PRESS RELEASE

June 25, 2015

CONTACT: Patrick Keefe, NASCUS Communications/703-528-5974, pkeefe@nascus.org

NASCUS PRESIDENT AND CEO LUCY ITO
ON COMMENTS BY NCUA CHAIRMAN DEBBIE MATZ
REGARDING SUPPLEMENTAL CAPITAL, BUSINESS LENDING RULES

NCUA urged to consider, incorporate state preapproved forms of capital in definition

“Supplemental capital has been a core issue for NASCUS throughout much of its long history, so we appreciate Chairman Matz’ remarks today. State regulators and state-chartered credit unions pushed aggressively for including supplemental capital in both the risk-based capital proposals 1 and 2.

“In particular, several states have already authorized certain forms of supplemental capital for their non-low income credit unions, but without PCA capital treatment these tools have not been a cost-effective resource for credit unions to date. NASCUS urges NCUA to consider and incorporate these preapproved forms of capital in their definition of supplemental capital, both to facilitate timely access to this tool for credit unions, and to provide a roadmap and testing ground for NCUA as it develops its own standards.

“We applaud the chairman for moving forward on action that will not only provide credit unions with needed regulatory relief, but also bolsters the safety and soundness of the entire credit union system.

“Chairman Matz also noted proposed changes in member business lending regulations.  We acknowledge and appreciate that NCUA took care to specify options for addressing state-specific rules going forward.  In our view, deferring to state authorities makes sense as they are closer to local business environments and their states’ own economies.”

 

Information Contact:
Patrick Keefe, Director of Communications, pkeefe@nascus.org or (703) 528-5974

The National Association of State Credit Union Supervisors (NASCUS) is the primary resource and voice of the state governmental agencies that charter, regulate and examine the nation’s state-chartered credit unions. NASCUS membership is made up of state-chartered credit unions, state regulators and other supporters of the state credit union system. NASCUS is the only organization dedicated to the defense and promotion of the state credit union charter and the autonomy of state credit union regulatory agencies.