WASHINGTON–President Barack Obama on Friday signed into law the transportation authorization bill—better known as the Highway Bill—which includes a number of credit union-backed provisions.
Both NAFCU and CUNA thanked Obama for the long-sought relief measures for credit unions on privacy notices and some qualified-mortgage requirements.
The bill passed through both Chambers of Congress on Thursday.
“NAFCU thanks President Obama and lawmakers for making these regulatory relief measures for credit unions a reality,” said NAFCU President and CEO Dan Berger. “This marks an important step of helping credit unions continue to provide top-notch service to their 101 million member-owners.”
CUNA President/CEO Jim Nussle touted the move as delivering the “most significant regulatory relief measures for credit unions that we’ve seen pass Congress in nearly a decade. This is a huge victory for credit unions and the over 100 million credit union members CUNA represents. Passage of these three provisions in both the House and Senate is a culmination of years of work by thousands of credit union advocates to help remove barriers and allow not-for-profit financial institutions to better serve their member owners.”
Among those provisions:
- HR 601, the “Eliminate Privacy Notice Confusion Act,” which would clarify that consumers will receive privacy notices after opening a new account and when their providers’ privacy policies change.
- HR 1259, the “Helping Expand Lending Practices in Rural Communities Act,” which would provide assistance in dealing with the CFPB’s definition “rural area,” particularly as it relates to the ability-to-repay mortgage rule.
- Language giving authority for privately insured credit unions to become a member of a Federal Home Loan Bank and also requiring a Government Accountability Office report that looks at private insurance.
- Language authorizing FDIC to do 18-month exam cycles for well-run community banks.
- Language removing a provision calling for the use of Fannie Mae and Freddie Mac credit-risk guarantee fees, or g-fees, for highway funding.