WASHINGTON, DC (June 4, 2026) |
The Defense Credit Union Council (DCUC) submitted a letter for the record ahead of today’s House Financial Services Committee's hearing, "Oversight of Prudential Regulators," urging lawmakers to examine key issues affecting military-serving credit unions, including liquidity support, regulatory burden, innovation, and federal preemption of state interchange fee mandates.
In its letter, DCUC highlighted the real-world impact of NCUA policies on credit unions serving servicemembers, veterans, and military families worldwide, while encouraging Committee members to seek additional clarity from NCUA Chairman Kyle Hauptman on several critical issues.
DCUC Chief Advocacy Officer Jason Stverak said Congress's oversight comes at a pivotal time for the credit union industry:
"Recent public materials from the NCUA show that the agency is focused on risk-based supervision, Share Insurance Fund stability, responsible innovation, and a deregulatory review of outdated or unnecessarily burdensome rules. Those are consequential priorities for the institutions our members operate and for the servicemembers, veterans, and military families they serve."
Among the issues raised in its submission, DCUC called attention to the need for greater clarity regarding federal preemption for federal credit unions facing state interchange fee restrictions such as the Illinois Interchange Fee Prohibition Act (IFPA). DCUC prompted lawmakers to seek answers from NCUA regarding any planned regulatory or legal action before similar state laws are adopted elsewhere.
DCUC also encouraged discussion on strengthening the Central Liquidity Facility, ensuring credit union participation in emerging payment systems and stablecoin markets, reducing unnecessary regulatory burdens, and maintaining risk-focused supervision.
"Congressional oversight plays a critical role in ensuring that regulation keeps pace with a rapidly evolving financial landscape," says DCUC President/CEO Anthony Hernandez, Ret. U.S. Air Force Colonel. "DCUC appreciates the Committee's attention to these issues and encourages a constructive dialogue that promotes innovation, operational flexibility, and regulatory certainty for credit unions serving our Nation’s military communities."
The full letter requests written responses from Chairman Hauptman and asks that both the letter and any responses be included in the official hearing record.