WASHINGTON–As a phase IV stimulus package becomes better defined in Congress and comes closer to passage, NAFCU said there are several core provisions it especially wants to see included.
As CUToday.info has reported, the House and the Senate remain divided over what form such a stimulus package might take, with the House having already passed the $3 trillion HEROES Act, which the Senate went into recess with divisions over what should be included in a $1 trillion package it has considered.
NAFCU EVP and General Counsel Carrie Hunt said the trade group would like to see additional movement on lifting the member business lending (MBL) cap under which credit unions operate, but also acknowledged opposition from the banking industry makes that unlikely.
Less controversial and strongly supported by credit unions are provisions and legislation that would provide immediate forgiveness of all Paycheck Protection Program (PPP) loans of $150,000 and below, which both NAFCU and CUNA have backed.
In addition, said Hunt, NAFCU would support legislation allowing for e-signatures, which she said is not just practical during the coronavirus pandemic but would remain so into the future.
“Ultimately, credit union members are going to continue to need relief,” Hunt said.
An Eye on Bankruptcy
Another issue NAFCU is watching is consumer bankruptcies. There have been predictions of a wave of bankruptcies coming in the Autumn and early winter as the coronavirus pandemic continues, people remain out of work and various relief programs expire.
Hunt said bankruptcies are “certainly” an issue of concern to NAFCU and credit unions, including a bigger issue of the potential for a change in the bankruptcy process or even legislation that might allow for “broad forgiveness” of debt.
NAFCU is hosting a webinar on bankruptcy on Thursday.
Like other organizations, NAFCU has moved a number of its usual in-person events to a virtual environment, and Hunt said she believes the organization has transitioned well to the new arrangement and even found some “silver linings,” including the opportunity for people to sign up on the same day as the webinar and the ability to be more flexible in offerings.