Pushing back against what he says is one of the most expensive lobbying efforts by big banks, Senate Majority Whip Richard Durbin (D-Ill.) said today that credit unions and small banks were being used by larger financial institutions.
Last year, Congress passed landmark legislation to reform the interchange fee system in America. This bipartisan effort came after years of congressional hearings and Government Accountability Office studies that made clear that the interchange system was on an unsustainable course.
The NCUA's handling of the corporate credit union crisis will be among the credit union-related topics that the House and Senate banking panels plan to deal with during the next two years.
The Senate Banking Committee plans to provide "continued oversight" of the NCUA's corporate stabilization, according to the panel's two-year oversight plan issued by Chairman Tim Johnson (D-S.D.).
If a journey of 1,000 miles does begin with one step, then NCUA Chairman Debbie Matz's letter to Congress on supplemental capital could be the beginning of a long trip.
Congress hasn't scrutinized the NCUA's handling of the problems at corporate credit unions very much.
A law passed by Congress giving the NCUA the power to make payments to the Temporary Corporate Credit Union Stabilization Fund without borrowing from the Treasury sparked an industry discussion about the agency's assessment process.
President Obama today signed a measure allowing the NCUA to pay directly into the Temporary Corporate Credit Union Stabilization Fund.
The NCUA will be able to make payments to the Temporary Corporate Credit Union Stabilization Fund without borrowing from the Treasury Department as a result of legislation passed by the House on Wednesday night.
The Senate has passed a measure which would require the Government Accountability Office to study NCUA management of the corporate credit unions and their financial crisis.