LAST CHANCE: Association Survey on NCUA ANPR on Loan Compensation Due TODAY
The National Credit Union Administration has issued an Advance Notice of Proposed Rulemaking on Compensation in Connection with Loans to Members and Lines of Credit to Members. The NCUA’s proposal is available HERE.
Current NCUA regulations limit credit union official and employee compensation in connection with loans and lines of credit. These regulations have generated confusion, are outdated, and at odds with industry standards. The NCUA Board is seeking feedback on how to update the regulations so that credit unions can offer competitive compensation plans without encouraging inappropriate risks, incentivizing bad loans, or negatively affecting safety and soundness. While the Board is particularly interested in how the agency can update its regulations to provide flexibility with respect to senior executive compensation plans that incorporate lending as part of a broad and balanced set of organizational goals and performance measures, it would also like comments on how the regulations governing compensation associated with lending can be modernized generally.
The Association requests member input by means of a detailed survey. Your responses to this survey will help form the basis of the Association’s comment letter and ensure that the letter is reflective of member concerns and suggestions.
This advance notice of proposed rulemaking represents a meaningful opportunity to provide detailed comments and suggestions for change. Credit unions are reminded that while changes to the rule only directly impact federal credit unions, state-chartered member credit unions are welcome to respond to the survey.
Please take a few minutes to complete the Association’s survey on the NCUA’s ANPR on loan compensation HERE. The survey should take no more than fifteen (15) minutes of your time. The deadline to complete this survey is Monday, June 3, 2019.
If you have any questions, would like to provide more additional comments to the Association, please email firstname.lastname@example.org.« RETURN TO ALL NEWS