Matz says proposed rule will require stress tests
Sept. 19, 2013 – NCUA Board Chairman Debbie Matz said the agency is drafting a proposed rule to require annual stress tests at credit unions having more than $10 billion in assets, and NAFCU’s chief executive says there will be close scrutiny of the measure.
While there are currently just four credit unions with more than $10 billion in assets, others could be affected over time as they grow, presuming the proposed rule does not index for inflation.
Matz announced the coming proposal in remarks delivered Wednesday before the 2013 State System Summit of the National Association of State Credit Union Supervisors. She said the NCUA Board plans to have a proposed rule out for comment before year-end.
NAFCU President and CEO Dan Berger said the association will be reviewing the proposed rule to determine its full impact on credit unions. “At first glance, we have several concerns,” Berger said. “The agency's proposed rule on stress tests seems to be an additional, unnecessary burden for credit unions, which are already performing stress tests. Moreover, we continue to object to any regulation without clear justification.”
Matz, in Wednesday’s speech, said, “At NCUA, we need to utilize all the tools at our disposal to look ahead in order to protect the industry in the future.”