RegFlex is officially in effect

<p>WASHINGTON – Regional Directors of NCUA have begun formally communicating to eligible credit unions that they can begin to take advantage of the RegFlex regulation. Under RegFlex, credit unions that maintain a CAMEL 1 or 2 and a net worth of 9% for two consecutive examination periods are eligible for the lifting of certain regulatory burdens. RegFlex came into effect on March 1, 2002. “The effective date of RegFlex reminds us again of our commitment at NCUA to effective regulation and to neither excessive regulation nor de-regulation,” said NCUA chairman Dennis Dollar, who introduced and championed RegFlex. “The concept of earned regulatory flexibility which rewards well-managed credit unions with consistently solid levels of net worth and high CAMEL ratings is a sound one with many positive safety and soundness benefits.”</p>