Credit unions can form a CUSO to provide services aimed athelping credit unions comply with federal regulations, according toa legal opinion from NCUA Associate General Counsel SheilaAlbin.
|She wrote that such services are allowed under the preapprovedcategory of “clerical, professional and management services.”
|But she cautioned that the services must focus on complianceaudits of credit unions and research. She also noted that the CUSOcan't provide legal advice “that would require an attorney'slicense under state law.”
|In addition, because the CUSO may hire credit union employees ona part-time basis, those employees must be cognizant of potentialconflicts of interest and be sure that they don't violate theconfidentiality of credit union records. Albin wrote the letter toGuy Messick, a Media, Pa., attorney.
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