Credit Union groups defend NCUA field of membership rule in court
Credit Union National Association, CUNA Mutual Group and National Association of Federally-Insured Credit Unions file amicus brief
WASHINGTON, DC (June 28, 2017) — The Credit Union National Association (CUNA), CUNA Mutual Group and the National Association of Federally-Insured Credit Unions (NAFCU) jointly filed an amicus brief supporting the National Credit Union Administration’s field of membership rule. The amicus brief, filed today in the U.S. District Court for the District of Columbia, supports the NCUA’s cross-motion for summary judgment against a lawsuit filed by the American Bankers Association.
The banking group is challenging the NCUA’s interpretation of Federal Credit Union Act requirements for community-based credit unions, as amended by the 1998 Credit Union Membership Access Act (CUMAA). In their brief, CUNA, NAFCU and CUNA Mutual Group argue that the NCUA’s rule is entitled to deference under Chevron and that it furthers Congress’ purpose in enacting CUMAA to grow and strengthen the credit union industry.
“The National Credit Union Administration is well within its authority to interpret the Federal Credit Union Act,” said Jim Nussle, president and CEO of CUNA. “Changes to the NCUA’s field of membership policy have evolved as the industry and needs of consumers have evolved, and we will continue to vigorously defend credit unions’ ability to best serve their members.”
“Credit unions play an integral role in serving members and helping them build financial security,” said Robert N. Trunzo, president and CEO of CUNA Mutual Group. “Over the years, we have stood proudly to defend and promote credit unions’ fields of membership, such as with the Credit Union Campaign for Consumer Choice, and we’re pleased to join forces with CUNA and NAFCU to file this brief in support of the rule.”
“NAFCU believes that all credit unions, as not-for-profit, cooperative financial institutions, should be able to grow and adapt to the needs of their member-owners,” said Dan Berger, president and CEO of NAFCU. “The National Credit Union Administration’s interpretation of the Federal Credit Union Act is a reasonable one, and we will remain steadfast in supporting it.”
Credit Union National Association (CUNA) is the only national association that advocates on behalf of all of America’s credit unions, which are owned by 120 million consumer members. CUNA, along with its network of affiliated state credit union leagues, delivers unwavering advocacy, continuous professional growth and operational confidence to protect the best interests of all credit unions. For more information about CUNA, visit cuna.org. To find your nearest credit union, visit YourMoneyFurther.com.
The National Association of Federally-Insured Credit Unions (NAFCU) is the only national trade association focusing exclusively on federal issues affecting the nation’s federally-insured credit unions. NAFCU membership is direct and provides credit unions with the best in federal advocacy, education and compliance assistance. For more information on NAFCU, go to www.nafcu.org or @NAFCU on Twitter.
About CUNA Mutual Group
CUNA Mutual Group helps people plan, protect and invest for their future – regardless of their financial standing. The company was founded more than 80 years ago by credit union leaders who were looking for an insurance partner they could trust. Today, CUNA Mutual Group helps credit unions and hardworking Americans build financial security through commercial and personal insurance products; lending and payment security solutions; and risk management, retirement, investment and marketing services. Additional information about the company can be found at www.cunamutual.com.
CUNA Mutual Group is the marketing name for CUNA Mutual Holding Company, a mutual insurance holding company, its subsidiaries and affiliates. Life, accident, health and annuity insurance products are issued by CMFG Life Insurance Company and MEMBERS Life Insurance Company. Corporate headquarters are located in Madison, Wis.