Completing the LIBOR transition
ALEXANDRIA, VA (April 26, 2023) —
To
Federally Insured Credit Unions
Dear Boards of Directors and Chief Executive Officers:
On April 26, 2023, the NCUA joined with four federal financial institution regulatory agencies1 and with the state bank and credit union regulators (collectively, agencies) to issue the enclosed Joint Statement on Completing the LIBOR Transition. The joint statement reminds supervised institutions that U.S. dollar (USD) LIBOR panels will end on June 30, 2023.
The agencies reiterate that institutions with USD LIBOR exposure should complete their transition of remaining LIBOR contracts as soon as practicable. Also, institutions need to take all necessary steps to prepare for an orderly transition away from LIBOR by June 30, 2023. NCUA examiners will continue monitoring efforts through 2023 to ensure that credit unions have moved their contracts away from LIBOR in a safe and sound manner and in compliance with applicable legal requirements.
Additional guidance on LIBOR Transition Plans can be found in the May 2021 Letter to Credit Unions 21-CU-03, LIBOR Transition. Please contact your NCUA Regional Office or state supervisory authority if you have questions about this important topic.
Sincerely,
/s/
Todd M. Harper
Chairman
About National Credit Union Administration (NCUA)
The 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, the NCUA operates and manages the National Credit Union Share Insurance Fund, insuring the deposits of more than 135 million account holders in all federal credit unions and the overwhelming majority of state-chartered credit unions. The NCUA also protects consumers and educates the public on consumer protection and financial literacy issues.
