State Codes and Statutes
Statutes > Virginia > Title-6-1 > Chapter-4-1 > 6-1-226-6§ 6.1-226.6. (Repealed effective October 1, 2010) Loss reserve contributions.
(1) The corporation shall collect from each credit union accepted formembership, an initial contribution to loss reserve of five dollars or anamount equal to the percentage, fixed in the bylaws of the corporation, ofthe amount of its shares outstanding on the last day of the month precedingthe month in which application is filed, whichever is greater. The percentageso fixed shall not exceed one percent. Whenever the initial contribution toloss reserve and any additions thereto paid by a credit union amount to lessthan the prescribed percentage of its outstanding shares of December 31, ofany year, the corporation shall collect the amount of the deficiency so thatthe total contributions to loss reserve paid by each credit union is neverless than the prescribed percentage of the amount of its outstanding shareson December 31 of any year in which it is a member, except to the extent thatrefunds have been paid under subsection (2) of this section. The amount ofcontribution by a credit union shall be carried on the books of each creditunion as an investment.
(2) Subject to the approval of the Commission contributions to loss reservemay be refunded to existing members whenever in the judgment of the directorsthe financial condition of the corporation warrants such action. Refunds somade shall be on the basis of a uniform percentage of the total contributionsto loss reserve paid by each credit union and shall be credited to itsreserve fund to the extent that such contribution was charged thereto.
(1974, c. 587; 1985, c. 365.)
