A death sentence for credit unions? An impetus to change the business model? Depends on who you ask.
The interchange cap, loan demand, compliance burdens and corporate pricing are all figuring in the early discussion of those newly named Federal Reserve panels composed of bank and credit union CEOs.
Those are among the red flags raised in the early comment letters filed with the NCUA on the proposed corporate credit union rules that the NCUA sent out for comment last month.
The financial crisis and recession had increased uncertainty about the safety of financial institutions. In addition, credit unions are generally less visible than banks.
The NCUA is using television, radio and billboards to spread the word about deposit insurance.
As I come to the end of my term as a board member and chair of NAFCU, it is with particular pride that I reflect upon how our industry has evolved over the last decade.
Credit unions are in the risk business. If you don't take risk, you go out of business. It's as simple as that. However, take too much risk and you go out of business, too.
Ed Mierzwinski, consumer program director at the non-profit, non-partisan U.S. Public Interest Research Group, shares why reg restructuring is good for everyone.
The regulatory overhaul legislation, H.R. 4173, could reach the House floor today, according to NAFCU.
Interchange remains the topic du jour. Many pieces of this issue are puzzling, not the least of which is the process in which it came about. Namely, there wasn't one.