ALEXANDRIA, Va. (7/12/13)--The basics of the National Credit Union Administration's secondary capital requirements, and practical tips on how eligible low-income designated credit unions (LICUs) can best use their secondary capital authority, will be discussed in an upcoming agency webinar.
The agency on Thursday also announced it has moved its scheduled July closed board meeting forward by one day, to July 24, and released a released a video highlighting the information offered on two NCUA consumer websites, MyCreditUnion.gov and Pocket Cents. Use the resource links for more on these items.
The free NCUA webinar, entitled "Will Secondary Capital Work for You?," is scheduled to take place on Wednesday, July 31 at 2 p.m. ET. NCUA Office of Small Credit Union Initiatives (OSCUI) staff and NCUA Region III Division of Supervision officials will present the webinar.
A credit union manager will also detail how his credit union utilizes secondary capital to supplement its net worth and to better serve its low-income field of membership.
The NCUA said webinar participants may submit questions in advance by sending an e-mail to WebinarQuestions@ncua.gov. The subject line of the e-mail should read, "Secondary Capital Webinar."
To register for the NCUA webinar, use the resource link.
The LICU designation brings benefits that include the ability to offer and accept secondary capital accounts. The secondary capital must take the form of subordinated debt--a borrowing transaction that must be repaid over time, if the funds are not used to cover operating losses, according to the NCUA.
Eligible LICUs are subject to borrowing limitations and capitalization requirements, and their secondary capital plans must be approved by the NCUA.