NCUA Will Tweak Risk-Based Capital Proposal
NCUA Board Chairman Debbie Matz said the agency's risk-based capital rule would likely be changed before it is finalized.
"Just as the NCUA incorporated significant changes to our final rules on troubled debt restructurings, loan participations and derivatives ... I assure you the NCUA will do so, as appropriate, on this critically important rule," Matz said in response to a joint letter from CUNA President/CEO Bill Cheney and NAFCU President Dan Berger.
Both CUNA and NAFCU had asked NCUA to change the rule’s comment period to 180 days from 90 days.
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Matz declined an extension but noted that credit unions would have 120 days in total to comment since the rule was not immediately published in the Federal Register.
According to CUNA, Matz also said the risk-based capital proposal would be the "last significant safety and soundness" rule for the rest of her term, which ends on April 10, 2015.
“CUNA has warned that the [risk-based capital] plan, as proposed, could affect the core operations of most, if not all, credit unions with assets over $50 million, despite NCUA analysis that says fewer than 200 credit unions will be impacted,” the trade organization said Tuesday.