NAFCU Creates Calculator
NAFCU has created its own risk-based capital calculator, which its member credit unions can use to determine the potential impact of the NCUA's proposed risk-based capital rule.
“Unlike the calculator NCUA published on its own website, the NAFCU calculator allows credit unions to vary assumptions for return on assets, growth and risk weights for different types of assets,” said a NAFCU press release on March 11.
The NCUA launched its risk-based calculator tool in January.
The online tool posted on NAFCU's website allows credit unions to estimate the effect of the proposed rule on their balance sheets over the next five years.
NAFCU Senior Vice President and General Counsel Carrie Hunt is encouraging members to utilize the tool as they prepare comment letters for the NCUA.
“Use the calculator to help strengthen your arguments when writing your credit union's comment letter,” she wrote in an email to members. “The calculator can also be a helpful tool when putting together a CEO report to your board on the impact of the rule on your credit union.”
In a joint letter to the NCUA, CUNA and NAFCU called for an additional 90 days for the comment period. NCUA Board Chairman Debbie Matz declined the request but said the rule would likely change before it is finalized.