Newsroom

NAFCU's widely-read NAFCU Today is credit union leaders' go-to source for the latest on issues impacting the credit union industry. For those short on time, here's a roundup of this week's top need-to-know news related to postal banking, the Democratic National Convention, and more.

Berger pushes back against Wall Street bank's power grab

In case you missed it, JPMorgan Chase has reportedly held talks with the U.S. Postal Service about leasing space at post offices to place ATMs and offer other financial services. NAFCU President and CEO Dan Berger pushed back against the proposal, arguing that "[a]llowing Wall Street mega banks free-reign to solicit customers from community post offices would amount to nothing more than a power grab aimed at bolstering profits."

Berger's rebuttal was featured in Politico's Morning Money. The House Oversight Committee Monday and Senate Homeland Security and Governmental Affairs Committee today are set to explore issues with the USPS; NAFCU will monitor and keep credit unions informed of any developments.

Democratic Convention: Party platform adopted; Biden, Harris accept nominations

Former Vice President Joe Biden and Sen. Kamala Harris, D-Calif., have officially accepted their nominations for president and vice president, respectively, on the 2020 Democratic presidential ticket during this week's Democratic National Convention. The party also adopted its 2020 platform, which includes a NAFCU-opposed proposal to explore postal banking options. NAFCU has long advocated against postal banking proposals and has instead fought for legislative changes to allow all credit unions to add underserved areas to their fields of membership as the industry already offers loan products and savings mechanisms for their members.

Earlier this week, NAFCU's Berger sent Biden and President Donald Trump's campaigns the issues that are most important to credit unions and detailed the key role credit unions play in supporting their communities. The Republican National Convention is set to begin next week.

New research to bolster CUs' DEI efforts

The Filene Research Institute's Center of Excellence for Community Social Impact announced it is launching a five-year research project "to expand the knowledge and practice of social impact among credit unions." Filene EVP and Chief Research and Development Officer George Hofheimer said credit unions are poised to be leaders in financial wellbeing and equality, "but there is a gap between recognizing the value of social impact strategies and actually implementing them."

The research will focus on:

• identifying proven factors that successfully fight the root causes of poverty and inequality impacting individuals, families, neighborhoods, and communities;
• establishing longitudinal research to identify and track proven programs and agencies that enable social impact in the consumer finance industry and drive household and community financial wellbeing;
• creating and testing a social impact playbook to demonstrate the links between community development initiatives and positive business and consumer outcomes; and
• building partnerships with local governments, schools, hospitals, community and nonprofit organizations to translate financial services into physical and social wellness and improved quality of life.

Diversity, equity, and inclusion (DEI) efforts are priorities for NAFCU and the NCUA.

Will lawmakers agree to 'skinny' COVID package?

Draft language from Senate Republicans for a "skinny" version of its Phase 4 coronavirus relief package has been circulating on Capitol Hill this week. While it has not been officially released or introduced, bill text reviewed by NAFCU appears to largely mirror the original package – the HEALS Act (Health; Economic Assistance; Liability Protection; and Schools Act) – which was released in July. The primary difference is that it does not include funding for stimulus checks, and it also does not provide a credit for retained employees. NAFCU will keep credit unions updated on relief package negotiations.