Links in “Credit Unions”

The revised Fixed Asset Rule approved yesterday by the NCUA Board is intended to streamline the existing rule. The new rule contains an additional 1% of shares and retained earnings buffer over any approved waiver amount in an attempt to eliminate the need to file multiple waiver requests. The Board also approved a proposed rule concerning charitable donation accounts. [9/13]

The prevailing opinion, according to a recent NAFCU survey and as reported in this month’s Economic and CU Monitor, is “not really.” The survey results show that only 25% of the respondents said that the exam process had improved, while 12% of the respondents felt that things were worse. [9/13]

CUNA Marketing and Business Development Council releases a white paper that warns credit unions not to assume that switching to a community-based charter will means automatic growth. Instead, community credit unions need to identify their niche in their marketplace and develop strategies to promote that niche. [9/13]

During the tax reform process, lobbyists for both credit unions and banks are operating in overdrive in the battle over the CU tax exemption. The American Bankers Association claims that eliminating the tax exemption is about fairness for the banking community and taxpayers. The credit union trade associations point out that the more-than-competitive rates and services offered by the credit union not-for-profit, cooperative model brings significant value to members and small business owners. [9/12]

September issue of the NCUA Report includes the first column by new board member, Rick Metsger, as well as articles on the new mortgage rules and understanding the enterprise risk management process. [9/12]

Overview of some of the fundamentals of a comprehensive consumer complaint management program. [9/12]

Book recaps the massive changes to the banking industry caused by 9/11, especially anti-money laundering provisions of section 311 of the USA PATRIOT Act, the "Scarlet Letter" designed to isolate banks and governments that fund terrorism. [9/12]

OCC deputy tells risk managers that a review of banks of all sizes found weakness in all aspects of the appraisal process, from unsigned reports to the lack of quality control function. [9/12]

Ginnie Mae Pres. Ted Tozer announced to attendees at NAFCUs Congressional Caucus that they are eager to attract smaller mortgage lenders, like credit unions. He announced a new product, the MPF Government Mortgage-Backed Securities, that is specifically designed for lenders that don’t have direct access to the secondary market. The new product will be rolled out initially to participating members of the Chicago FHL Bank in Illinois and Wisconsin and then made available on a broader scale in 2014. [9/11]

Recreational marijuana use is now legal in Colorado and Washington, and medical usage is legal in a number of other states. However, federally insured credit unions and banks that process monetary transactions resulting from marijuana sales could be at risk of violating federal drug racketeering laws. At a Senate hearing yesterday, Justice Department Deputy Attorney James Cole stated that the Department will work with the federal banking regulators to find a way that these financial institutions can conduct legitimate marijuana transactions without fear of prosecution. [9/11]