The terms and conditions upon which each loan shall be granted and repaid shall include the following—
(a) every application for a loan shall be accompanied by such information about the financial position and income of the borrower as the credit committee or loan officer may require;
(b) a society shall not make a loan to an unincorporated organisation;
(c) where a loan under paragraph (b) is contemplated, it shall be made to one or more of the members or officers of the organisation but the society shall, in any such particular case, require such additional security by way of endorsement of the promissory note as may be deemed desirable;
(d) a loan shall not be made to a member if it would cause the total indebtedness of the member to the credit union to exceed 10% of the paid-up capital and deposits of the credit union;
(e) the total of all loans made to associations, organisations or corporations shall not, at any time, exceed 25% of the total shares and deposits of the credit union;
(f) a loan shall not be made to a company unless such loan is personally guaranteed by shareholders of the company holding a majority of the shares in value and in voting rights provided that such personal guarantee shall not be required where the loan is guaranteed by an organisation or agency of government approved by the Stabilisation Fund Board;
(g) a loan shall not be made by a society to a corporation if a majority of the shares of the corporation are held by the officers and directors of the credit union unless the application has been approved by the Registrar in consultation with the League Board;
(h) all transactions in the loan account of a member shall be shown by the necessary entries in a passbook or statement to be delivered to each member;
(i) where a mortgage on land or buildings is taken as security for a loan, the amount loaned shall not exceed 80% of the market value of the land or buildings and where it is being contemplated to loan an amount which exceeds 80% of the market value of the land or building, approval shall first be granted by the Registrar of Co-operatives; (Substituted by S.I. 72/2001)
(j) before such a loan is made, the credit committee or loan officer shall require that an appraisal of the market value of the property be made by an appraiser whom they believe to be competent and who is instructed and employed independently of any owner of the property on a form prescribed by the league and approved by the Registrar;
(k) the expenses, if any, of any appraiser employed under paragraph (j) may be borne by the applicant for the loan.