Thank you for sharing!

Your article was successfully shared with the contacts you provided.

ALEXANDRIA, Va.-In a recent legal opinion letter, NCUA gave First Choice Credit Union the green light to purchase a participation interest in a commercial loan issued by another credit union. First Choice originally consulted the state regulator, which advised the credit union to seek NCUA counsel. The state regulator was initially concerned that, while First Choice has an appropriate policy in place, the credit union itself had never granted a business loan before. However, NCUA Associate General Counsel Sheila Albin wrote, “Assuming First Choice CU meets all other requirements of NCUA’s regulations, we see no legal impediment to its purchase of the participation interest in a commercial loan.” So long as the participation interest is consistent with the credit union’s policy, there is no violation of NCUA regulations.

Complete your profile to continue reading and get FREE access to CUTimes.com, part of your ALM digital membership.

Your access to unlimited CUTimes.com content isn’t changing.
Once you are an ALM digital member, you’ll receive:

  • Critical CUTimes.com information including comprehensive product and service provider listings via the Marketplace Directory, CU Careers, resources from industry leaders, webcasts, and breaking news, analysis and more with our informative Newsletters.
  • Exclusive discounts on ALM and CU Times events.
  • Access to other award-winning ALM websites including Law.com and GlobeSt.com.

Already have an account?


Credit Union Times

Join Credit Union Times

Don’t miss crucial strategic and tactical information necessary to run your institution and better serve your members. Join Credit Union Times now!

  • Free unlimited access to Credit Union Times' trusted and independent team of experts for extensive industry news, conference coverage, people features, statistical analysis, and regulation and technology updates.
  • Exclusive discounts on ALM and Credit Union Times events.
  • Access to other award-winning ALM websites including TreasuryandRisk.com and Law.com.

Already have an account? Sign In Now
Join Credit Union Times
Live Chat

Copyright © 2022 ALM Media Properties, LLC. All Rights Reserved.