Comments on NCUA’s proposed temporary changes to Prompt Corrective Action (PCA) regulations are due in June. NCUA announced the changes last month, following months of CUNA-League engagement on pandemic-related PCA flexibility.
The first proposed change temporarily enables the NCUA Board to issue an order applicable to all federally insured credit unions to waive the earnings-retention requirement for any federally insured credit union that is classified as adequately capitalized.
The second modifies these regulations with respect to the specific documentation required for net worth restoration plans (NWRPs) for federally insured credit unions that become undercapitalized.
These will be in place until March 31, 2022.
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