WASHINGTON (8/3/15 UPDATED 11 a.m. ET)--The National Credit Union Administration should review its requirement that all federal credit unions use a single set of bylaws, regardless of size and complexity, CUNA believes. In a letter sent to the agency this morning, CUNA commented on the NCUA bylaws, as well as a number of other regulations present in the agency’s annual regulatory review.
“In our view, this ‘one-size fits all’ approach to credit union bylaws is archaic. For example, it may be sufficient for the board of a small credit union to meet every other month as opposed to monthly,” the letter reads. “The NCUA should provide flexibility to credit unions of varying size and complexity for purposes of their corporate governance.”
The NCUA is currently working on revisions to its bylaws.
CUNA suggests that the NCUA issue comprehensive bylaws that can be used by newly chartered federally chartered credit unions to simplify their incorporation, and by smaller credit unions to simplify their operations.
CUNA also highlighted several areas that are the subject of proposed rules, including:
Other areas addressed in the letter include: other real estate owned properties, executive compensation in connection with loan growth, loan participations, check-cashing for non-members, mergers and conversions and various technical items.