CUNA to White House: Credit unions need accommodations to provide COVID-19 financial assistance
WASHINGTON, DC (March 16, 2020) — Credit Union National Association (CUNA) President/CEO Jim Nussle wrote to President Donald Trump today to request that statutory and regulatory accommodations be made to ensure credit unions can continue to meet the financial services needs of their members impacted by the coronavirus (COVID-19).
“More than 2,100 credit unions, serving nearly 46 million members, have a primary field of membership that includes schools, military, health care, police, fire, transportation, utilities and government employees,” Nussle wrote. “These credit unions and others are serving members who are on the front lines of helping to keep others safe during this crisis.”
Given the severity of the crisis and the need for quick action to alleviate consumer financial disruption, CUNA is requesting that the administration, federal agencies and Congress:
- Suspend all pending rulemakings — and not propose additional rulemakings – that will not provide regulatory relief for financial institutions at this time.
- Extend the effective dates for recently finalized regulations until 2021.
- Suspend all routine onsite examinations for at least the next 120 days.
- Waive penalizations to credit unions implementing short-term emergency loan programs, skip-a-payment programs, loan modifications, fee waivers and other accommodations.
- Receive permission from the National Credit Union Administration (NCUA) to allow virtual membership and board meetings.
- Suspend the Financial Accounting Standards Board (FASB) implementation of its current expected credit loss (CECL) standard for at least one year, until January 2024.
- Increase appropriations for the Community Development Revolving Loan Fund (CDRLF) and the Community Development Financial Institution Fund (CDFIF).
- Enact legislation to exempt credit union business loans made during federally declared disasters and emergencies from the credit union member business lending cap.
- Enact legislation to exempt government-guaranteed loans made through programs at the Small Business Administration, Department of Agriculture and other agencies from the credit union member business lending cap.
- Allow consumers to waive the rigid requirements related to the specific timing of disclosures (e.g. the three-day closing disclosure requirement) under the TILA-RESPA Integrated Disclosure (TRID) rule.
- Expedite the Consumer Financial Protection Bureau (CFPB) amendment to the Remittance Rule increasing the “normal course of business” safe harbor and make an accommodation for transfers sent to individuals affected by the growing pandemic.
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 135 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.