Speaking at the Iowa Credit Union Convention on Friday, presidential candidate and Texas Gov. Rick Perry questioned the need for the 12.25% member business lending cap.
“You serve small businesses and you need to have that member business lending cap raised. That is an arbitrary number that someone said was 12%, and why its 12% no one can answer,” Perry said to more than 250 attendees at the Iowa league meeting.
Perry commented on the difficulty small businesses are having accessing capital and said now is the time to consider increasing the MBL cap for credit unions, the league said.
Such a move which would inject $13 billion in loans into the national economy and create as many as 140,000 new jobs, with no cost to taxpayers, according to the league.
The Texas governor also highlighted his support of Lone Star credit unions.
“Credit unions in my state generate three quarters of a billion dollars in salaries, employ 18,000 workers and provide billions of dollars in capital for families and businesses. Protecting their tax status was an important part of protecting their important economic investments,” Perry said.
Iowa CU League President/CEO Patrick Jury said he’s hoping Perry’s attention on the MBL issue will aid in growing bi-partisan support.
“We were very pleased to hear Governor Perry's support for raising the member business lending cap,” Jury said. “This is a common-sense solution that should be advanced by this Congress."