In a letter to the editor published in Thursday’s Wall Street Journal, Credit Union National Association President/CEO Jim Nussle strongly responded to an op-ed piece by Jamie Dimon, chair/CEO of JPMorgan Chase, regarding the role of “too big to fail” banks in the financial services industry.
Nussle’s letter reads:
“Regulations brought about by actions of banks like Mr. Dimon’s are absolutely affecting our ability to serve members and the communities in which we live and work, through no fault of our own.
“The regulatory cost impact on the credit-union industry was $6.1 billion in 2014, and the lost revenues to credit unions from services that were discontinued or reduced because of added regulation is at least an additional $1.1 billion. This total impact of $7.2 billion is equivalent to an astonishing 80% of industry earnings and 6% of our credit unions’ net worth.
“It’s time for policy makers to act by recognizing the need for regulatory relief for credit unions and small banks.”
Dimon’s piece, “Large Banks and Small Banks Are Allies, Not Enemies,” appeared in the April 6 edition of The Wall Street Journal.