April 14, 2014

Fed Board needs CU member, NAFCU writes

April 15, 2014 – NAFCU President and CEO Dan Berger wrote President Obama and Senior Advisor Valerie Jarrett Monday on the need for the Federal Reserve Board of Governors to have a credit union representative as a member.

Berger wrote about the increasing regulatory burdens the credit union industry is facing and how the ongoing dialogue with the Federal Reserve Board would be strengthened by the presence of a member with experience in the industry. "A well-educated, experienced credit union CEO would add value to the Federal Reserve Board of Governors by offering both the credit union perspective and, more generally, the perspective of smaller community lenders," Berger wrote.

"NAFCU applauds your recognition in the most recent State of the Union address of the need for creditors to continue to fund small businesses," Berger wrote. "The nation's credit unions are uniquely qualified to help make this a reality by strengthening access to financial services in communities throughout Main Street America. A 2011 study commissioned by the Small Business Administration's Office of Advocacy found that, even during the financial crisis, credit unions have the ability to provide some extra business lending in response to the reductions in bank business lending."

Berger also cited the independent study commissioned by NAFCU this year which showed that the total benefit from the credit union industry to U.S. consumers is $17 billion per year.