CUNA stands with NCUA on FOM Rule
NCUA Monday responded to a petition by the American Bankers Association (ABA) in the case of American Bankers Association v. National Credit Union Administration. The case, which concerns the NCUA’s 2016 field of membership rule, will determine consumers’ ability to access the financial well-being afforded by credit unions.
Standing in support of the rule and the NCUA’s authority to provide oversight for the credit union movement, CUNA's President/CEO Jim Nussle responded:
“The Appellate Court was correct in its decision last year to recognize the NCUA’s authority to issue this rule, and in determining the rule was proper in its scope. CUNA will continue to support the NCUA in this case, and encourage the Court to stand with consumers—not the banks’ investors—at a time when financial well-being is critical to the so many people’s economic survival.”
In August 2019, the D.C. Circuit Court of Appeals overturned the previous opinion by U.S. District Court for the District of Columbia, thereby allowing credit unions to serve Combined Statistical Areas of up to 2.5 million people and rural districts with up to one million people.The Supreme Court is expected to decide whether to hear the case during its June meeting.