7-9-33 - Lien and right of set off of credit union.
7-9-33. Lien and right of set off of credit union.
(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 anysum 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 thefunds.
(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 ormember; or
(b) is prohibited by law.
Amended by Chapter 182, 1996 General Session