Section 701.24 - Refund of interest(a) The board of directors of a Federal credit union may authorize an interest refund to members who paid interest to the credit union during any dividend period and who are members of record at the close of business on the last day of such dividend period. Interest refunds may be made for a dividend period only if dividends on share accounts have been declared and paid for that period.(b) The amount of interest refund to each member shall be determined as a percentage of the interest paid by the member. Such percentage may vary according to the type of extension of credit and the interest rate charged.(c) The board of directors may exclude from an interest refund: (1) A particular type of extension of credit;(2) Any extension of credit made at a particular interest rate; and(3) Any extension of credit that is presently delinquent or has been delinquent within the period for which the refund is being made.53 FR 19747, May 31, 1988