Archive Links

Consumer Archive
CU System Archive
Market Archive
Products Archive
Washington Archive

News Now

Washington
Internet not a service facility NCUA
WASHINGTON (1/30/09)—The National Credit Union Administration (NCUA) reiterated its stance that a credit union’s Web site does not qualify as a service facility under the agency’s chartering and field of membership requirements. If formation of a separate credit union is not practical, a multiple common bond credit union may add a new group to its field of membership if it shows the NCUA it is “within reasonable proximity to the location of the group.” The group would have to be within “reasonable proximity” of a service facility of the credit union. A service facility can be a credit union-owned branch, ATM, or mobile branch, among other things. It cannot, said the NCUA, be a Web site. “A credit union’s Internet website lacks a physical presence so cannot meet the statutory requirements to be within reasonable proximity of the groups,” the agency said in a Jan. 12 legal opinion letter. The observation was made by NCUA General Counsel Robert Fenner in response to a letter from Ronald L. Burniske, President/CEO, Chartway FCU, Virginia Beach, Va. Burniske had requested the agency consider modifying NCUA regulations to include internet banking services within the definition of a service facility in this instance.
Other Resources

RSS print
News Now LiveWire
Stay tuned for coverage of @CUNA's BSA conference which starts Sunday. #CUNABSA #CUNACompliance
1 Day ago
Today's the last day to complete @CUNA's Home Depot data breach survey http://t.co/UcB8G9bVXe #StoptheDataBreaches
1 Day ago
Brenda Davis of Cross Roads Ministries will walk through 83 communities during the Ending Hunger Walking tour. (2 of 2)
1 Day ago
The Ending Hunger Walking tour, coordinated by the Maine CU League, kicked off at Old Maine CU in Augusta today. (1 of 2)
1 Day ago
Darwin Brokke of Citizens Community CU represented the #CU Association of Dakotas at a housing summit hosted by @SenatorHeitkamp
1 Day ago