With stimulus legislation stalled in Congress, the Credit Union National Association and the National Association of Federally-Insured Credit Unions argue that the National Credit Union Administration should help credit unions survive the coronavirus economic crisis by adjusting regulations.
The Consumer Financial Protection Bureau would not exempt credit unions from the requirement to report lending to women-owned businesses, minority-owned businesses, and small businesses to the agency, according to an initial proposal being circulated by the bureau.
Credit union trade groups have sought a blanket exemption from the reporting required under the Dodd-Frank Act.
The Senate Republican “skinny” economic stimulus bill failed to get the necessary votes to open debate on the bill. Since the bill failed, it is unclear whether Congress will enact any of the credit union priorities before leaving at the end of the month.
Credit union trade groups are renewing their call for Congress to lift the credit union Member Business Lending cap, saying the limit is an arbitrary restriction that keeps financial institutions from providing crucial assistance during the coronavirus economic crisis.
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.
With Congress seemingly stalled on its next economic stimulus measure, the Credit Union National Association and the National Association of Federally-Insured Credit Unions are pushing lawmakers to add things they want in the final bill and to drop things they do not like in the House and Senate measures.
The Senate Republican pandemic economic stimulus plan, a three-bill package released Monday, would simplify the loan forgiveness process for Paycheck Protection Program loans, but the measure so far contains few other priorities that credit union trade groups have been pushing.
The National Taxpayers Union is purposely attempting to mislead lawmakers by attempting to link the credit union tax exemption to proposals to increase member business lending, Carrie Hunt, the National Association of Federally-Insured Credit Unions’s executive vice president of government affairs and general counsel charged this week. “It is unfortunate that the NTU continues to misrepresent the facts in order to fit their narrative on credit unions,” Hunt said in a letter to key members of the House and Senate. “It is disappointing that while our country seeks to recover from a pandemic and an economic crisis, the NTU continues
From expanded member business lending to remote notary services, credit union trade groups on Tuesday sent congressional leaders their latest wish list for the next coronavirus pandemic economic stimulus legislation.
Since House and Senate leaders have indicated that the next bill to be enacted may be the last stimulus legislation for a while, the stakes are particularly high.
Congress should tighten credit union field of membership requirements before increasing the industry’s Member Business Lending cap, the National Taxpayers Union said Thursday.
“Many large credit unions have strayed from their limited mission and extended their services to nearly anyone,” the NTU said in a letter to committees with credit union oversight powers. “Congress should work to reestablish and clarify sensible common-bond requirements that are a condition of credit unions’ unique status.”