Links in “NCUA”

Yesterday, the NCUA Board approved a proposed rule that would require federally-insured credit unions with assets of more than $50 million to maintain risk-based capital ratios between 8.0% and 10.49% in order to be classified as well-capitalized. Most troubling are provisions that would assign a 250% risk-weight to investments in CUSOs and mortgage servicing assets. [1/24]

NCUA is now accepting applications for technical grants from low-income designated credit unions. Individual credit unions may receive grants up to $16,500 for new CDFI certifications, new products, and student internships. [1/23]

Each year NCUA’s General Counsel’s Office reviews one-third of the NCUA rules to determine whether any modifications are recommended to keep pace with the changing industry.  This year’s list includes rules governing records preservations, flood insurance, the Bank Secrecy Act, and tort claims against the government. [1/22]

Bagumbayan Credit Union of Chicago, which was serving 44 members and had assets of $55,140, was liquidated by the NCUA, with members and deposits assumed by Great Lakes Credit Union of North Chicago. [1/22]

NCUA releases warning on “vishing” scheme that uses agency’s name in an attempt to obtain personal financial information. Like most such schemes, the automated call claims to be NCUA and seeks information from consumers regarding alleged compromised debit cards. Warning is good reminder for all FIs to keep consumers/members advised of such practices. [1/22]

According to CUNA, NCUA’s 2014-2017 Strategic Plan needs to incorporate a number of changes.  Among those are how the agency will provide regulatory relief for credit unions and how it can provide more flexibility for well-managed credit unions. [1/21]

The NCUA Board will be considering a proposed rule on risk-based capital at its meeting next week.  NCUA Chair Debbie Matz says that the industry needs a flexible and forward-looking approach to net worth standards. [1/17]

The credit union trade associations are lashing out at NCUA over its plan to assess significant penalties on credit unions that do not file their 5300 Call Reports within the required time frames. Calling the up-to-$1-million-dollars-per-day fees extreme and unnecessary , the trades say that credit unions just need more awareness of the need for timely filings. [1/17]

NCUA’s Office of General Counsel has announced that it may be issuing a proposed rule to amend the Member Business Loan regulation in the early part of this year. Under consideration are changes to collateral valuation, underwriting requirements, the experience requirement, and the elimination of the personal guarantee requirement for well-capitalized credit unions. [1/16]

In a worst case scenario, a credit union that does not file its 5300 Call Report in a timely manner could face a fine of $1 million dollars per day until the report is filed. The deadline to avoid a civil money penalty will be the 4^th Friday of the month following the end of a quarter, beginning with April 25^th of this year. [1/16]