On-Site Coverage: Hyland Urges More Due Diligence To Deal With Financial Woes
WASHINGTON -The difficulties faced by credit unions should cause them to do even more due dilligence and use sound and timely risk management practices, NCUA Board Member Gigi Hyland said today.
She told attendees at NAFCU's Congressional Caucus that the agency practiced risk management when levying premiums to shore up the NCUSIF and pay for the rescue of corporate credit unions.
"It's not practical to manage the fund without a reasonable margin of safety," she said.
The assessment for corporates reflects the fact that the problems facing that sector are "the most significant challenge" to the industry, she said.
Hyland said the board will address these issues at Friday's meeting when it discusses how to deal with legacy assets and explains the new rules regulating the corporates.