WASHINGTON (8/7/15)--Rep. Julia Brownley (D-Calif.) wrote to the National Credit Union Administration Thursday, saying the agency’s member business lending (MBL) rule is “long overdue.”
The NCUA proposed the rule at its June board meeting, and is accepting comments through Aug. 31.
“Credit unions have a long history of prudent and safe small business lending and a mission to help provide access to credit to their members,” she wrote. “The proposed MBL regulation will increase the availability of capital to small businesses in the towns and communities I represent.”
Brownley added that, “in order for the economy to fully recover, small businesses need access to credit, which will help their businesses grow. This change to the MBL rule will help to accomplish that goal.”
The NCUA’s proposal would remove almost all MBL requirements not present in the Federal Credit Union Act, and create a new category of member business loans.
Brownley has previously co-sponsored legislation that would raise the MBL cap (H.R. 1188) and exempt loans to veterans from the cap (H.R. 1133).