Increasing the residential appraisal threshold will reduce regulatory burden for credit unions, resulting in both transaction cost and time savings for credit unions and their members, CUNA wrote NCUA Thursday.
The NCUA board issued a proposed rule on credit union combination transactions and subordinated debt Thursday, as well as approving of the agency’s 2020 Annual Performance Plan and discussing the federal credit union loan interest rate ceiling.
NCUA selling its portfolio of taxi medallion loans is not an appropriate step at this time, CUNA, Leagues wrote NCUA, as it may harm not only the credit unions holding taxi medallion loans but ultimately all federally insured credit unions due to the effect on the NCUSIF.
The NCUA board will consider proposals on subordinated debt and credit union combination transactions, among other items, at its Jan. 23 meeting. This is the board’s first meeting of 2020, and it will be livestreamed on NCUA.gov starting at 10 a.m. (ET).
NCUA’s first letter to credit unions examines recent changes to laws and regulations applicable to credit unions, and notes that the agency’s examination program has been updated to reflect these changes.
NCUA provided an update on its modernization efforts in a letter to credit unions, including making NCUA Connect available to all credit unions and state regulators this year and releasing the MERIT exam platform in the second half of 2020.
The new year marks not only the start of a new decade, but the effective date of several important rules for credit unions, including the extended HMDA reporting threshold and NCUA's "second chance" initiative.
The NCUA board approved a two-year delay on its risk-based capital rule at its Thursday meeting, in addition to approving the agency’s 2020-21 budget. NCUA staff also indicated the NOL will remain at 1.38% for 2020.
The NCUA board will consider a final risk-based capital rule, the agency’s 2020-21 budget and will receive a briefing on the 2020 share insurance fund Normal Operating Level (NOL) at its Dec. 12 meeting.
CUNA identified both where it has seen positive steps by NCUA as well as issues where improvements can be made in a letter for the record of NCUA Chairman Rodney Hood’s testimony before the Senate Banking Committee Thursday.