CUNA comments on NCUA corporate CU proposal
WASHINGTON, DC (February 20, 2020) — Credit Union National Association CUNA Deputy Chief Advocacy Officer & Senior Counsel Elizabeth Eurgubian released the following statement after the National Credit Union Administration (NCUA) Board issued a proposal on corporate credit unions.
“In issuing the corporate proposal, we appreciate NCUA’s objective of providing additional clarification and simplification regarding the corporate credit union regulation,” CUNA Deputy Chief Advocacy Officer & Senior Counsel Elizabeth Eurgubian said. “CUNA is currently evaluating the proposed changes in detail.”
The proposed rule is intended to update, clarify, and simplify several provisions of the corporate credit union regulation. Specifically, the proposal would:
- Permit a corporate credit union to make a minimal investment in a CUSO without the CUSO being classified as a corporate CUSO under NCUA’s rules;
- Expand the categories of senior staff positions at member credit unions eligible to serve on a corporate’s board;
- Amend the minimum experience and independence requirement for a corporate’s enterprise risk management expert; and
- Require a corporate to deduct certain investments in subordinated debt instruments issued by natural person credit unions.
NCUA will accept public comments on the proposal for 60 days following publication in the Federal Register.
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.