Links in “CUNA”

At least, that’s what Dan Mica, former CUNA CEO, says. He admits it could be a challenging process to bring credit unions to Cuba’s 11 million residents, but is hoping to take a contingent of credit union and trade association executives there for exploratory talks later this year. [2/6/15]

While the proposed changes to the mortgage rules just issued by the CFPB will benefit many credit unions, both NAFCU and CUNA still have concerns that the proposed rule does not go far enough. On the plus side, the small lender exemption limit from ATR/QM requirements could increase from 500 mortgage loan originations per year to 2,000 per year. However, since credit unions didn’t cause the mortgage abuse that led to stricter regulation, the trades continue to argue that all credit unions should be exempt. [1/30/15]

CUNA has asked NCUA to clarify whether the recently signed bill that expanded share insurance coverage to IOLTA accounts at credit unions would also cover other types of escrow accounts, such as prepaid funeral expenses accounts and realtor escrow accounts. In addition, CUNA has asked for guidance on other issues related to IOLTA accounts, such as recordkeeping requirements and BSA implications. [1/29/15]

CUNA and NCUA have both obtained legal opinions concerning NCUA’s authority under the Federal Credit Union Act to establish a tiered risk-based capital system. The problem is that the two opinions reach opposite conclusions. In addition, NCUA’s claim that the revised rule will only adversely affect 19 credit unions—versus the 199 credit unions adversely impacted by the original proposed rule—begs the question of whether a risk-based capital rule is really necessary. [1/23/15]

The Supreme Court has declined to hear an appeal filed by retailers to overturn a lower court opinion that held that the Federal Reserve Board acted within its authority in setting the current cap on debit card interchange fees. NAFCU and CUNA both commended the court for its action, but continue to argue that the current caps are too low. [1/21/15]

CUNA and the SBA are looking for ways to involve more credit unions in SBA programs. CUNA is asking its members to complete an online form to collect information from credit unions that are interested in participating. SBA 7(a) loan programs guarantee from 50% to 90% of the loan balance. The amount of the loan secured by the SBA guarantee does not count towards a credit union’s 12.25% MBL cap. [1/20/15]

While CUNA and NAFCU praise NCUA for incorporating many of their recommendations into the revised risk-based capital proposal, they say that given the healthy capital ratios across the industry, the millions of dollars it will cost to implement the RBC rule just aren’t warranted. [1/16/15]

New CUNA CEO, Jim Nussle, has completed a restructure of the CUNA leadership team in an effort to streamline communications between Madison and Washington, DC. Out are General Counsel Eric Richard and SVP of Communications Pat Keefe, both long-term employees with the association. [1/7/15]

Apparently, it depends on who you ask. Dave Adams, president/CEO of the Michigan Credit Union League & Affiliates, says the rumors are false that CUNA Mutual is planning to cut aid to state leagues and their service corporations. However, several other league presidents, including Diana Dykstra, president/CEO of the California and Nevada Leagues said CUNA Mutual is planning to reduce its support when the current contract expires at the end of 2016. [12/19/14]

Only one of the eight seats available on the CUNA Board (District 3) will be decided by an election. As there was only one nominee for the remaining seven seats, the other nominees were elected by acclamation. [12/17/14]