                                 CODE OF VIRGINIA

CERTIFICATE OF AUTHORITY (§ 6.2-1321)

A. Before it begins to do any business, an organizing credit union shall apply
for and obtain from the Commission a certificate of authority. An application,
accompanied by a fee of $300, shall be made on a form prescribed by the
Commission. The Commission shall issue such a certificate if it finds that:

   1. The credit union has been formed for no purpose other than the conduct of a
   legitimate credit union business;

   2. The moral fitness, financial responsibility, and other qualifications of
   the proposed officers and directors are such as to command the confidence of
   the members;

   3. The field of membership of the proposed credit union complies with &#xA7;
   6.2-1327, and all other applicable provisions of law have been complied with;

   4. Share accounts in the credit union will be insured by an approved insuring
   organization; and

   5. Establishment of the proposed credit union is economically advisable. In
   reaching a decision on whether the establishment of a credit union is
   economically advisable, the Commission shall give consideration to 12 C.F.R.
   &#xA7; 701.1, which incorporates the National Credit Union
   Administration&#8217;s Interpretive Ruling and Policy Statement 99-1 as it
   pertains to economic advisability.

B. The Commission may issue a certificate on condition that the credit union
shall not begin to do business until it is actually issued insurance of accounts
by an approved insuring organization.

C. A credit union that is not actually issued insurance of accounts by an
approved insuring organization shall not receive funds or sell any shares.

HISTORY: Code 1950, § 6-205; 1952, c. 22; 1966, c. 584, § 6.1-197; 1968, c.
560; 1974, c. 115; 1978, c. 683; 1990, c. 373, § 6.1-225.14; 1999, c. 63; 2010,
c. 794.