imposed a ceiling on the amount of member business lending that a credit union
can do (12.25% of our total assets). These loans help diversify our portfolio,
which makes Tech CU stronger and more secure. They also help our members and
our community by supporting entrepreneurial activity, creating jobs and
increasing the tax base.
union industry has been trying for over a decade to get a bill passed that
would increase business lending limits for credit unions — a move
that is supported by the National Credit Union Association (NCUA, our federal
regulatory agency). Increasing these limits is viewed as key to helping
credit unions diversify, thrive, and serve their members even more effectively.
What thought leaders are saying about business loan caps:
“Member Business Lending,” National Association of Federal Credit Unions (NAFCU)
Legislation has been introduced in the 114th Congress that would provide relief from the
credit union member business lending cap. NAFCU will continue to pursue
support and passage of legislation to increase or remove the arbitrary business
lending cap that currently applies to credit unions.
MBL related measures introduced so far in the 114th Congress include:
“Push Continues to Raise MBL Cap,” Credit Union Times
A year after
the Credit Union Small
Business Jobs Creation Act was introduced to raise the member business lending cap from 12.25%
to 27.5%, the urgency to boost that threshold is just as fresh as when the
current bill debuted in 2013.
“NAFCU Hails Sen. Wyden’s Introduction of S. 1440 to facilitate
more credit union member business lending,” CU Insight
May 22, 2015 — National Association of
Federal Credit Unions (NAFCU) President and CEO Dan Berger today hailed the
introduction by Sen. Ron Wyden, D-Ore., of S.1440, a bill that would exclude
from credit unions’ statutory member business lending cap loans made for the
purchase of one-to four-unit, non-owner-occupied buildings