Links in “NCUA”

St. Helen’s Community FCU found itself embroiled in a dispute over the election recall of five board members. The CEO asked NCUA whether it could mail absentee ballots to members who did not attend the special membership meeting. NCUA advised that they federal bylaws do not permit absentee ballot voting at special membership meetings. The credit union mailed the absentee ballots anyway. [6/11/14]

Federally insured credit unions have until June 30^th to amend their agreements with their CUSOs to incorporate new language required under the NCUA CUSO rule amendments of last year. Specifically, you need to ensure that your agreements include an assurance by the CUSO that it will provide NCUA and appropriate state regulators with basic profile information (and other information if they engage in certain complex or high-rick activities). [6/6/14]

The NCUA released its analysis of state-level data for the first quarter of  2014 regarding several key performance measures and reveals that Idaho is leading the pack in a number of categories. The analysis includes annual loan growth, membership growth, returns on assets, and delinquency rates among others. [6/6/14]

Following on the heels of a letter from House members, Senate Banking Committee leaders have submitted a letter to the NCUA asking the agency to carefully consider any negative impact its proposed risk-based capital rule could have on credit unions’ agricultural lending and their ability to raise and maintain capital. The Senators also urged that the Agency afford sufficient time for credit unions to adapt to any new standards. [6/5]

Despite declines in mortgage originations, the industry is seeing growth in membership and with other types of loans. On the other hand, credit unions are increasing their long-term investments, which may cause concerns with interest rate risk as rates continue to rise. [6/4]

The NCUA Board is beginning its second, comprehensive review of its regulations to identify outdated, unnecessary, or burdensome regulatory requirements imposed on federally insured credit unions, as contemplated by section 2222 of the Economic Growth and Regulatory Paperwork Reduction Act of 1996 (EGRPRA). [6/4]

Investing in people and communities will produce dividends for credit unions in many respects, but the higher interest rate environment of late 2013 and the first quarter of 2014 slowed mortgage originations. An increase in long-term investments could pose interest rate risk for federally insured credit unions as interest rates rise. [6/4]

After a quiet few months, NCUA issued prohibition orders in May against nine individuals banning them from participating in the affairs of an federally insured financial institution. [6/2]

NCUA has come out swinging in its response to a letter sent by 75% of the members of the House of Representatives that called into questions the Agency’s proposed risk-based capital rule.  NAFCU and CUNA both encouraged the House members to take action and say that NCUA’s claim that the trades have overestimated the costs of the proposed rule is not supported by the facts. [6/2]

Chairman of NCUA Debbie Matz responds to Congressman Peter King's letter about NCUA’s proposed rule to modernize the agency’s risk-based capital regulation for federally insured credit unions. Ms. Matz claims that overall, the proposed rule would only apply to federally insured credit unions with assets of $50 million or more—2,200 out of about 6,600. As a result, the 4,400 federally insured credit unions below $50 million in assets—two thirds of all credit unions—are not affected by the proposed rule. [6/2]