NCUA launches new digital tool to help with the chartering process
ALEXANDRIA, VA (August 8, 2019) — The National Credit Union Administration is encouraging groups seeking to organize credit unions to take advantage of the agency’s new digital tool to help them with the charter application process.
The Chartering Proof of Concept tool is an automated system that will help credit union organizers better understand the process and how to prepare a charter application. It will streamline that process by allowing the NCUA’s Office of Credit Union Resources and Expansion to preview the information to be included in an application.
Organizers will use the tool to evaluate how well they meet the requirements for starting a credit union by reviewing the four critical application elements: purpose and core values, field of membership, capital, and subscribers. They will address questions specific to these critical areas and submit answers to the agency for review.
The Office of Credit Union Resources and Expansion will evaluate and score submissions on how adequately the organizers address each critical element. CURE will invite groups that achieve a minimum score of 80 out of 100 to submit a formal charter application. CURE will advise groups that do not achieve that minimum score to either provide additional information or consider alternatives.
NCUA’s Office of Credit Union Resources and Expansion supports credit unions seeking changes in their charters, bylaws, or fields of membership; minority credit unions; low-income-designated credit unions and credit unions interested in a low-income designation; and groups organizing to start new credit unions.
About National Credit Union Administration (NCUA)
The NCUA is the independent federal agency created by the U.S. Congress to regulate, charter and supervise federal credit unions. With the backing of the full faith and credit of the United States, the NCUA operates and manages the National Credit Union Share Insurance Fund, insuring the deposits of more than 135 million account holders in all federal credit unions and the overwhelming majority of state-chartered credit unions. The NCUA also protects consumers and educates the public on consumer protection and financial literacy issues.
