CUNA News
  • LOG IN
  • Create Account
  • Sign Out
  • My Account
  • LOG IN
  • Create Account
  • Sign Out
  • My Account
  • Credit Union Magazine
    • Buyers' Guide
    • Digital Edition
    • Credit Union Hero
    • Credit Union Rock Star
    • Subscribe
    • Advertise
    • Contact
  • Advertise
  • Topics
    • Community Service
    • Compliance
    • Credit Union Hero
    • Credit Union Rock Star
    • Credit Union System
    • Directors
    • Human Resources
    • Leadership
    • Lending
    • Marketing
    • Operations
    • Policy & Issues
    • Sales & Service
    • Technology
  • Awards
    • Nominate Credit Union Hero
    • Nominate Credit Union Rock Star
  • Podcasts
  • Videos
  • Jobs
  • Contact

News

Home » Credit unions oppose being placed under CRA in House bill
Press

Credit unions oppose being placed under CRA in House bill

December 20, 2018

FOR IMMEDIATE RELEASE       

CONTACT: Lauren Williams – CUNA Communications; (202) 626-7642; lwilliams@cuna.coop    

Washington, DC (December 20, 2018) – The House American Housing and Economic Mobility Act (H.R. 7262) would require credit unions to be examined for compliance under the Community Reinvestment Act (CRA). Credit Union National Association (CUNA) is speaking out against the proposed bill as it would ultimately harm America’s credit unions.  

CUNA believes extending the CRA to credit unions would represent a significant step backward in achieving expanded access to affordable mortgage credit and other financial services from reputable cooperative entities like credit unions. Credit unions are member-owned financial institutions and by statute already operate to achieve the purposes of the CRA.  

The letter cites recent data showing credit unions deliver more than $15 billion in benefit to all consumers each year, in the form of lower rates on lending and higher dividends on deposits. It also shows how credit unions increased lending to low- and moderate-income mortgage borrowers by 48%, while bank lending over the same time period to low- and moderate- income borrowers decreased by 56%.” 

CRA is intended to encourage for-profit banks to meet the needs of borrowers in their communities, including in low- and moderate-income neighborhoods. Congress passed this law in 1977 to reduce discriminatory lending practices against low-income neighborhoods. Credit unions’ consumer-focused model is self-regulating, which supports the rationale that credit unions are not covered by CRA. 

###       

   
About CUNA:         

Credit Union National Association (CUNA) is the only national association that advocates on behalf of all of America’s credit unions, which are owned by 110 million consumer members. CUNA, along with its network of affiliated state credit union leagues, delivers unwavering advocacy, continuous professional growth and operational confidence to protect the best interests of all credit unions. For more information about CUNA, visit cuna.org.    

Credit Union Magazine: Spring 2023

Spring 2023

Credit Union Magazine’s Spring 2023 issue features the 2023 Credit Union Heroes and examines CUNA-League advocacy priorities, board leadership, the impact of financial well-being efforts, fee-related compliance issues, predictions for the year ahead, and more.
Digital Edition •  Subscribe

Trending

  • ‘The next couple years will be rough’

  • Hood: Credit unions are safe and sound

  • CUs have ‘considerable interest’ in ensuring FHFA meets core mission

Tweets by CUNA_News

Polls

Does your credit union partner with any fintechs?

View Results
More

Champion for the Credit Union Movement

Credit Union National Association is the most influential financial services trade association and the only national association that advocates on behalf of all of America's credit unions. We work tirelessly to protect your best interests in Washington and all 50 states. We fuel your professional growth at every level and champion the credit union story at every turn.

More CUNA

  • Membership
  • Contact Us
  • Careers

Resources for

  • Credit Union Advocates
  • Leagues
  • Press
  • Providers

Our Affiliates

  • American Association of Credit Union Leagues (AACUL)
  • Credit Union Awareness
  • Credit Union House
  • CUNA Strategic Services
  • National Credit Union Foundation
GET CUNA UPDATES
© 2023 Credit Union National Association | ADA Compliance Notice & Legal
Email Us