In today's conservative regulatory environment, the relatively high number of issued documents of resolution revealed in a recent survey of credit unions may not seem so alarming. However, if credit unions do not adequately manage their relationship with regulators, this hands-on approach could hinder their ability to provide the services their membership has come to expect.

Credit unions, or any financial institution for that matter, manage risk to produce yield. These profits are reflected in competitive services for their membership. The need to find the balance between risk and reward is one of the core fundamentals of finance. If a credit union were to cede its ability to manage to a potentially risk-averse examiner, the quality of their membership services could be jeopardized.

As reported in the Feb. 25 issue of Credit Union Times, a survey conducted by the CUNA revealed that 43%t of 1,500 respondents had received one or more DORs to correct unacceptable risk situations during their last exams. CUNA Deputy General Counsel Mary Dunn said the survey shows that "there are too many DORs out there."