28 Credit unions agree to late-filing penalties for fourth quarter of 2014

Matz: Agency Offers Small Credit Unions Assistance with Compliance

ALEXANDRIA, VA (May 5, 2015) — Twenty-eight federally insured credit unions subject to civil money penalties for filing fourth-quarter 2014 Call Reports late have consented to those penalties, the National Credit Union Administration announced today.

The late filers will pay a total of $13,650 in penalties. Individual penalties range from $150 to $6,752. The median penalty was $187.50. The Federal Credit Union Act requires NCUA to send any funds received through civil money penalties to the U.S. Treasury.

“While we’ve seen improvement, 28 late filers is still 28 too many,” NCUA Board Chairman Debbie Matz said. “NCUA is working to get full compliance, which is important for effective supervision and accurate data. NCUA’s Office of Small Credit Union Initiatives is also available to help small credit unions in filing their Call Reports on time.”

A list of credit unions filing late in the fourth quarter and agreeing to pay civil money penalties is available online here.

Assessment of penalties primarily depends on three factors: the credit union’s asset size, its recent Call Report filing history and the length of the delay. Of the 28 credit unions agreeing to pay penalties for the fourth quarter:

  • Twenty-four had assets of less than $10 million;
  • Three had assets between $10 million and $50 million; and
  • One had assets of more than $250 million.

No credit unions with assets between $50 million and $250 million filed late in the fourth quarter. None of the late-filing credit unions had been late in the previous quarter.

A total of 56 credit unions filed Call Reports late for the fourth quarter. NCUA consulted regional offices and, when appropriate, state supervisory authorities to review each case. This review determined mitigating circumstances in 20 cases that led to credit unions not being penalized. In March, NCUA informed the remaining 36 credit unions of the penalties they faced and advised them they could reduce their penalties by signing a consent agreement. NCUA also said it would initiate administrative hearings against credit unions that did not consent. NCUA subsequently granted waivers for eight of those credit unions. The remaining 28 credit unions consented.

NCUA sends reminder messages about Call Report filing deadlines that include information on how to receive technical support to handle filing problems. NCUA’s Office of Small Credit Union Initiatives has dedicated an Economic Development Specialist to assist small credit unions in filing Call Reports on time. NCUA also has produced a video describing how to file Call Reports.

NCUA is the independent federal agency created by the U.S. Congress to regulate, charter and supervise federal credit unions. With the backing of the full faith and credit of the United States, NCUA operates and manages the National Credit Union Share Insurance Fund, insuring the deposits of more than 99 million account holders in all federal credit unions and the overwhelming majority of state-chartered credit unions. At and Pocket Cents, NCUA also educates the public on consumer protection and financial literacy issues.

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