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1).
It will
modernize
credit union
capital and
net worth
standards,
replacing
the current
“one-size-fits
all”
leverage
capital
requirement
with a more
rigorous
two-part net
worth
structure
that would
more closely
monitor
actual asset
risk, and
more closely
resemble the
current
risk-based
capital
standards
for
FDIC-insured
banks and
thrift
institutions.
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2).
It would
lift the
business lending
cap to 20% of
total assets,
which is
comparable to
the current
limit on
non-real estate
commercial
lending for
thrift
institutions. It
would also
reverse a recent
National Credit
Union
Administration
(NCUA) rule
change and
restore the
ability of all
Ohio credit
unions to expand
their membership
to designated
underserved
areas and the
criteria for
determining
eligible
underserved
areas.
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3). It will
provide NCUA
with increased
flexibility in
setting maximum
loan terms and
interest rates,
increase credit
union
investments in
credit union
service
organizations,
allow limited
investments in
securities,
improve credit
union
governance, and
increase credit
union conversion
voting
requirements.
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