IOWA CITY, Iowa (4/6/12)--The owner of an Iowa City bed and breakfast has written a letter to the Iowa City Press-Citizen, urging Congress to pass the legislation that would increase credit unions' ability to provide more member business lending (MBL).
Shirley Hendrickson wrote that when her family loved to Iowa City from Arizona several years ago, they purchased the Mission House Bed and Breakfast.
"We went directly to the credit union, and they learned with us and gave us the support we needed, personally and for our business," she wrote in Sunday's Press-Citizen.
She noted that legislation is moving in the U.S. Senate "that would enable credit unions to make more loans to small businesses, like mine. This legislation would be a great help to credit unions. And the timing is certainly right. The additional lending authority would enable credit unions to do more of what they do best--make safe and sound to their members in this case members who are looking to start or expand a business."
"Credit unions stand ready to help" but are constrained by the current 12.25% of assets MBL cap. The bipartisan legislation introduced in the House and Senate would raise the cap to 27.5%. She cited the Credit Union National Association's statistics: passing the legislation would mean $13 billion more available for small businesses, providing capital to create 140,000 new jobs at no cost to the taxpayer. "More than 2,000 of those jobs would be right here in Iowa," Hendrickson said.
"Congress needs to act," she urged. "With more capacity to make small business loans, credit unions such as mine can do more to help their members, spur the creation of new jobs and help accelerate our nation's economic recovery."
Use the link to read the full letter. Also, see links to videos of Mike Kelley and Joe Trettel, two small business owners in North Carolina, talking about their support of credit unions in raising the MBL cap. News Now reported about their support in an article, "MBL push at state level grows, reported in media," on Thursday. Use the links.