Thank you for sharing!

Your article was successfully shared with the contacts you provided.

WASHINGTON-The National Association of Community Credit Unions announced its support of Prompt Corrective Action reforms recently proposed by NCUA Chairman JoAnn Johnson stating that it is “long overdue.” “Community credit unions have generally maintained artificially high levels of capital given the risk on their balance sheets, primarily from consumer and real estate loans, to avoid even the potential of regulatory action,” NACCU Chairman Marc Schaefer, President and CEO of Truliant Federal Credit Union, said. “This has the unintended consequence of depriving the communities they serve of the application of capital to expand service to their communities and to the underserved.” “It’s refreshing to be talking about moving away from a one size fits all capital requirement to one where the true risk of NACCU member credit unions’ balance sheets are calculated and reflected in their net worth targets,” NACCU Executive Director Marc Selvitelli added. NACCU did state that the group was interested in ensuring that NCUA retains the flexibility to adapt as BASEL II evolves to allow for reasonable competitiveness with banks and their capital requirements. NACCU’s Board did ask for further clarification on the delegation of CAMEL code adjustments to regional directors. [email protected]

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.