That would take a lot of additional research…and also seeing if there are maybe other things that can be done such as if you train the borrower and help them repair their credit such that then they get a more affordable mortgage product. Now we're talking about pre-purchase counseling but also the importance of post-purchase counseling.

Another community development tool is our member business lending that credit unions are allowed to offer as well. That also creates and stabilizes communities and also creates small businesses and new jobs. CU Times: With member business lending, you're presenting it as part of community development, but the banks have always taken issue. Do you think credit unions are in danger of overstepping their bounds? Hood: No, not at all. Credit unions, since their inception, have always been able to make member business loans. It's only been since H.R. 1151 that the cap was imposed. I know the bank advocates love saying that credit unions are stepping into this new territory. I, as a former banker–a former commercial loan officer, recognize that there are some loans that banks cannot make because they would be cost-prohibitive. For them to make a $50,000 small business loan, to make a $10,000 loan for capital or inventory for a small business, they cannot do that. Their infrastructure does not reward them for doing that. CU Times: You've spoken a lot recently about credit unions serving those in the military. What is the special niche that credit unions can provide to them? Hood: The military and the credit unions have almost like a, I wouldn't say symbiotic relationship, but it's close because the credit unions really know their members. They have the extra service that keeps their members informed and I think financial literacy and outreach and counseling. As we talk about financial literacy, for the general public it may mean one thing, but with your enlisted folks you have unique challenges that folks in the general population don't have. They can go away and be enlisted for years at a time on foreign soil, meaning that they sign lots of documents giving their power of attorney to friends and loved ones, things that, if misused, could damage their credit. CU Times: As I understand it, there's permitted one bank and one credit union branch on base. Are the banks doing these same things? Hood: I really don't know. I haven't polled them. When I've traveled, I've seen some of the banks there on the base. I will say it looks like our parking lot seems to be much fuller. That's just my assessment. CU Times: These are also, like Navy Federal and Pentagon, some of the credit unions the banks like to rail against. It's interesting that these credit unions are the larger ones in particular that are going to extra lengths to serve the members of the military. Hood: They are and I just think it's the empty rhetoric. Because they have such wonderful success records, I applaud them all for going the extra mile and not resting on their laurels but really serving their members. CU Times: Is there anything else you are focused on that credit unions should know about? Hood: If there is one thing I could add as a sidebar to the military, is really making sure that we fight predatory lending. I'm fortunate to be from North Carolina where predatory lending is outlawed meaning a lot of those unscrupulous financial service providers who prey upon our military folks and give them those high interest rate loans for cars…those folks have all been run out of town. The credit unions that are working with our military in North Carolina came up with alternative products to really help them. Predatory lending is something I will continue to speak out against around the country. –[email protected]