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Organization and Operations of Federal Credit Unions

NCUA · final-rule · Published 1998-12-23 · Effective 1999-01-01 · 63 FR 70997

Document

Document number
98-33946
Federal Register citation
63 FR 70997
CFR reference
12 CFR 701
Type
Rule
Action
Final rule.
Category
final-rule
Agency
US National Credit Union Administration
Publication date
1998-12-23
Effective date
1999-01-01

Abstract

The final rule clarifies certain provisions in NCUA's regulation that sets forth the requirements for the purchase, sale and pledge of eligible obligations. Currently, the regulation provides that a federal credit union (FCU) may purchase real estate loans from any source if it is granting real estate loans on an ongoing basis and the purchase will facilitate the packaging of a pool of loans for sale on the secondary market. The final rule clarifies that a pool must include a substantial portion of the FCU's members' loans and must be sold promptly. Further, the final rule explains when the purchase of a member's loan is not the purchase of an eligible obligation, but rather the making of a direct loan.

Source

Authoritative
Federal Register document
Machine
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