Archive Links

Consumer Archive
CU System Archive
Market Archive
Products Archive
Washington Archive
150x172_CUEffect.jpg
Contacts
LISA MCCUEVICE PRESIDENT OF COMMUNICATIONS
EDITOR-IN-CHIEF
MICHELLE WILLITSManaging Editor
RON JOOSSASSISTANT EDITOR
ALEX MCVEIGHSTAFF NEWSWRITER
TOM SAKASHSTAFF NEWSWRITER

News Now

Washington
Idaho's Risch adds voice to RBC concerns
WASHINGTON (7/21/14)--Concerned that credit unions in his state will be facing increased capital requirements under the National Credit Union Administration's proposed risk-based capital (RBC) rule, Sen. James Risch (R-Idaho) became the latest lawmaker to submit a letter to the agency.

Risch's main concern is that the rule would be "unduly burdensome" to credit unions offering agricultural, small business and residential mortgage loans.

"Nationally, over 4,000 credit unions offer mortgage products that equate to a little over 6.5% of the entire mortgage market and enjoy loss rates well below the national average," he wrote. "The proposed rule could force credit unions to reduce the availability or affordability of loan products, restricting credit availability to their members, especially those that live in rural and low-income areas."

He went on to say that credit unions in Idaho would face increase capital requirements of approximately $44 million to remain well-capitalized. Several credit unions have suggested to Risch that the rule would prompt changes in the way they operate in order to maintain their capital buffers.

The NCUA concluded the last of three Listening Sessions Thursday, and RBC was the primary topic during every session. The agency said it will release wrap-up information on the sessions this week.

NCUA Chair Debbie Matz said during the sessions that "everything is on the table" as far as changes to the proposal, and has already indicated the 18-month implementation period spelled out in the proposal will change.


RSS





print
News Now LiveWire
.@LACULeague in @DailyComet: #creditunions' "old" benefits attractive to new generation http://t.co/AzOv3nB7IB
13 hours ago
At @FTC request, court halts operations of an alleged debt-relief scammer calling itself “FTC Credit Solutions.” http://t.co/qMsDBmKExH
18 hours ago
.@daytondailynews : The secret is out about #creditunions http://t.co/Aqu3pFTROV @DayAirCU @CODECreditUnion
18 hours ago
.@CUNA's @Nussle on @SenatorReid :(2of2)On behalf of more than 102M #CU members,I thank him 4 his leadership over the yrs/wish him the best.
20 hours ago
.@CUNA CEO Nussle on Sen. Reid’s decision not 2 seek re-election (1of2): Sen. Reid has a long history of #CU support throughout his career.
20 hours ago