ALEXANDRIA, Va.—The NCUA board on Thursday is set to issue a two final rules, one regarding Credit Union Service Organizations (CUSOs) and one regarding its CAMELS rating system.
Also on the agenda for its October board meeting is a briefing on cybersecurity.
As CUToday.info reported, earlier this year the board approved a proposed rule by a 2-1 vote to permit CUSOs to originate any type of loan that a federal credit union may originate and grant the agency with additional flexibility to approve permissible activities and services during its January meeting.
While the proposal has been met with opposition from banking industry trade groups, both NAFCU and CUNA have expressed their support for the expanded CUSO authorities.
For its part, NAFCU also noted it has previously supported additional authorities that would allow a CUSO’s owners to grow and will evaluate the proposal further to ensure it does not impose complex compliance requirements or additional burdens.
Adding an ‘S’
On CAMELS, the board previously approved the proposed rule to add the “S” component – which stands for sensitivity to market risk – to the CAMEL rating system during its January meeting. In addition, the proposal includes redefining the “L” component – which stands for liquidity risk – to distinguish it from the new “S” component.
The meeting, scheduled to begin at 10 a.m. ET, will be available via livestream on the agency's website. CUToday.info will provide complete coverage.