WASHINGTON—The House Veterans’ Affairs Subcommittee on Economic Opportunity is being urged to support the Veterans Members Business Loan Act, H.R. 2305.
NAFCU made the request ahead of the subcommittee’s hearing on how to best get veterans back to work following the coronavirus pandemic.
In a letter to the subcommittee, NAFCU Associate Director of Legislative Affairs Lewis Plush called for the committee’s support of the bill, introduced by House Financial Services Committee Members Vicente Gonzalez (D-TX) and Tulsi Gabbard (D-HI), and Reps. Don Young (R-AK) and Paul Cook (R-CA), as it would improve veterans’ access to necessary capital by removing statutory barriers that hinder credit unions’ ability to meet the financial needs of veterans, the letter stated.
The bill covers loans to any veteran who served on active duty and was discharged or released under conditions other than dishonorable.
What Analysis Showed
Plush pointed to NAFCU’s analysis of recent Paycheck Protection Program (PPP) data released by the Small Business Administration (SBA) showing credit unions hold the highest percentage of PPP loans made to veteran-owned businesses when compared to other lenders, with 5.3% of all credit union PPP loans made to veteran-owned businesses.
“Enacting this legislation will help ensure that credit unions can continue supporting veteran businesses at a high level after the pandemic ends,” concluded Plush. “This will allow veterans further resources for success in the private sector after separating from the military. We urge you to support and co-sponsor this important legislation.”