Section 6-704 - Allowance for loan and lease loss.
§ 6-704. Allowance for loan and lease loss.
(a) Required.- A credit union shall maintain an allowance for loan and lease loss account in accordance with generally accepted accounting principles.
(b) Coverage.- The balance of the allowance for loan and lease loss account shall include coverage for:
(1) Individually classified loans; and
(2) The historical reserve needs of the credit union.
[2001, ch. 147, § 1; ch. 148, § 1.]