While CUNA supports the majority of NCUA’s proposed rule on bank-credit union combination transactions, there are aspects not statutorily required, several of which may be problematic, CUNA wrote to NCUA Wednesday. NCUA is accepting comments on the proposal through March 30.
“The proposal essentially codifies current requirements and practices related to combination transactions with non-credit unions. While the proposal does not introduce much that is new, we believe codifying and centralizing the existing requirements will aid credit unions pursuing such transactions,” the letter reads. “Many of the elements of the proposal come from existing requirements, such as statutory factors the NCUA must weigh when considering an application for a combination transaction.”
In its letter, CUNA disagrees with the proposed approach to exclude a limit on the length of time the NCUA may take to consider a combination transaction.
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