Raleigh, NC (March 26, 2025) |
The North Carolina House of Representatives today passed House Bill 187, a League-advocated measure intended to expand financial service options in areas facing severe bank branch closures. Sponsored by Reps. Julia Howard, John Bell, Jennifer Balkcom, and Ya Liu, the bill received broad bipartisan support and passed by an overwhelming 101-11 margin.
Over the past decade, North Carolina’s most economically distressed counties have lost nearly 40% of bank branches, with about 650 fewer branches statewide than in 2013. Some counties—primarily in eastern North Carolina—now have as few as six branches combined, down from 27.
“This is straightforward for me,” said Rep. Julia Howard (R-Davie). “Bank branches are leaving rural North Carolina, and we have credit unions that want to better serve those communities but need government permission to do so. This bill grants credit unions that permission.”
Currently, credit union membership is limited by defined groups, such as employer or association affiliation. HB 187 would allow credit unions to serve residents in communities with no nearby banking access, providing an alternative to costly financial services like payday lenders and check-cashing businesses.
“We know that when communities don’t have access to branches, consumers turn to high-cost lenders like check cashers and finance companies,” shared Billy Boylston, senior vice president of advocacy for the Carolinas Credit Union League (CCUL). “Credit unions in North Carolina and across the country want to serve these communities that banks are leaving behind – that’s what our work on this bill is all about.”
CCUL President and CEO Dan Schline on this legislative change further emphasizes, “Credit unions have been serving North Carolinians for more than 100 years. This bill reflects our continued advocacy for expanding financial access where it’s needed most. We appreciate the House’s strong support and look forward to advancing this measure further.”
In addition to addressing banking deserts, HB 187 modernizes credit union statutes to allow credit unions to better the needs of members. A similar bill passed the House last session by an 85-25 margin.