Links in “CUNA”

The House is back in session and can commence its review of several CUNA-backed bills designed to relieve the regulatory burden of credit unions. [5/6]

In a letter to CUNA, NCUA Board member Rick Metsger echoed the decision of Debbie Matz that there will be no extension of the comment period of the proposed Risk-Based Capital rule. Metsger stated that he feels there is sufficient time remaining in the comment period, which ends on May 28^th, for all interested parties to submit their comments. [5/2]

NCUA Chair Debbie Matz has said “no” to the joint request from CUNA and NAFCU to extend the comment period for the proposed risk-based capital rule for an additional 90 days stating that the proposed rule has been available to credit unions since January and that is sufficient time for credit unions to review the rule and to formulate their comments. The other two board members have yet to respond to the request for the extension. [4/25]

CUNA’s Subcommittee on Examination and Supervision met yesterday with NCUA’s Director of Examination and Insurance Larry Fazio and Deputy Director Tim Segerson. The subcommittee pressed the NCUA officials with their concerns about the adverse effect the proposed rule will have on credit unions’ capital cushion and on the agency’s proposed authority to impose additional capital requirements on individual credit unions on a case-by-case basis. [4/22]

CUNA and NAFCU have jointly requested the NCUA extend the comment period for the proposed risk-based capital rule for an additional 90 days. The trade associations assert that the current end date for the comment period, May 28^th, has not provided credit unions sufficient time to analyze the impact of the proposed rule on their operations and to prepare responses. [4/18]

According to a statement from the FFIEC, credit unions and other financial institutions need to be in contact with their third party vendors to ensure that they are progressing towards addressing this latest risk to websites protected by OpenSSL encryption. The FFIEC statement recommends four steps that financial institutions should take , including requiring users and administrators to change their passwords after applying the OpenSSL patch, if applicable. CUNA Mutual has also issued a Risk Alert to its bond policy holders that provides further recommendations about communications with members. See also. [4/11]

In testimony before the Financial Services Committee yesterday, NCUA Attorney General, Mike McKenna, stated that majority of the rules adopted by the agency in 2013 provided regulatory relief to credit unions. Both CUNA and NAFCU disagree, stating that it’s not the number of the rules that’s relevant, but the impact of those rules that is the important consideration. [4/9]

CUNA has asked Congress to conduct a thorough review of NCUA’s proposed Risk Based Capital Rule and to direct the agency to fix what CUNA sees as significant deficiencies in the rule as currently drafted.  Specifically, CUNA notes that:

• The rule is fundamentally flawed due to poorly calibrated risk weightings;
• The rule would significantly adversely affect credit unions’ ability to offer mortgage loans and small business loans; and
• The 18-month implementation period is unreasonably short. [4/7]

NCUA announced yesterday that it will remove the online risk based calculator on May 28^th, which is the closing date for comments to the proposed Risk Based Capital Rule.  CUNA had urged NCUA to take this action due to concerns that the calculator was also available to the general public who might not understand how to use the calculator properly or understand the results. [4/4]

According to a survey conducted by the CUNA, 58% of credit union CEOS were satisfied with their exams and 27% were dissatisfied. This represents a decline in the satisfaction ratings from 2012 (61% satisfied and 25% dissatisfied). [3/27]