State Codes and Statutes

Statutes > Utah > Title-07 > Chapter-07 > 7-7-22

7-7-22. Savings accounts -- Liabilities -- Opening -- Relationship betweenassociation and account holder -- Earnings -- Preferences -- Types of accounts.
The savings liability of an association is not limited, but shall consist only of the aggregateamount of its savings accounts, plus earnings credited to those accounts, less redemption andwithdrawal payments. Except as limited by the board of directors from time to time, an accountholder may make additions to his savings accounts in such amounts and at such times as he mayelect. Savings accounts may be opened for cash or property in which the association is authorizedto invest, and, in the absence of fraud in a transaction, the value of the property taken in paymenttherefor as determined by the board of directors shall be conclusive. The relationship between anassociation and its account holders is that of debtor and creditor. Except as may be provided inthe rules of the commissioner governing conversions to capital stock associations, no member of amutual association shall be responsible for any losses which its savings liability is not sufficient tosatisfy, and no savings account shall be subject to assessment, nor shall the holder thereof beliable for any unpaid installments on his account. Earnings on savings accounts shall be fixed orotherwise declared in accordance with the provisions of this chapter. Except as provided inSection 7-7-24, no association shall prefer one of its savings accounts in an account classificationover any other savings account in the same classification as to the right to participate in earnings.No preference between savings account members in a mutual association shall be created withrespect to the distribution of assets upon voluntary or involuntary liquidation, dissolution, orwinding up of such association. An association may issue, sell, negotiate, and advertise forissuance or sale, any type of savings account not prohibited by or inconsistent with the provisionsof this chapter or other applicable law.

Enacted by Chapter 16, 1981 General Session