17-2245.   Credit union may participate in loan with another creditunion, financial organization or national cooperative bank.(a) A credit union may agree to participate in the risk liability and incomeof loans to credit union members jointly with other credit unions, creditunion organizations, financial institutions or financial organizations.Such participation loans shall be in accordance with written policiesof the board of directors. A credit union which originates a loan for whichparticipation agreements are made in accordance with this subsection shallretain an interest of at least 10% of the face amount of the loan.

      (b)   A credit union may agree to participate in the risk liability andincome of loans or guarantees with the national cooperative bank establishedpursuant to the act of congress known as the national consumer cooperativebank act of 1978, and any amendments thereto. Such loans may be made toany eligible borrower under such act of congress and may be made jointlywith any financial institution, agency, instrumentality or foundation authorizedto do so under such act.

      History:   L. 1974, ch. 93, § 1; L. 1982, ch. 103, § 6;L. 1987, ch. 85, § 3; April 2.