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The NCUA chairman writes, "I believe the compliance costs associated with implementing CECL overwhelmingly exceed the benefits."
"Giving priority to smaller loans will ensure that small businesses in our states have a fair shot at receiving PPP funds."
CUNA and NAFCU have made the same requests to the CFPB. It's unclear if or when the automated calls could begin.
The move comes amid complaints that large lenders have had a much easier time gaining access to the SBA lending portal.
"This election is still an opportunity for credit unions to make their voices heard."
"Quite simply, it is taking too long to submit loans and get these funds where they need to go."
A CUNA official calls the system's failures "a disturbing blow to the efforts by credit unions" trying to get loans to Main Street businesses.
Some lawmakers want to ensure small, non-bank lenders such as installment lenders (payday lenders) are eligible to obtain PPP loans.
The Fed says due to the coronavirus crisis, depositors have a more urgent need for access to their funds by remote means.
More than $500,000 is contracted out for a major rebranding project not publicly discussed by the NCUA. The project is now on hold.