Search
 

Management Manages, Not the Examiner

In todays conservative regulatory environment, the relatively high number of issued documents of resolution revealed in a recent survey of credit unions may not seem so alarming. However, if credit unions do not adequately manage their relationship with regulators, this hands-on approach could hinder their ability to provide the services...

By E. Prescott Ford | Updated on May 20, 2013
In today’s conservative regulatory environment, the relatively high number of issued documents of resolution revealed in a recent survey of credit unions may not seem so alarming. However, if credit unions do not adequately manage their relationship with regulators, this hands-on approach could hinder their ability to provide the services their membership has come to expect.

Credit unions, or any financial institution for that matter, manage risk to produce yield. These profits are reflected in competitive services for their membership. The need to find the balance between risk and reward is one of the core fundamentals of finance. If a credit union were to cede its ability to manage to a potentially risk-averse examiner, the quality of their membership services could be jeopardized.

As reported in the Feb. 25 issue of Credit Union Times, a survey conducted by the CUNA revealed that 43%t of 1,500 respondents had received one or more DORs to correct unacceptable risk situations during their last exams. CUNA Deputy General Counsel Mary Dunn said the survey shows that “there are too many DORs out there.”

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?

 

Recommended Stories

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

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