NCUA’s Top 10 Compliance Issues

By Jami Weems

With so much attention paid to the Consumer Financial Protection Bureau (CFPB) these days, I thought I would take the opportunity to update you on what I think are NCUA’s top 10 compliance issues (at least for the moment).

10. Interest-rate-risk final rule

This was effective Sept. 30, 2012. This new rule revises NCUA rules and regulations section 741.3(b) and institutes a written interest-rate-risk (IRR) policy and an interest-rate-risk management program as a requirement for insurance. The requirements for this rule are based on your assets and balance-sheet structure.

9. Letter to CU 12-CU-11

If you’re still wondering about the new IRR rule, look no further than NCUA Letter to Credit Unions 12-CU-11, issued in August 2012. This letter is a must-read if you’re still trying to fully understand the rule and the expectations of the regulator.

8. Loan workouts and troubled debt restructuring

NCUA Loan Workouts and Nonaccrual Policy, and Regulatory Reporting of Troubled Debt Restructured Loans was effective Oct. 1, 2012. The intent of this rule is to allow federally insured credit unions to better serve members who are experiencing financial difficulties while reducing the reporting burdens.

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