Congress must work to ensure CUs can support members

January 28, 2021

Credit unions improve members’ financial well-being and advance the communities they serve, CUNA wrote to Congressional leadership Wednesday, outlining several priorities for the new Congress. CUNA wrote a similar letter to the Biden administration prior to last week’s inauguration.

“As we look at the issuing facing our country and the 117th Congress, we will work to advance policy that furthers credit unions’ mission and enables them to continue the work of improving their members’ financial well-being and advancing the communities they serve,” the letter reads. “And, we will strongly resist proposals that would impair the same.”

CUNA’s letter details why and how Congress should:

  • Ensure credit unions can support members during and after the COVID-19 Pandemic by:
    • Forbearing the impact of Economic Impact Payments on credit union capital levels and regulatory thresholds;
    • Enact legislation exempting loans made by credit unions to small businesses until one year after then end of the pandemic emergency declaration from the member business lending cap, and to further provide for a national emergency exemption from the member business lending cap
  • Protect consumers’ data by:
    • Passing a robust national data security standard that would cover all entities that collect consumer information and hold those who jeopardize that data accountable through private right to action and regulatory enforcement.
  • Leverage credit unions to bring about greater financial equity and inclusion by:
    • Reducing outdated restrictions on lending maturity limits;
    • Taking a more inclusive approach to credit union membership
  • Modernize the Federal Credit Union Act by:
    • Permitting credit unions to establish their own fiscal year
    • Enhancing flexibility of federal credit unions to schedule board meetings
    • Removing outdated responsibilities of boards of directors
    • Eliminating the requirement to file certain information regarding loan officers
  • Provide safe banking access for cannabis businesses by
    • Supporting the Secure and Fair Enforcement (SAFE) Banking Act that gives explicit legal clearance for financial institutions to grant banking services to state-sanctioned cannabis businesses and related business entities.