NAFCU to NCUA: Keep Loan Rate Ceiling at 18%
NAFCU President/CEO Dan Berger said in a letter Friday that that the NCUA should continue the current 18% loan rate ceiling.
The issue will be discussed at the NCUA board meeting on Thursday. The 18% ceiling would revert back to 15%, the statutory loan rate ceiling in the Federal Credit Union Act, on March 10 without action from the board. “NAFCU believes that lowering the interest rate will be detrimental to the safety and soundness to credit unions as it could potentially result in a loss of capital,” Berger said in the letter.