The NCUA is mad as hell and not going to take it anymore

by. Henry Meier

Here are some quick hits to get your day started, including my bet=the=mortgage football picks.

With the tone of a once indulgent teacher who has let her students hand in late homework once too often, NCUA issued a letter to credit unions on Wednesday warning them to get their Call Reports in on time. . .or else!!!

Specifically, NCUA warned credit unions that, starting with the January 24th filing deadline for the fourth quarter 5300 Call Reports, tardy and/or sloppy credit unions face fines ranging from $2,000 to $1 million for knowingly false filings. (A little free legal advice: if you think your credit union might be slapped with the $1 million grand prize you should stop reading this blog and contact a really good lawyer). NCUA is threatening to use its power to fine credit unions out of frustration that more than one thousand credit unions were late getting their Call Reports filed last quarter.

Speaking of NCUA, it released its agenda for the first meeting of the year and among the topics to be considered are a final rule to permit a limited number of credit unions to be given limited authority to use derivatives and consideration of risk-based capital reform.

The Target data breach was even more sophisticated and extensive than originally thought, according to a report forwarded to financial institutions yesterday. The Wall Street Journal quotes one analyst saying “what’s really unique about this one is it’s the first time we’ve seen the attack method at this scale. It conceals all the data transfers. It makes it really hard to detect it in the first place.” For those of you interested in learning more about the breach, a great source of up-to-date information is once again the Krebs on Security website.

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