Tex. Fin. Code § 126.303

Current with legislation from the 2023 Regular and Special Sessions signed by the Governor as of November 21, 2023.

Section 126.303 - Priority of Claims

The liquidating agent shall use the credit union's assets to pay, in the following order:

(1) secured creditors to the extent of the value of their collateral;

(2) liquidation expenses, including a surety bond if required;

(3) depositors;

(4) general creditors, including secured creditors to the extent that their claims exceed the value of their collateral; and

(5) distributions to members in proportion to the shares held by each member.

Tex. Fin. Code § 126.303

Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. 9/1/1997.