ALEXANDRIA, Va.—Before NCUA has even held its board meeting to discuss the issue, the trade groups are already lining up to express their “concern.” NCUA has confirmed that at its Jan. 15 meeting the board will consider the risk-based capital proposal. CUToday.info will provide coverage from onsite. The revised rule is expected to go our for 90-day comment.
“CUNA will review and carefully evaluate the second risk-based capital proposal from the NCUA at the agency’s January 15 board meeting,” said CUNA CEO Jim Nussle. “We remain deeply concerned regarding several aspects of the original risk-based capital proposal. We know some of the concerns we raised in our comment letter are being considered in the second proposal, including, but not limited to: the 10% requirement to be well capitalized, risk weights, ensuring a second comment period and the allotted time for the implementation period. We hope the agency will adequately address our concerns given the significance to the credit union system and the feedback that the agency received from both the credit union movement and policymakers.”
Meanwhile, NAFCU is calling on NCUA to give “significant weight” to the input it receives from credit unions on this second risk-based capital proposal.
“The 2,000 comments it received on last year’s version are evidence that credit unions have serious concerns about NCUA’s approach to revising the industry’s capital requirements,” said NAFCU’s Carrie Hunt. “NAFCU will continue to do whatever it takes to ensure that a fair, risk-based system is established for credit unions.”