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Can you summarize MNAC 2675.6120?
FINANCIAL INSTITUTIONS > OTHER REAL ESTATE.
Short Summary
This document governs the treatment of Other Real Estate by credit unions. When real estate is acquired through foreclosure or by deed in lieu of foreclosure, it must be transferred to an account titled ‘Other Real Estate’ on the date of sheriff’s certificate or other conveyance. Costs of repairs and restoration may not be added to the real estate account unless they are for permanent improvements. Delinquent taxes may be added to the book value of the property. Additions to book value may not be made after the date of sale in cases of foreclosure, except for delinquent taxes and assessments paid by the credit union at the time of acquiring title. Credit unions may finance the sale of other real estate under the same terms and conditions as any seller or owner of real property. Profit from the sale of other real estate sold on contract must be held in reserve until two consecutive years of contracted payments have been made. Unsold other real estate must be charged off annually through earnings at a rate of at least ten percent of the original amount. The charge-off period begins at the end of the redemption period or on the date of the deed, depending on how the other real estate was acquired. This document was published electronically on September 14, 2007.
Whom does it apply to?
Credit unions
What does it govern?
Other Real Estate
What are exemptions?
No exemptions are mentioned.
What are the Penalties?
No penalties are mentioned.
Jurisdiction
Minnesota