May 12, 2016
REGULATORS, STATE CUS WELCOME REVIEW OF EXAM CYCLE
‘The annual exam places CU system at competitive disadvantage relative to community banks’
NASCUS PRESIDENT AND CEO LUCY ITO
ON NCUA BOARD CHAIRMAN RICK METSGER’S REMARKS
ABOUT REVIEW OF CU EXAMINATION FREQUENCY
The calendar year requirement is a burden on both credit unions and state regulators. We welcome Chairman Metsger’s plans to review – and, hopefully, make a change – to the required frequency of exams by the federal agency. From state regulators’ point of view, the annual exam requirement places the credit union system at a competitive disadvantage relative to the community bank system, for which the threshold is now $1 billion versus $250 million for credit unions. We also urge the chairman to include state regulators in any working group he appoints, as state regulators have firsthand insight into the relative risk posed by similarly sized credit unions and community banks. Past inclusion of state regulators on NCUA working groups has resulted in thoughtful, strong regulation for the entire credit union system.
Patrick Keefe, Vice President, Communications, firstname.lastname@example.org or (703) 528-5974