A House subcommittee will explore whether to give credit unions an increase in the member business loan cap on Christopher Columbus' birthday.

The House Financial Services Committee's Subcommittee on Financial Institutions and Consumer Credit has scheduled a hearing on Oct. 12 at 2 p.m. regarding legislation to raise MBL cap from 12.25% to 27.5%. The panel hasn't officially announced the date but its staff members have informed officials of CUNA, NAFCU and other interested parties of this plan.

Subcommittee Chairman Shelley Moore Capito (R-W.Va.) announced last week during NAFCU's Congressional Caucus that the hearing would take place but didn't specify a date. She hasn't taken a position on the bill.

There haven't been any witnesses announced, but when the Senate Banking Committee held a hearing on the subject in June NCUA Chairman Debbie Matz testified in favor of raising the cap. CUNA and NAFCU and two banking associations also sent witnesses.

Reps. Ed Royce (R-Calif.) and Carolyn McCarthy have sponsored the legislation and so far it has 79 cosponsors. Sen. Mark Udall (D-Colo.) has sponsored companion legislation in the Senate, which has garnered 21 cosponsors.

Prior to the Credit Union Membership Access Act, which passed in 1998, there was no cap on credit union business loans.