ARLINGTON, Va.—The share of credit unions that are "very concerned" about exam consistency more than doubled between 2017 and 2018, according to a new report.
NAFCU's latest Economic & CU Monitor report shows that roughly one-third of survey respondents identified "more consistent examiner interpretations of rules and regulations" as the most beneficial type of exam reform for their credit union.
In addition, the Monitor survey revealed smaller credit unions under $100 million in assets on average saw their examinations increase from six days last year to 11 days in 2018. NAFCU said it has been supportive of NCUA's efforts to improve exam efficiency and will continue to advocate for additional improvements, including expanding extended exam cycle eligibility to all well-run, low-risk credit unions.
Sentiment Index Rebounds
The latest edition of the Monitor also showed the Credit Union Sentiment Index (CUSI) rebounded in November after hitting its lowest point on record the previous month. The CUSI an index based on NAFCU member responses to eight questions on growth and earnings outlook, lending conditions and regulatory burden.
The growth score saw the largest increase as respondents were optimistic about the economy and loan demand. Loan demand also had a positive impact on the earnings component, which showed noticeable improvement in November as well.