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Preventing Consumer Compliance Violations

While credit unions don’t set out to harm consumers, the fact is that oversights happen.

By Rafael DeLeon | June 21, 2022 at 12:44 PM
compliance written on chalkboard with people working at desk Source: Shutterstock

Credit unions are member-owned and would never do anything to deliberately hurt consumers – yet their track record isn’t flawless and the NCUA is trying to do something about it.

In 2021, the NCUA found that nearly 15% of federal credit unions it examined had violated consumer compliance rules, according to a recent speech by NCUA Chairman Todd Harper. Fair lending exams at 29 credit unions (less than 1% of federal credit unions) uncovered violations impacting 64,000 members and resulting in $185,000 in restitution and remediation. The agency also observed “compliance management system weaknesses” in most cases.

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