WASHINGTON - Federal credit unions will pay NCUA more money and in return get examined more closely, as a result of today's actions by the agency's board.

Those credit unions will pay at least 6.7% more next year in operating fees and possibly as much as 12% more, based on asset size, according to the new rate structure approved unanimously by the three-member board.

NCUA Deputy Chief Financial Officer Michael McNeill said the fee was necessary to finance additional costs of the agency's operations, including changes to the examination cycle. He told board members that the assets of federal credit unions are projected to increase 6.5% this year.

Most federal corporate credit unions will pay the same dollar amount in a fee. The only exception is for those with assets between $750,000 and $5 million-their fee is based on the natural person scale-meaning that their dollar amount will increase by 6.7%.

In addition to paying more money, federal credit unions will be examined more frequently by the agency.

The board revised the examination schedule so that all federal credit unions will receive an examination or an "on-site supervision contact'' every 12 months, based on risks observed over a period of 10-14 months. Currently, the agency's target is one exam every 18 months with an average of 16 months between exams.

NCUA will closely monitor all CAMEL coded 3 and 4 federally insured state chartered credit unions and do an on-site insurance review within a targeted period of every 10-14 months.

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NCUA Approves Fee Increases and More Examinations

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