Lien and right of set off of credit union.

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  • (1) A credit union shall have a lien and right of set off on a member's individual, joint, multiple party, or transaction accounts, including any accumulated dividend or interest, for any sum due the credit union from the member.
  • (2) All funds in the account at any time are subject to the lien and right of set off.
  • (3) A security interest in the funds shall be perfected by restricting withdrawals of the funds.
  • (4) A lien under this section does not apply if:
    • (a) the application of the lien will cause a loss of a tax incentive for the customer or member; or
    • (b) is prohibited by law.




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