Archive Links

Consumer Archive
CU System Archive
Market Archive
Products Archive
Washington Archive

News Now

Washington
NCUA letters address Corp. CU actions due diligence
ALEXANDRIA, Va. (10/8/10)--The National Credit Union Administration (NCUA) this week followed up its recent corporate credit union actions by releasing a series of letters to credit unions. Letters 10-CU-17, 10-CU-19, 10-CU-20 and 10-CU-21 address the recently determined National Credit Union Share Insurance Fund Premium, the NCUA’s corporate credit union resolution, the new corporate credit union rule, and the general state of the credit union industry, respectively. The NCUA also makes more specific recommendations to credit unions in letter 10-CU-18. In that letter, the NCUA recommends the risk management processes needed to ensure that credit unions have taken appropriate due diligence. The agency recommends that credit unions risk management practices include examinations of exposure limits, “accurate risk measurement, an understanding of the investment’s structure, knowledge of the collateral performance, and a determination of investment suitability. “Knowing what questions to ask and which documents to review is the foundation of a solid due diligence process,” the NCUA adds. The NCUA said that credit unions should also note the nature of the investment, whether or not it is backed by any collateral, the interest rate structure of the investment, the amount of the investment. The maturity schedule of the investment and whether or not the given investment fits within the credit union’s investment policy and asset-liability management constraints should also be determined, the NCUA said. For the full NCUA letters, use the resource link.
Other Resources

RSS print
News Now LiveWire
Today's the last day to complete @CUNA's Home Depot data breach survey http://t.co/UcB8G9bVXe #StoptheDataBreaches
39 minutes ago
Brenda Davis of Cross Roads Ministries will walk through 83 communities during the Ending Hunger Walking tour. (2 of 2)
1 hours 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 hours ago
Darwin Brokke of Citizens Community CU represented the #CU Association of Dakotas at a housing summit hosted by @SenatorHeitkamp
1 hours ago
.@TheNCUA says its employees report high job satisfaction in the 2014 Federal Employee Viewpoint Survey. http://t.co/1nLUwrEqnA
3 hours ago