The NCUA’s equity ratio at the end of June was 1.22% and the NCUA will be required to implement a formal restoration plan when it hits 1.20%. Learn what transpired at the NCUA September board meeting.
The National Credit Union Administration’s Chairman Rodney Hood and Board Member Todd Harper addressed participants at the National Association of Federally-Insured Credit Union’s virtual Congressional Caucus. Hood talked about his attempts to exempt credit unions from the Current Expected Credit Losses Standard and Harper discussed the NCUA’s approach to the pandemic.
Only 118 of the nation’s 5,236 credit unions submitted the voluntary Diversity Survey to the NCUA last year. The NCUA wants to increase participation and is considering a monetary incentive for credit unions. The House Financial Services Committee’s Diversity and Inclusion Subcommittee might try to make participation mandatory.
The Inspector General for the National Credit Union Administration found that the Share Insurance Fund is at risk because the NCUA does not have the power to supervise third-party vendors and Credit Union Service Organizations. The fix, according to the Inspector General, is that Congress pass legislation giving those supervisory powers to the NCUA.
The National Credit Union Administration and the other banking regulators said Monday that they will be flexible in their regulation and supervision of financial institutions affected by the California wildfires and Hurricane Laura. In a joint statement, the agencies said they want to encourage institutions “operating in the affected areas to meet the financial services needs of their communities.” In the statement, the regulators said that financial institutions should work “constructively” with borrowers and pledged that prudent efforts to adjust or alter terms of loans will not be subject to examiner criticism. They added that “the agencies recognize that efforts
CUNA, NAFCU, and NASCUS raise concerns about exam consistency with the NCUA.
The National Credit Union Administration granted its first new federal charter of the year to Growing Oaks Federal Credit Union in Goldsby, Oklahoma.
Financial institutions are unlikely to face official enforcement actions if they commit small, isolated violations of the Bank Secrecy Act or Anti-Money Laundering rules, federal banking regulators, including the National Credit Union Administration, said last week.
National Credit Union Administration Board member J. Mark McWatters may have given his farewell comments during the board’s July meeting, but the Republican may not be going anywhere for a little while longer.
The Senate officially left town this week for its August recess without voting on McWatters’ replacement, Kyle Hauptman. The Senate is not expected to return until Sept. 8 unless negotiators reach a deal on the coronavirus crisis stimulus legislation.
National Credit Union Administration board nominee Kyle Hauptman told the Senate Banking Committee recently that he believes that the NCUA should give credit unions “significant incentives” to become Minority Depository Institutions.