WASHINGTON -- The NCUA Board voted today to seek comments on a host of regulations governing member business loans.
In a unanimous vote at a meeting that lasted less than 20 minutes, the board voted to ask for opinions and recommendations on issues such as loan-to-value ratio, the waiver process and the experience level of those who make decisions on these kinds of loans.
The two major credit union associations have already outlined their strong support for regulatory relief in these and related areas and plan to final additional comments as a result of today's board vote. NASCUS, which represents state regulators, is also planning to weigh in because Congress has mandated that federal and state regulators work together on determining the rules surrounding member business loans.
Some rules in this area are set by Congress, such as the one limiting MBLs to 12.5% of a credit union's assets. While others, such as the waver process, are governed by NCUA regulations.
Comments are due to NCUA by August 19 and there is no timetable for when the board will act on them. The board is required to review one third of its regulations annually.
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