Credit unions and the Tea Party movement haven’t historically been allies, but this week several conservative, libertarian-leaning organizations expressed their support for S. 2231, the bill that would raise the member business lending to 27.5% of assets.
The Heartland Institute, Competitive Enterprise Institute and Grover Norquist’s Americans for Tax Reform, among others, sent a letter to Senate Majority Leader Harry Reid (D-Nev.) and Republican Leader Mitch McConnell (R-Ky.) urging them to support the legislation.
“It simply boggles the mind to suggest that the banking industry as a whole would suffer any damage from this bill: banks currently have a 95% market share,” the letter stated.
Credit unions also picked up kudos last week from the Consumer Federation of America, which expressed support for raising the MBL cap.
“Credit unions are especially deserving of this opportunity,” CFA Executive Director Stephen Brobeck wrote in a letter to senators. “They have a strong record of serving consumers and communities, especially moderate-income areas that have been particularly hard-hit by the recession. They have had much past success in providing low-cost, sustainable credit to consumers and small businesses.”
A Senate vote on MBL is anticipated sometime during the next few weeks.