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In the latest Compliance Blog, NAFCU Vice President of Regulatory Compliance Brandy Bruyere breaks down the fall rulemaking agendas released by the NCUA and the CFPB, highlighting important proposed and final rules to look out for in the coming months.

NCUA

Bruyere notes a few items from the NCUA’s fall rulemaking agenda that credit unions should look out for in the new year. “The agenda items tackle challenging capital issues like transitioning to the Current Expected Credit Loss (CECL) methodology and subordinated debt/regulatory capital,” Bruyere writes.

According to Bruyere, some key proposals to keep in mind for in 2020 include:

• compensation in connection with loans to members;
• credit union service organizations;
• transition to CECL; and
• purchase, sale, and pledge of loans.

In addition to rulemaking activity, credit unions will begin to see changes in NCUA exam tools in 2020. The NCUA has worked on various exam modernization initiatives, and has created the Modern Examination and Risk Identification Tool (MERIT) which will replace the current ARIES software and questionnaires. Bruyere anticipates that by late 2020 the tool will begin being used when examining all credit unions.

CFPB

From the CFPB’s agenda, Bruyere highlights a few proposals to keep an eye out for including:

• a proposal on first party debt collection;
• the public release of HMDA data; and
• a proposal to reconsider the discretionary data points added by the 2015 HDMA rule.

To see snapshots of both agency’s fall rulemaking agendas, read Bruyere’s blog here. NAFCU’s Compliance Team publishes a new blog every Monday, Wednesday, and Friday on key regulatory issues affecting credit unions. Sign up to receive new Compliance Blog posts and view the compliance calendar for help with important upcoming dates and deadlines.