3296                                          LAWS OF MARYLAND                                      Ch. 835

(a) (1) Except as otherwise provided in this section, the
board of directors of a credit union may declare dividends from
its available net earnings at the close of any [fiscal year,]
ACCOUNTING PERIOD after providing for accrued expenses, interest,
and taxes.

(2) DIVIDENDS PAID OR ACCRUED ARE TO BE TREATED AS AN
EXPENSE.

(c) (1) Dividends may be paid annually, semiannually,
quarterly, MONTHLY, or daily, as the bylaws of the credit union
provide.

(2) Except for shares on which dividends are paid
daily, dividend credit for a month may be accrued on shares that
become full paid before the eleventh day of the month.

6-503.

(b) (1) The credit committee may appoint and supervise loan
officers and delegate to them the power to approve OR DISAPPROVE
loans in accordance with written instructions or policies adopted
by the board of directors.

(4) Each loan officer shall give the credit committee
the record of each loan that the officer approves OR DISAPPROVES
[and of each loan that the officer has not approved] within 7
days after a loan application is made. The credit committee
shall act on each loan APPLICATION [not approved by a loan
officer] WHERE THE DECISION OF THE LOAN OFFICER HAS BEEN APPEALED
BY THE CREDIT UNION MEMBER.

6-505.

(a) A loan by a credit union to a member shall be secured
as required by the bylaws of the credit union, subject to the
provisions of this section.

(b)[(1) A credit union may make a loan of $400 or less to
a member without security.]

[(2)] With the approval of the Bank Commissioner, a
credit union may [make loans] ESTABLISH A MAXIMUM UNSECURED LOAN
LIMIT of [$5,000] $10,000 or less members [without security].

(c) A credit union may accept as security for a loan:

(1) An endorsed note;

(2) A note secured by a recorded [first] lien on real
OR LEASEHOLD property;

(3) An assignment of shares or deposits in the credit
union; or