Article 1. Savings Liability of California Financial Code >> Division 2. >> Chapter 5. >> Article 1.
The savings liability of an association shall consist only of
the aggregate amount of its savings accounts, plus interest earned
or credited to the accounts, less redemption and withdrawal payments.
Except as limited by the association from time to time or by
state or federal law or regulations, account holders may make
additions to their savings accounts in amounts and at times they
Savings accounts may be opened for cash or, subject to any
limitations or restrictions in regulations issued by the
commissioner, for property in which the association is authorized to
invest. In the absence of fraud in the transaction, the value of the
property taken in payment, as determined by the board of directors,
shall be conclusive.
No member of a mutual association is responsible for any
losses of the association, no savings account is subject to
assessment, and no savings account holder is liable for any unpaid
installments on the account.