Search
 

Chatfield Encouraged Alternative Capital Still in Play

RANCHO CUCAMONGA, Calif.-California Credit Union League President and CEO David Chatfield said he was encouraged that the Government Accountability Office report on alternative capital for credit unions did not entirely rule out the possibility. He added that it was not sufficiently based on the views of individual credit unions. "We...

By Staff Writer | Updated on September 21, 2004

RANCHO CUCAMONGA, Calif.-California Credit Union League President and CEO David Chatfield said he was encouraged that the Government Accountability Office report on alternative capital for credit unions did not entirely rule out the possibility. He added that it was not sufficiently based on the views of individual credit unions. “We appreciate the thoroughness of this week’s GAO report, and the GAO’s acknowledgment that credit unions have maintained capital levels above those they must have to be considered well-capitalized under the law,” Chatfield said. “We’re also glad that, although the GAO believes that the time is not right yet for supplemental capital or risk-based capital requirements, it did not oppose these ideas in principle. “However,” he added, “we wish that, throughout its analysis, the GAO had considered the issue of capital more from the perspective of individual credit unions, rather than from the external vantage point of the credit union movement as a whole.” Chatfield said a micro-view of the capital situation at a number of credit unions during the “flight to safety” over the past three years and credit unions’ growth might have provided a better picture of some credit unions’ situations. “Those observations are true, but the GAO report uses them to base credit unions’ need for capital upon a view of credit unions in the aggregate, from a macro perspective,” he explained. “The report tends to downplay the effect that PCA regulations have on individual credit union business decisions.”

Complete your profile to continue reading and get FREE access to CUTimes.com, part of your ALM digital membership.

Your access to unlimited CUTimes.com content isn’t changing.
Once you are an ALM digital member, you’ll receive:

  • Critical CUTimes.com information including comprehensive product and service provider listings via the Marketplace Directory, CU Careers, resources from industry leaders, webcasts, and breaking news, analysis and more with our informative Newsletters.
  • Exclusive discounts on ALM and CU Times events.
  • Access to other award-winning ALM websites including Law.com and GlobeSt.com.

Already have an account?

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

Recommended Stories

Credit Union Times

Join Credit Union Times

Don’t miss crucial strategic and tactical information necessary to run your institution and better serve your members. Join Credit Union Times now!

  • Free unlimited access to Credit Union Times' trusted and independent team of experts for extensive industry news, conference coverage, people features, statistical analysis, and regulation and technology updates.
  • Exclusive discounts on ALM and Credit Union Times events.
  • Access to other award-winning ALM websites including TreasuryandRisk.com and Law.com.

Already have an account? Sign In Now
Join Credit Union Times

Copyright © 2024 ALM Global, LLC. All Rights Reserved.