Section 60.05. Early withdrawal penalties.

 

(1)  The board of directors shall establish the policy with regard to the penalties for early withdrawal from term share accounts or passbook savings accounts with stated maturities. If early withdrawal penalties are enforced by a credit union, these penalties shall be applied in a consistent manner to all accounts of a similar classification. This policy shall state the conditions under which penalties may be waived or modified.

(2)  Penalties imposed for early withdrawal from term share accounts or passbook savings accounts with maturities may be deducted from the principal amount of the account balance.

(3)  For all accounts on which early withdrawal penalties are applicable, at the time of initial deposit the credit union shall provide the member a clear disclosure in writing explaining the penalties and the conditions under which the penalties may be invoked.

History: Cr. Register, April, 1982, No. 316 , eff. 5-1-82; 2013 Wis. Act 277 : am. (1), (2) Register May 2014 No. 701 , eff. 6-1-14.