NEWPORT BEACH, Calif. — A long time advocate for expanding CUSO powers, NACUSO applauded NCUA for its proposal to add credit card loan origination and payroll processing services to the list of permissible activities.

“Overall, it's a very positive proposal,” said Guy Messick, general counsel for NACUSO.

“NCUA has acknowledged how important CUSOs are to enable credit unions to better compete in the financial marketplace. We're very happy that the powers of CUSOs are expanding rather than constricting.”

Still, one CUSO proposal is not sitting well with CUNA. NCUA is seeking comment on an amendment to Part 741 that would extend federal regulators' access to federally insured, state chartered credit union CUSOs to ensure that regulators have access to books and records.

Messick said it remains to be seen how big of a problem are safety and soundness issues with CUSOs at state-chartered credit unions are and their impact on federal credit unions.

NCUA's proposed CUSO amendments will be discussed in detail during a session at NACUSO's annual conference next week in Las Vegas, Messick said.