The NCUA exam appeal process, the Fed rate hike and IOLTA rules were just a few topics CU Times readers debated as 2015 came to a close.
"McWatters Calls for Exam Appeals Rule," Dec. 15
No CEO or board chair in their right mind would appeal an exam under the current NCUA regime. Sure, you have that right, but next year's exam will be brutal. Too many examiners already bring their personal feelings and beliefs and adding the resentment from an appeal is not very "appealing" right now.
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BillyBobJim
"Fed Rate Hike Brings Relief," Dec. 16
One tick-up after eight years does not a trend make! With every loan refinanced down to the lowest yield possible, where would there be any room for a rate increase to your saver members? You know the borrowers weren't waiting for an increase to signal a buying spree, but the savers are looking for some relief. There will have to be more change in rates for that to happen. The overhang of the U.S. debt will keep this a long and slow process. I'll call the "relief" after a few years without seeing a reversal of rates to "re-stimulate" the economy. We are far from fine and this needs much longer to percolate before any relief can be achieved.
Gregg Stockdale, President/CEO 1st Valley Credit Union
San Bernardino, Calif.
"IOLTA Rule Excludes Prepaid Cards," Dec. 17
"'The balances of non-members' prepaid cards tied to accounts at federally insured credit unions may be very small – perhaps less than a hundred dollars per card,' Matz continued. 'However, tracking those non-members' balances could prove to be difficult and costly for many credit unions. And it would bring little benefit in the event a credit union fails.'
Tell that to the member who puts his entire payroll on a prepaid card and then finds out that the institution failed and the funds on the card aren't insured. What means very little to one person may mean the world to someone else. Besides, isn't doing what's best for the member as opposed to what's best for the institution something that credit unions do daily?
David Murphy
There has to be more to the story. Kahle's point about scores of credit unions closing while the scantest few being opened is valid. On the other hand, more about the motivation of starting the credit union in the first place needs to be known. And finally, the contrast between IAFCU and HOPE CU should be examined more deeply. How was HOPE able to get away with what they did for so long, while IAFCU was under constant regulatory scrutiny?
Barbara Seville
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