CUNA supports NCUA’s proposed rule to revise its advertising rule to provide regulatory relief and provide credit unions parity with banks regarding advertising. In its comment letter to the agency, CUNA outlined how the proposal would provide regulatory and cost relief to credit unions.
“As more than 40% of all credit unions in the United States hold fewer than $20 million in assets, a reduction in compliance costs involved with additional publication requirements and longer disclaimers in advertisements is a tangible benefit--one that for-profit banking institutions have disproportionately enjoyed since the FDIC promulgated advertising rule revisions in 2011,” the letter reads. “CUNA supports NCUA’s regulatory relief and banking parity efforts to help credit unions serve their members’ cooperative financial interest.”
Specifically, the proposal would:
NCUA also requested comments on whether the regulation should address modern communications platforms such as social media, texts messages and others. The current rule applies to conventional channels such as print, radio and television.
“CUNA supports an expansion of the exemption to apply to modern social media communications, which are increasingly used to communicate with both credit union member-owners and consumers writ-large, and further believes that such application of the rule would satisfy compliance for these types of messaging platforms-- whereby use of the official NCUA sign or “Insured by NCUA” statement would be sufficient notice to comply with the advertising statement requirement,” the letter reads.
Additional details, including a link to the letter, can be found on CUNA’s Removing Barriers Blog.