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Total Assets Minimum Amount
of Bond
or Letter of Credit
$0 to $4,000,000 $250,000 or
coverage equal
to the credit
union’s total
assets, whichever
is less.
$4,000,001 to $50,000,000 $100,000 plus
$50,000 for each
$1,000,000 of total
assets or fraction
of total assets
over $1,000,000.
$50,000,001 to $500,000,000 $2,550,000 plus
$10,000 for each
$1,000,000 of total
assets or fraction
of total assets
over
$50,000,000,
with a maximum
of $5,000,000.
More than $500,000,000 1% of the credit
union’s total
assets rounded
to the nearest
$100,000,000,
with a maximum
of $9,000,000.
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(2) A fidelity bond or letter of credit must include a faithful performance clause to cover the chief financial officer. The director must approve the fidelity bond or letter of credit and may require additional amounts as the director considers necessary.
(3) Claims upon a fidelity bond or letter of credit that exceed one percent of the credit union’s reserves and undivided earnings or that are related to the errors or omissions of an officer, director or committee member must be reported to the director. [1975 c.652 §15; 1987 c.286 §2; 1991 c.331 §124; 1995 c.319 §1; 1997 c.249 §216; 1997 c.631 §542; 1997 c.832 §2; 1999 c.185 §10; 2001 c.308 §1; 2009 c.234 §2; 2013 c.480 §1]