The NCUA said if the risk-based capital rule it finalized Thursday were to take effect immediately, just 16 credit unions would need to either raise capital or reduce risk in order to comply.
The NCUA board approved the rule in a 2-1 vote and raised the question of how many credit unions would be required to act to conform to the measure in its final debate over the rule.
During the discussion, NCUA Director of the Office of Examination and Insurance Larry Fazio reported the 16 credit unions would have to add $67 million to their capital if they chose to add capital to comply with the rule instead of selling riskier assets.
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:
- Breaking credit union news and analysis, on-site and via our newsletters and custom alerts
- Weekly Shared Accounts podcast featuring exclusive interviews with industry leaders
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the commercial real estate and financial advisory markets on our other ALM sites, GlobeSt.com and ThinkAdvisor.com
Already have an account? Sign In Now
© 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.
