ARLINGTON, Va.—NAFCU said it is supporting the introduction of the Credit Union Governance Modernization Act.
The bill was introduced by House Financial Services Committee members Tom Emmer (R-MN) and Ed Perlmutter (D-CO). The legislation would update the credit union member expulsion process while ensuring a fair procedure for reinstatement.
“NAFCU applauds Representatives Tom Emmer and Ed Perlmutter for introducing legislation that will help protect credit unions and their members from abusive, fraudulent, and criminal activity,” said NAFCU President and CEO Dan Berger. “Ensuring credit unions have the ability to address illegal activity or threatening behavior at their institutions is paramount so they can continue to safely and soundly serve their members and local communities. NAFCU strongly supports this bipartisan bill, and we will continue to advocate for Congress to pass these important reforms.”
Separately, representatives from NAFCU met with the CFPB this week to discuss several topics related to implementation of section 1033 of the Dodd-Frank Act.
During the meeting, the group discussed growing data security concerns, as well as the need for standards for fintech companies that must safeguard consumer information, according to the participants.
In addition, on interagency coordination, NAFCU said it repeated its call for the Bureau to consult with the NCUA to assess how implementation of section 1033 will impact the availability of credit union services and the security of member transaction data.
NAFCU said it also discussed several topics related to the ANPR, which include:
- Technical standard setting
- Applicability of the Fair Credit Reporting Act (FCRA)
- Consumer control and privacy, including the need for consumers to be made aware of the scope and duration of data access requested by fintech companies
NAFCU noted it previously detailed concerns about section 1033 implementation in response to the CFPB's advance notice of proposed rulemaking on this topic. NAFCU said it has also recommended the CFPB's efforts to increase consumers' access to data focus on ensuring the security of consumers' data and should not create new data-collection burdens and costs for credit unions.