ICBA Urges Hearing on Proposal to Expand Credit Union Biz-Lending Powers
ICBA called on Congress to convene a hearing on the National Credit Union Administration’s proposal to loosen constraints on business lending for tax-exempt credit unions. In letters to leaders of the House Financial Services Committee and Senate Banking Committee, ICBA noted that the NCUA’s attempt to sidestep Congress would encourage reckless lending and further depart from the credit union industry’s historical mission.
The House Subcommittee on Financial Institutions and Consumer Credit is hosting a hearing this Friday on the NCUA’s operations and budget. ICBA will submit a statement for the record on the NCUA’s proposed rule, which would allow more business lending under the current cap of 12.25 percent of total assets.
The comment period on the NCUA proposed rule closes Aug. 31, and ICBA will be urging bankers to weigh in opposing the NCUA proposal. Read ICBA Letter. Read NCUA Proposed Rule.