Federal credit union directors can act as seller's agents for a member as long as the director doesn’t participate in the credit union’s decisions regarding that member, NCUA Associate General Counsel Hattie Ulan wrote in an opinion letter.
Ulan noted that generally board members can’t receive any direct or indirect compensation in connection with a loan made by the credit union. However, the agency has made an exception if no referral has been made by the credit union.
Ulan, in the letter she wrote to the $17 million Lake County Educational FCU Board President Patricia R. Hall-Miller in Painesville, Ohio, said the agency made the exception to avoid discouraging volunteers from serving on boards that might otherwise interfere with their livelihood.
