ALEXANDRIA, Va. (7/31/15)--Credit unions must weigh in by Aug. 3--Monday--if they want the National Credit Union Administration to consider their views concerning the list of regulations the agency is currently reviewing for updates.
The NCUA has a policy of reviewing its regulations to determine whether they should be updated, clarified, simplified or eliminated. This process includes an annual review of one-third of the regulator's rules, so that in a three-year period all rules have been considered.
This year’s review addresses federal credit union bylaws, fees paid by federal credit unions, credit union service contracts, capital adequacy and much more.
CUNA will submit its comment letter Monday (watch News Now for details). The letter ask the NCUA to be more flexible in its approach to federal credit union bylaws. The letter will also address issues relating to field of membership, risk-based capital, loan participations, low-income designation and technical issues.
Also this month, comments are due to the NCUA on the agency’s proposed member business lending (MBL) rule, put forth at the agency’s June 18 meeting.
The rule would overhaul the NCUA’s MBL regulation, removing nearly all of the requirements not in the Federal Credit Union Act.
Specifically, the proposal would:
According to the comments already submitted to the NCUA, a number of bankers are currently submitting form comment letters to the NCUA listing a number of banking industry concerns with the proposal.
“We urge credit unions to submit their own comments on the MBL proposal; we want the NCUA to see that the credit unions they regulate, and their members, will benefit from this kind of regulatory relief,” said Elizabeth Eurgubian, CUNA’s deputy chief advocacy officer. “We’d like the agency to know the true thoughts of the credit union community, and not just be inundated with inaccurate bank attacks.”
Comments on the MBL proposal are due to Aug. 31. CUNA is seeking credit union comments on the plan through Aug. 24.