June 03, 2020

NAFCU voices support for CDFIs, MDIs ahead of HFSC hearing

CapitolNAFCU Vice President of Legislative Affairs Brad Thaler sent a letter to the House Financial Services Subcommittee on Consumer Protection and Financial Institutions reiterating the important role community development financial institutions (CDFIs) and minority depository institutions (MDIs) play in supporting underserved communities and small businesses.

Thaler sent the letter ahead of today's subcommittee hearing, “Promoting Inclusive Lending During the Pandemic: Community Financial Institutions and Minority Depository Institutions,” which is slated to begin at 12 p.m. Eastern and will be livestreamed.

In the letter, Thaler voiced support for the subcommittee’s efforts to strengthen CDFIs and MDIs, specifically highlighting the subcommittee’s legislative efforts ensuring that these institutions have the resources they need to serve their communities. He called for increased funding for the NCUA’s community development revolving loan fund (CDRLF) program, as well as measures to make it easier for credit unions to become a CDFI.

In addition, Thaler reiterated NAFCU’s call to Congress to continue to set aside funds for the Small Business Administration’s (SBA) paycheck protection program (PPP) for community financial institutions, as well as the consideration of additional set asides for CDFIs and MDIs specifically.

NAFCU will continue working with lawmakers to address credit unions' concerns and provide more relief to the industry and will keep credit unions informed of the latest developments.