Links in “Credit Unions”

In a letter to the House Financial Oversight Committee, NCUA Chair, Debbie Matz, claims that if the proposed risk-based capital rule had been in effect in 2007, it would have saved the NCUA Share Insurance Fund (NCUSIF) as much as $180 million. Matz added that the reason that some of the risk weightings are different in the proposed rule versus the FDIC rule is that the FDIC rule does not take into consideration concentration risk. [7/21/14]

The effectiveness of an institution’s Bank Secrecy Act program hinges on the accuracy of its anti-money laundering monitoring system. AdvisX’s President Ken Agle shares three common errors he sees when conducting AML validations for financial institutions across the country. [7/18/14]

Congress’ desire to create a zero risk environment through regulation is stifling innovation and a lack of alignment on a technological philosophy causes credit unions to opt for short-term technology changes, rather than investing in the more important longer term technology trends. [7/18/14]

This is what the credit union executives and trade association representatives thought who attended yesterday’s last Listening Session. Approximately 150 attendees at the Alexandria, VA, meeting continued to express concerns about the proposed risk based capital rule, but didn’t leave with any clear idea of the direction NCUA is planning to take. [7/18/14]

The House has voted to let stand guidelines issued by the Treasury Department that identify the expectations for financial institutions that provide financial services to marijuana businesses in those states where it is legal. The House also approved a bill that would block the SEC and the Treasury Department from spending money to penalize financial institutions serving marijuana business in those states where the sale of marijuana is permitted. [7/17/14]

Jay Isaacson, VP of Commercial Products for the  CUNA Mutual Group, says that NCUA is working closely with other regulators on the cybersecurity issue and credit unions should expect to have their cyber security programs subjected to greater scrutiny by their examiners. Isaacson identifies the four most common breaches and provides risk management considerations. [7/17/14]

Computers at hotel business centers, where security measures are often very lax, have become the latest target of cyber thieves.  Criminals recently installed keylogging software at multiple hotel locations in the Dallas/Ft. Worth area that captured users’ every key stroke, including logins and passwords. [7/17/14]

Among the ideas being considered for offering banking services through the U.S. Postal Service is having post offices team up with their closest community banks and credit unions. [7/17/14]

The nation's fourth largest mortgage servicer has created a "Community Advisory Council" to provide a forum for Ocwen and community advocates to share ideas on those areas hit hardest by the economic downturn. [7/17/14]

NAFCU has submitted a comment letter to NCUA that provides detailed recommendations for revisions to the Federal Credit Union Bylaws. NAFCU has identified many areas where the bylaws need to be updated to better reflect current operating practices. In addition, the trade association recommends changes that, among other issues, would facilitate the expulsion of members who have committed crimes against the credit union or whose names appear on an OFAC list and would clarify the nominating process. [7/16/14]