A bill exempting loans to veteran-owned businesses from the member business lending cap has CUNA’s full support, CUNA President/CEO Jim Nussle wrote to bill sponsors Sens. Dan Sullivan (R-Alaska) and Mazie Hirono (D-Hawaii) Tuesday. The two introduced the Veterans Member Business Loan Act (S. 2834) Tuesday.
Specifically, the bill would amend the Federal Credit Union Act to exclude extensions of credit made to veterans from the MBL definition. Credit unions are restricted in business lending by current law to 12.25% of their total assets.
“This thoughtful legislation will provide credit unions the opportunity to provide more help to veterans and their small business needs,” Nussle wrote. “The bill will make the decision for credit unions to offer veterans access to capital much easier and provide more veterans opportunity.”
A House version of the bill was introduced in April by Reps. Vicente Gonzalez (D-Texas), Tulsi Gabbard (D-Hawaii), Paul Cook (R-Calif.) and Don Young (R-Alaska).