SEATAC, Wash. (12/11/14)--The Northwest Credit Union Association (NWCUA) is offering its members a new reporting tool that allows credit unions to anonymously share information about examiniations.
The reported data, which will be aggregated and organized by the league, will be used by advocates as they work with regulatory agencies to improve exams during the upcoming year (Anthem Dec. 10).
The form asks three questions: What is the issue? Why is it an issue? How could this issue be favorably resolved?
Participants will have the ability to submit the forms anonymously, and the NWCUA will keep information confidential regardless of whether users opt to include identifying information.
If credit unions choose to share their contact information, the NWCUA's regulatory advocacy team will reach out to them to see if they would like assistance resolving the issue. Data from the forms will help set the agenda for meetings with the National Credit Union Administration's (NCUA) regional office and jointly with the state and NCUA supervisory examiners.
"Advocating for improvements in the examination process is a top priority for credit unions. To address examination issues, the association needs to be informed about what is happening on the exam front," said John Trull, NWCUA director of regulatory advocacy. "On more than one occasion we have helped negotiate better outcomes or helped a regulatory agency rethink an exam process due to information shared by a credit union."
In addition, the Credit Union National Association has a comprehensive exam survey that credit unions are encouraged to fill out. CUNA will be organizing a first quarter push--encouraging credit unions to respond, but there is no need to wait because the survey is already live.
The national survey allows regulatory advocates to identify macro trends, regional differences and focus points that could be reassessed in the examination process.
"Over the past two years Northwest credit unions have actively participated in this effort, which allows the association to provide strong evidence-based longitudinal data in meetings," said Trull. "This, combined with credit unions sharing specific issues, will allow us to demonstrate the need for examination improvements."
Regulators are expected to focus on interest-rate risk, cybersecurity, and to a lesser extent, liquidity in 2015. The NCUA is expected to lay out additional details in a letter to credit unions in January.