Sen. Mike Rounds, R-S.D., introduced a NAFCU-sought bill Thursday (S. 3750) that would delay the NCUA’s risk-based capital (RBC) rule an additional year – moving its implementation date from Jan. 1, 2020, to Jan. 1, 2021.
The NCUA in October approved of a one-year delay of the rule – moving it from Jan. 1, 2019 to Jan. 1, 2020 – and Rounds’ bill would provide credit unions with an additional year to ensure proper compliance. The agency, in its action, also amended the definition of a complex credit union from $100 million to $500 million – exempting an additional 1,026 credit unions from the rule – a change welcomed by NAFCU.
“On behalf of our membership and the entire credit union industry, we thank Senator Mike Rounds for supporting credit unions and introducing legislation to delay the NCUA’s RBC rule an additional year,” said NAFCU Vice President of Legislative Affairs Brad Thaler. “While NCUA’s delay was extremely welcome, we believe additional study is needed – particularly as relates to ensuring that credit union capital requirements are no more stringent than those required of the banking industry.”
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