CUSO Leaders Seek Middle Ground on New Regs
Michael Gudely said he is aware that his position on a new proposal that that would essentially change how credit union service organizations are monitored may go against the grain.
“If CUSOs are to remain viable third-party vendors for credit unions, particularly MBL CUSOs, we must find common ground with the NCUA in its efforts to create a safer and more transparent credit union industry,” said Gudely, president/CEO of Innovative Business Solutions in Fort Mill, S.C.
Antonini said NACUSO is worried that by opening up CUSO records for all to see, it will put the entities at a competitive disadvantage with third-party vendors. Anything a government agency collects is subject to the Freedom of Information Act, he noted.
Competitors would be able to see business plans and go after client lists. Some credit unions have requested in their CUSO relationship agreements not to disclose their names mainly because they do not want to be used in advertisements, he added.