.

The board of directors may expel a member pursuant to a written policy adopted by it. Any person expelled by the board shall have the right to request a hearing before it to reconsider the expulsion.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-570. Annual and other meetings of credit union membership.

(1) The annual meeting and any special meetings of the members of the credit union shall be held in accordance with the bylaws.
(2) At all such meetings all natural members shall have one vote, irrespective of the member's share holdings. No member may vote by proxy, but a member may vote by absentee ballot, mail, or other method if the bylaws of the credit union so provide. Accounts held by organizations must be considered nonvoting members.
(3) The board of directors may establish a minimum age, not greater than eighteen years of age, as a qualification of eligibility to vote at meetings of the members or to hold office, or both.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-580. Special meetings; grounds and proceedings.

(1) The supervisory committee by a majority vote may call a special meeting of the members to consider any violation of this chapter, the credit union's articles of incorporation or bylaws, or any practice of the credit union deemed by the supervisory committee to be unsafe or unauthorized.
(2) The bylaws may also prescribe the manner in which a special meeting of the members may be called by the members or by the board of directors, or both.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-600. Authority of board of directors.

The board of directors shall have the authority and responsibility for the oversight of the management of the business affairs, funds, and records of the credit union. The authority to direct shall be exercised by the board as a group and not individually.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-605. Membership of board; term of office; board appointment of credit committee.

(1) The board shall consist of an odd number of directors, at least five in number, to be elected by and from the members. Elections shall be held at the annual meeting or in such other manner as the bylaws provide. All members of the board shall hold office for such terms as the bylaws provide, except that terms shall be staggered so that an approximately equal number expire each year.
(2) At an organization meeting to be held within thirty days following each annual election, if it is stipulated in the bylaws, the board of directors shall appoint a credit committee that consists of an odd number, not less than three, whose terms are as the bylaws provide. The bylaws may offer the option of using loan officers instead of having a credit committee.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996; 2007 Act No. 51, Section 5, eff upon approval (became law without the Governor's signature on June 7, 2007).
Effect of Amendment
The 2007 amendment, in subsection (2), in the first sentence added "if it is stipulated in the bylaws," and added the second sentence relating to the option of using loan officers.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-610. Filing of record of names and addresses of membership.

Within thirty days after the organizational meeting, a record of the names and addresses of the members of the board and such other committees and officials, as required, shall be filed with the commissioner.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-615. Board vacancies; credit and supervisory committee vacancies.

The board of directors shall fill any vacancies occurring in the board until successors elected at the next annual election have qualified. The board shall also fill vacancies in the credit and supervisory committees.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-620. Prohibition against compensation for services; accident insurance; expenses.

No officer, director, or committee member, other than an employee, may be compensated for services. However, providing reasonable accident insurance protection while on credit union business shall not be considered compensation. Directors, officers, and committee members may be reimbursed for expenses incidental to the performance of official business of the credit union.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-625. Conflicts of interest; limitation on persons with pecuniary interest.

No director, committee member, officer, agent, or employee of the credit union shall in any manner, directly or indirectly, participate in the deliberation upon or the determination of any question affecting that person's pecuniary interest or the pecuniary interest of any partnership, or association, other than the credit union, in which that person is directly or indirectly interested.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-630. Election of officers.

(1) At their organization meeting held within thirty days following each annual election, the board of directors shall elect from their own number a chairman of the board, one or more vice chairmen, a secretary, and a treasurer. The offices of secretary and treasurer may be combined. They shall also elect any other officers that are specified in the bylaws.
(2) The terms of the board officers shall be one year, or until their successors are chosen and have been duly qualified.
(3) The duties of the officers shall be prescribed in the bylaws.
(4) The board of directors shall appoint a president to act as the chief executive officer of the credit union and who will manage its operations.
(5) Notwithstanding any other provision of this act, a credit union may use any titles it chooses for the officials holding the positions described in this article, as long as such titles are not misleading.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-635. Appointment of executive committee.

The board of directors may appoint from its own number an executive committee, consisting of not less than three directors, which may be authorized to perform specific actions for the board, subject to confirmation.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-640. Meetings of board; frequency of meetings.

(A) The board of directors shall meet as often as necessary and at least quarterly.
(B) Unless the bylaws provide otherwise, one regular meeting each calendar year must be conducted in person. If a quorum is present in person for the annual in person meeting, then the remaining board members may participate using audio or video teleconference methods. The other regular meetings may be conducted using audio or video teleconference methods.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996; 2018 Act No. 186 (S.337), Section 3, eff May 15, 2018; 2021 Act No. 30 (S.467), Section 16, eff May 6, 2021.
Effect of Amendment
2018 Act No. 186, Section 3, inserted the (A) designator and added (B), relating to meeting requirements.
2021 Act No. 30, Section 16, in (A), substituted "as often as necessary and at least quarterly" for "at least monthly and at other times as is necessary".
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-645. Duties of board.

In addition to the duties found elsewhere in this chapter, it also shall be the duty of the board of directors to:
(1) purchase adequate fidelity coverage for all employees and review such coverage annually with notations in board minutes;
(2) employ and establish the compensation of the president, chief executive officer, or manager who shall hire such other persons necessary to carry on the business of the credit union;
(3) approve an annual operating budget for the credit union;
(4) authorize the conveyance of property;
(5) borrow or lend money to carry on the functions of the credit union;
(6) appoint any special committees deemed necessary;
(7) determine the rate of interest which shall be charged on loans;
(8) declare dividends if it first determines that the credit union's financial condition warrants this;
(9) declare an interest refund to borrowers at the close of each accounting period if it first determines that the credit union's financial condition warrants this;
(10) approve amendments to the bylaws;
(11) determine the amount of entrance fees, the maximum and minimum number of shares, the par value of shares of capital stock, which may be held by, and the maximum amount which may be lent to, any one member;
(12) determine the amount of fines and service charges, if any;
(13) establish titles for all elected officers; and
(14) perform such other duties it may deem appropriate and authorize any action not inconsistent with this chapter and not specifically reserved by the bylaws for the members.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996; 2021 Act No. 30 (S.467), Section 17, eff May 6, 2021.
Effect of Amendment
2021 Act No. 30, Section 17, in (13), substituted "elected officers" for "elected officers and senior management positions".
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-650. Credit committee supervision of member loans.

(1) The credit committee shall have the general supervision of all loans to members. It may approve or disapprove loans, subject to written policies established by the board of directors.
(2) The credit committee shall meet as often as the business of the credit union requires to consider applications for loans or review the work of the loan officers. No loan shall be made unless it is approved by a majority of the committee who are present at the meeting at which the application is considered.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-655. Appointment of credit committee loan officers.

The credit committee may appoint one or more loan officers and delegate the power to approve or disapprove loans, subject to such limitations or conditions as it may prescribe.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-660. Purpose and composition of credit union supervisory committee; term of office.

(1) Each credit union shall have a supervisory committee. The supervisory committee shall make or cause to be made an annual audit of the credit union and shall submit a report of that audit to the board of directors and a summary of the report to the members at the next annual meeting of the credit union. The supervisory committee shall make or cause to be made such supplementary audits, examinations, and verifications of members' accounts as it deems necessary or as are required by the board or by the board of directors, and submit a report of these supplementary audits to the board of directors. It may investigate questions regarding the financial affairs of the credit union, and may by unanimous vote suspend any officer of the credit union or any member of the credit committee or the board of directors whom it might believe or suspect is failing to properly handle the credit union's financial affairs.
(2) The supervisory committee shall consist of three members to be elected by and from the membership. Elections shall be held at the annual meeting or in such other manner as the bylaws provide. All members of the supervisory committee shall hold office for such terms as the bylaws provide.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-665. Suspension of member; supervisory committee report to board.

(1) The supervisory committee shall report any suspension of a credit committee member to the board of directors. The board shall meet not less than seven nor more than twenty-one days after such suspension to take appropriate final actions. The suspended person shall have the right to appear and be heard at the meeting.
(2) Upon any suspension of any officer or board member, a membership meeting shall be called not less than seven nor more than twenty-one days after such suspension. At such meeting the suspended person shall have the right to appear and be heard. The suspension shall be acted upon by the members and it shall be affirmed or reversed.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-670. Suspension or removal of supervisory committee member.

Any member of the supervisory committee may be suspended or removed for failure to perform duties in accordance with this chapter, the articles of incorporation, or the bylaws by the board of directors by a two-thirds vote of those present at a meeting. The committee member shall have the appeal rights outlined in Section 34-26-665(2).
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-700. Share accounts; par value; pledged shares.

(1) Share accounts shall be subscribed to and paid for in such manner and amounts as the bylaws prescribe.
(2) The par value of shares shall be as prescribed in the bylaws.
(3) Shares may be pledged as security on any loan.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-710. Dividends.

(1) At such intervals and for such periods as the board of directors may authorize, and after provision for the required reserves, the board of directors may declare dividends to be paid on share accounts from the current earnings. Any dividends paid from the undivided earnings account must have prior approval of the commissioner.
(2) Dividends may be paid at various rates with due regard to the conditions that pertain to each type of account such as minimum balance, notice, and time requirements.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996.
2023 South Carolina Code of Laws › Title 34 - Banking, Financial Institutions and Money › Chapter 26 - South Carolina Credit Union Act › Section 34-26-720. Deposits.

A credit union may accept deposits from members, other credit unions, and governmental units subject to the terms, rates, and conditions established by the board of directors.
HISTORY: 1996 Act No. 371, Section 1, eff May 29, 1996.