OAR 441-720-0220
Investments in Investment and Borrowing Repurchase Agreements, Bankers Acceptances, Participation in Federal Funds Authorized; Adoption of Federal Statutes, Regulations on Such Investments

A state credit union is authorized to invest in investment and borrowing repurchase agreements, bankers acceptances and federal funds permissible for federal credit unions as described in the following provisions.

(1)

A credit union may sell Federal funds to a financial institution defined in ORS 706.008 (Additional definitions for Bank Act), as long as the interest or other consideration received from the financial institution is at the market rate for Federal funds transactions.

(2)

A credit union may enter into an investment repurchase transaction so long as:

(a)

Any securities the credit union receives are permissible investments for federal credit unions;

(b)

The credit union, or its agent, either:

(A)

Takes physical possession or control of the repurchase securities; or

(B)

Is recorded as owner of them through the Federal Reserve Book Entry Securities Transfer System.

(c)

The credit union, or its agent, receives a daily assessment of their market value, including accrued interest;

(d)

The credit union maintains adequate margins that reflect a risk assessment of the securities and the term of the transaction; and

(e)

The credit union has entered into signed contracts with all approved counterparties.

(3)

A credit union may enter into a borrowing repurchase transaction so long as:

(a)

The transaction meets the requirements of section (2) of this rule;

(b)

Any cash the credit union receives is subject to a borrowing limit of 50% of paid-in and unimpaired capital and surplus;

(c)

Any investments the credit union purchases with that cash are permissible for credit unions; and

(d)

The investments purchased with that cash mature no later than the maturity of the borrowing repurchase transaction.

(4)

A credit union may invest in banker’s acceptances issued by a financial institution defined in ORS 706.008 (Additional definitions for Bank Act).

Source: Rule 441-720-0220 — Investments in Investment and Borrowing Repurchase Agreements, Bankers Acceptances, Participation in Federal Funds Authorized; Adoption of Federal Statutes, Regulations on Such Investments, https://secure.­sos.­state.­or.­us/oard/view.­action?ruleNumber=441-720-0220.

441‑720‑0100
Scope and Application 441‑720‑0110
Definitions 441‑720‑0120
Risk Weights and Risk Categories 441‑720‑0130
Minimum Capital Ratio 441‑720‑0140
Procedures, Risk-Weight Ratios and Computations 441‑720‑0150
Required Reserve Transfers 441‑720‑0160
Fidelity Bond Coverage for Corporate Credit Union 441‑720‑0200
Purpose, Authority for Federal Tie-In Rules 441‑720‑0210
Adoption of Federal Regulations Concerning Purchase, Sale and Pledge of Eligible Obligations 441‑720‑0215
Procedures Required Prior to Exercise of Certain Investment Powers 441‑720‑0220
Investments in Investment and Borrowing Repurchase Agreements, Bankers Acceptances, Participation in Federal Funds Authorized 441‑720‑0225
Adoption of Federal Statutes, Rulings, Policy Regarding Mortgage Assumptions 441‑720‑0230
Adoption of Federal Statutes and Regulations Concerning Loan Participations 441‑720‑0300
Definitions 441‑720‑0305
Member Business Loan 441‑720‑0310
Implementation of Member Business Loan Program 441‑720‑0315
Member Business Loan Policies and Procedures 441‑720‑0320
Collateral and Security Requirements 441‑720‑0325
Recordkeeping Requirements 441‑720‑0330
Aggregate Loans to a Member or Associated Members 441‑720‑0335
Calculation of the Aggregate 15% Limit 441‑720‑0340
Aggregate Member Business Loan Limit for a Credit Union 441‑720‑0345
Exceptions to the Aggregate Member Business Loan Limit for a Credit Union 441‑720‑0350
Exception Procedure 441‑720‑0355
Construction and Development Lending 441‑720‑0360
Classification of Member Business Loans to Reserve for Potential Losses 441‑720‑0365
Minimum Reserves for Potential Loan Losses 441‑720‑0370
Prohibited Member Business Loans 441‑720‑0375
Available Waivers for Specific Loan Types 441‑720‑0380
Waiver Procedure
Last Updated

Jun. 8, 2021

Rule 441-720-0220’s source at or​.us