INOVA FCU CEO and CUNA board member Dallas Bergl will share common-sense proposals to help credit unions foster economic growth with the Senate Banking Committee Thursday, as he testifies before the Senate Banking Committee on behalf of CUNA. Bergl’s appearance before the committee is scheduled to begin at around 10 a.m. (ET) Thursday, and will be streamed live on the committee’s website.
“My testimony presents commonsense proposals that will help responsible financial institutions, like credit unions and small banks, continue to serve their members and communities so they can grow and thrive,” reads Bergl’s testimony. “Regulatory changes that can be tailored to address the problem institutions in this country without punishing solid ones; and proactive steps that can be taken with credit unions’ regulator, the NCUA, to help foster the continued safety and soundness of the credit union system.”
These proposals include principles from CUNA’s bipartisan, pro-consumer Campaign for Common-Sense Regulation.
These include changes to mortgage lending, the Consumer Financial Protection Bureau, NCUA and housing finance reform, among others.
One example includes giving credit unions parity with banks when it comes to loans for 1-4 unit, non-owner-occupied residential properties. Such loans are classified as residential real estate loans for banks, but business loans for credit unions, subjecting them to the member business lending cap.
“Correcting this disparity would …enable credit unions to provide additional credit to borrowers seeking to purchase residential units, and help stimulate investment in affordable rental real estate and employment in the construction trades,” reads Bergl’s testimony, adding that the change would free up as much as $4 billion in business lending cap space.
Other common-sense solutions addressed by Bergl include:
Bergl will also highlight CUNA’s concerns about proposals that would give savings and loans the powers of national banks and place NCUA under the appropriations process.