LAS VEGAS – According to Tami Wass, vice president of lending, Golden West CU, and who spoke at CU Direct Lending’s 2006 Annual Symposium, the following are the leading 10 indirect lending characteristics NCUA does not want to find when it audits a credit union: 1. It exceeds regulatory guidelines, doesn’t follow the Federal Credit Union Act, or doesn’t follow its own bylaws. 2. It has an inadequate indirect lending policy. 3. It isn’t following its own indirect lending policy 4. It has inadequate internal controls. 5. It has inadequate separation of duties of its loan officers and other employees. 6. It has an inadequate system of reports and analyses. 7. It has no dealer contracts. 8. It has no due diligence process. 9. It isn’t proactive. 10. There’s a lack of formal response to agreed upon actions.

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

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

  • Critical 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 and

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 and

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

Copyright © 2023 ALM Global, LLC. All Rights Reserved.