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NAFCU Senior Regulatory Affairs Counsel Michael Emancipator on Friday urged NCUA to be more proactive in collaborating with CFPB and other regulators to ensure credit unions are not subject to conflicting or redundant regulation.

"Just over the past year, the Consumer Financial Protection Bureau (CFPB), Department of Defense (DoD), and the Financial Accounting Standards Board (FASB) have each moved forward in promulgating rules that significantly impact our members," Emancipator wrote. "Unfortunately, many of these rules are redundant to other directives from the agency, or worse, improperly infringe on rulemaking authority congressionally granted to NCUA.

"For example, the CFPB's recently proposed payday loan rule would alter important provisions in the agency's Payday Alternative Loan (PAL) program, which was designed specifically to combat the types of loans and bad practices that the bureau is trying to eliminate," he continued.

Emancipator's letter was in response to NCUA's Annual Regulatory Review. In addition to his comments on the specific rules being reviewed, Emancipator also urged that the agency:

• continue a guidelines-based approach to cybersecurity;
• provide clarifying guidance on how the agency interprets "overall financial performance," relating to executive compensation;
• publish an updated examiner guide.

Emancipator also commented on NCUA regulations regarding credit union service organizations, supervisory committee audits and verifications, fair credit reporting, incidental powers, member business loans, the Central Liquidity Facility, the advertising and notice of insured status, requirements for the National Credit Union Share Insurance Fund and administrative actions.