NAFCU letters to House in support of credit union regulatory relief bills
WASHINGTON, DC (May 5, 2014) —
Below is NAFCU Vice President of Legislative Affairs Brad Thaler’s letter to House Speaker John Boehner and Minority Leader Nancy Pelosi urging them to pass H.R. 2672, the “CFPB Rural Designation Petition and Correction Act.” Members of the U.S. House of Representatives were copied on the letter.
In the letter, Thaler says the legislation would be helpful for small creditors, including credit unions, offering mortgages with balloon-payment features in underserved areas as they strive to satisfy all of the “ability-to-repay” requirements to ensure loans are considered “qualified mortgages.”
Attached is Thaler’s letter to House Speaker John Boehner and Minority Leader Nancy Pelosi urging them to swiftly pass H.R. 3468, the “Credit Union Share Insurance Fund Parity Act.” Members of the U.S. House of Representatives were copied on the letter.
In the letter, Thaler says NAFCU is pleased that the legislation, as favorably reported out of the committee, will provide NCUSIF parity with the FDIC for certain accounts, including Interest on Lawyers Trust Accounts (IOLTAs).
If you would like more information on these matters or would like to speak about this with Brad Thaler, please let me know.
Director of Public Relations
National Association of Federal Credit Unions
3138 10th Street North
Arlington, VA 22201
May 5, 2014
RE: Support for H.R. 2672, the CFPB Rural Designation Petition and Correction Act
Dear Speaker Boehner and Minority Leader Pelosi:
On behalf of that National Association of Federal Credit Unions (NAFCU), the only trade association exclusively representing the interests of our nation’s federal credit unions, I write today in regards to H.R. 2672, the Consumer Financial Protection Bureau (CFPB) Rural Designation Petition and Correction Act. This week, as the House considers the bill on the floor, NAFCU urges you to support and pass this legislation.
In establishing a petition process to ensure “rural” designations for the purpose of some Qualified Mortgage (QM) categories, this legislation is making the designation process fairer and more transparent. It will be particularly helpful for small creditors, including credit unions, offering mortgages with balloon payments in underserved areas as they strive to satisfy all of the “ability-to-repay” requirements to ensure loans are considered “qualified mortgages.”
Credit union mortgage lending is a vital part of the housing market and allows over 97 million credit union members the opportunity to attain homeownership. Regulatory burden placed on credit unions by the CFPB’s QM definition will only add to the growing amount of regulatory compliance at credit unions and needlessly detract from member service. We appreciate your attention to one of NAFCU’s outstanding concerns regarding the QM rule.
We applaud and thank the bill’s sponsors, as well as House leadership, for addressing this important issue as it will provide much needed relief to our nation’s credit unions. We urge you to support H.R. 2672. Thank you for your attention and if you have any questions regarding this issue please feel free to contact myself or NAFCU’s Director of Legislative Affairs, Jillian Pevo, at (703) 842-2836.
Vice President of Legislative Affairs