Click Cover to Read Digital Edition

AVAILABLE IN THE APP STORE
iPAD APP
iPHONE APP

UPCOMING EVENTS

 
Card Forum & Expo
April 22-25
Hilton Orlando Bonnet Creek
Orlando, Fla.
 
EMERGE: The Forum on Consumer Financial Services Innovation
June 2-4
Hyatt Regency Century Plaza
Los Angeles
 
Digital Banking Summit
June 2-4
Hyatt Regency Century Plaza
Los Angeles
 
2014 RDC Summit
Sept. 30 - Oct. 2
Las Vegas
 
ATM, Debit & Prepaid Forum
October 19-22
JW Marriott Desert Ridge
Phoenix
 
Money2020
November 2-6
Aria
Las Vegas
More events >  

Share |

Print Friendly and PDF

ICBA Credit Union Petition Tops 13,000

 

July 31 - The Independent Community Bankers of America has announced that a petition opposing the tax-exempt credit unions’ power grab legislation to expand their member business lending authority has garnered more than 13,000 signatures and growing. The broad taxpaying community-banking sector and their employees and customers nationwide are expressing their opposition by the thousands to the controversial credit union bills (S. 2231/H.R. 1418).

“ICBA and more than 13,000 constituents vigorously oppose legislation to expand the commercial lending powers of tax-exempt credit unions,” said Camden R. Fine, ICBA president and CEO. “Expanding the business-lending authority for taxpayer-subsidized credit unions—at the expense of taxpayers—would widen budget deficits at the federal, state and local levels.”

Credit unions have a generous tax subsidy and lighter regulations because they were established to serve people of modest means, which is why Congress placed a cap on their business-lending authority. ICBA believes that if credit unions are to be allowed to expand into commercial lending, they should be taxed and required to comply with the Communities Reinvestment Act.

Additionally, there is little evidence that an increase in the cap is necessary. According to the National Credit Union Administration, only a handful of the nation’s 7,300 credit unions are at or near the current member business lending cap. Additionally, every credit union today can continue to do business lending because loans under $50,000, Small Business Administration loans as large as $5.5 million, and loans secured by the borrower’s primary residence are all exempt from the cap.

Notably, individual credit unions have expressed growing opposition to the legislation. In April, several credit union executives wrote to Congress that the failure of several large credit unions was due to excess business lending. They also noted that the credit union industry is unprepared for expanded business-lending authority and that a silent majority of credit unions neither wants nor needs a cap hike bill in Congress.

ICBA encourages concerned constituents to continue to sign the petition at www.stoptheCUgrab.org

For more information, visit www.icba.org.

 

 


Back