ARLINGTON, Va.—Credit union leaders’ confidence in the economy and the future of their credit union fell in January, according to NAFCU’s Credit Union Sentiment Index (CUSI).
The CUSI declined in January as two of the four component scores were down versus the prior month. The biggest drop was in the lending index, with the earnings index also falling in January, NAFCU reported.
The growth index rose slightly for the second consecutive month, but is still down sharply from mid-2022. The regulatory component held steady overall in January, NAFCU said.
Views on CFPB & Overdraft Fees
Separately, NAFCU’s latest Economic & CU Monitor found credit union leaders have yet to react to the Bureau’s October 2022 circular on overdraft fees. Eighty-two percent of survey participants—all of whom are subject to overdraft related requirements under CFPB regulation— said that the circular had not prompted changes with existing compliance, the organization said.
When asked how the CFPB’s attention to “junk fees” had impacted fee practices, NAFCU said respondents emphasized how fee practices conformed with CFPB regulation, but 24% indicated that a loss of fee income had prompted their credit union to charge more for other products or services.