Newsroom
McWatters Urges Cordray to Exempt CUs from CFPB Oversight
FOR IMMEDIATE RELEASE
Washington (July 6, 2017)-- NCUA Chairman J. Mark McWatters asked CFPB Director Richard Cordray in a letter todayto conditionally exempt federally-insured credit unions with assets of more than $10 billion from the bureau's examination and enforcement authority – something NAFCU has continually advocated.
NAFCU has previously sent McWatters its list of regulatory priorities for 2017, which included exempting all credit unions from the CFPB.
"NAFCU – from the bureau's inception – was against the CFPB having direct oversight over credit unions and was the only financial services trade association to take that stance," said NAFCU President and CEO Dan Berger. "NAFCU and its members thank Chairman McWatters for making this request directly to Director Cordray."
In the letter, McWatters cited credit unions' unique structure and "positive rule for consumers in today's financial services marketplace" as reasons for exempting federal credit unions from the bureau's oversight.
"I believe that role can and should be distinguished from the role played by for-profit, investor-owned and -controlled financial institutions," McWatters continued. "Subjecting FICUs and their consumer/member owners to the dual examination — and, in the case of federally insured, state-chartered credit unions, triple examination — regime mandated under section 1025 of the [Consumer Financial Protection Act] imposes unnecessarily burdensome costs on FICUs, particularly given their positive, consumer-focused role."
He also explained that exempting federally-insured credit unions from the bureau's jurisdiction would allow the NCUA to "act as the primary agency responsible for the examination and enforcement of consumer financial protection laws for only six additional FICUs," which, he added, would free up resources for the CFPB.
"I believe the CFPB and the NCUA can and should work together to address the inherent unfairness that occurs when aggressive punitive fines are imposed on FICUs and their member owners, minimize unnecessary examination costs for FICUs, and protect consumers in a way that is fair while also maintaining a level playing field for all parties involved," McWatters wrote.
In the event that Cordray does not want to move forward with exempting federally-insured credit unions from the bureau's oversight, McWatters requested that the two agencies work together to conduct all examinations of those institutions jointly.
The National Association of Federally-Insured Credit Unions is the only national trade association focusing exclusively on federal issues affecting the nation's federally-insured credit unions. NAFCU membership is direct and provides credit unions with the best in federal advocacy, education and compliance assistance. For more information on NAFCU, go towww.nafcu.orgor@NAFCUon Twitter.
###
Falen Taylorpress@nafcu.org
Share This
Media Contact
Related Resources
Add to Calendar 2024-04-25 14:00:00 2024-04-25 14:00:00 ChatGPT: What AI can do for you! ChatGPT has been created with one main objective – to predict the next word in a sentence, based on what's typically happened in the gigabytes of text data that it's been trained on. Did you ever hear of the saying, “People fear the unknown?” Artificial intelligence scares people, but it is the future, and you need to understand the tools and resources it offers. It’s also about saving time, that’s what technology and in this case, artificial intelligence can do for you. If you want to save time and have a better quality of life, this training is for you. Once you give ChatGPT a question or prompt, it passes through the AI model and the chatbot produces a response based on the information you've given and how that fits into its vast amount of training data. It's during this training that ChatGPT has learned what word, or sequence of words, typically follows the last one in a given context. During this webinar, ChatGPT: What AI can do for you, you’ll discover the background, purpose, usability, and the pros and cons. Don't miss this opportunity! Key Takeaways Learn the background of AI Understand the purpose of AI Identify the pros and cons Register Now $295 Members | $395 Nonmembers(Additional $50 for USB)One registration gives your entire team access to the live webinar and on-demand recording until April 25, 2025Go to the Online Training Center to access the webinar after purchase » Who Should Attend NCRMs Risk titles Education Credits NCRMs will recieve 1.0 CEUs for participating in this webinar Web NAFCU digital@nafcu.org America/New_York public
ChatGPT: What AI can do for you!
Credits: NCRM
Webinar
Add to Calendar 2024-04-25 14:00:00 2024-04-25 14:00:00 Unifying Two Different Executive Benefits Programs About the Webinar In part one we discussed how to retain key positions during a time of transition. In part two, we will look at how to combine executive benefits programs from two different organizations into a single high-performing program. Evaluating each program includes many different facets, from strategy and expense to performance and servicing. This session will provide important considerations, whether or not you have pending M&A activity. Key Takeaways: Is the plan design both retentive and efficient? Is the benefit expense properly mitigated? Does the legal agreement reflect the board’s intent? View On-Demand Web NAFCU digital@nafcu.org America/New_York public
Unifying Two Different Executive Benefits Programs
preferred partner
Gallagher
Webinar
Add to Calendar 2024-04-24 14:00:00 2024-04-24 14:00:00 Optimize Liquidity, Maximize Loan Growth: The Network Lending Advantage About The Webinar Join us to learn more about network lending, a cooperative model allowing credit unions to optimize liquidity and achieve loan growth. Discover how credit unions can participate in loan pools with other institutions, allowing them to diversify portfolios, access loans with potentially lower risk and higher yields, and expand lending capacity without necessarily needing a surge in deposits. Delve into how credit unions can pool their resources, set common underwriting and pricing standards, and collectively originate, buy, and sell loans to optimize liquidity management. Hear from your peers about best practices, case studies, and practical strategies to harness the full potential of network lending and how it's helped their credit unions. Don't miss this valuable opportunity to learn how to strengthen your credit union's position in today’s competitive environment. Key Takeaways: How network lending differs from traditional lending The benefits of participating in loan pools with other credit unions How credit unions can set common underwriting and pricing standards and collectively originate, buy and sell loans to optimize liquidity management Why network lending is critical to loan growth Watch On-Demand Web NAFCU digital@nafcu.org America/New_York public
Optimize Liquidity, Maximize Loan Growth: The Network Lending Advantage
preferred partner
LendKey
Webinar
Add to Calendar 2024-04-23 14:00:00 2024-04-23 14:00:00 Monitoring the Latest Litigation Risks Credit unions’ operations pose litigation risks, with more of these cases being filed as class action lawsuits. In this Monitoring the Latest Litigation Risks for Credit Unions webinar, you’ll review some of the specific kinds of lawsuits impacting credit unions and what potential claims could be on the horizon. You’ll also examine some options for mitigating risks. Key Takeaways Review the current lawsuit trends. Understand the potential claims risks Explore options for mitigating risks. Register Now $295 Members | $395 Nonmembers(Additional $50 for USB)One registration gives your entire team access to the live webinar and on-demand recording until April 23, 2025Go to the Online Training Center to access the webinar after purchase » Who Should Attend NCCOs NCRMs Compliance and risk titles Education Credits NCRMs will recieve 1.0 CEUs for participating in this webinar NCCOs will recieve 1.0 CEUs for participating in this webinar Web NAFCU digital@nafcu.org America/New_York public
Monitoring the Latest Litigation Risks
Credits: NCCO, NCRM
Webinar
Get daily updates.
Subscribe to NAFCU today.