Hearing shows credit unions and banks still far apart on member business lending.
NCUA Chairman Debbie Matz is the lead witness in Thursday’s Senate Banking Committee hearing on legislation to raise the cap on member business loans.
Might this time finally be the charm for member business lending? After years of lobbying and cajoling, credit unions will finally get their wish on June 16 when the Senate Banking Committee holds a hearing on Sen. Mark Udall’s (D-Colo.) legislation to raise the cap on member business loans.
If credit unions were subject to income taxes, they would lose a key part of what makes them unique, but experts are divided as to whether it would create a stampede of bank conversions.
The online fallout from the "Credit Union Bailout" headlines continued last week.
CUNA wants any consumer financial products regulator not to have any examination powers for any credit union while the ABA wants no new consumer regulatory agency.
Even though they weren't invited to testify-and the banking trade associations were-CUNA and NAFCU sent letters to a Senate subcommittee urging lawmakers to raise the cap on member business lending.
Congress has placed financial service providers on the defensive during the past four years. But with an election scheduled for this year, the political pressures will be even greater.