“What harms the American people are regulations that ignore the credit union difference—policies that lump these member-driven institutions in with predatory actors, and, even worse, place barriers between credit unions and the consumers who need them most.”

America’s Credit Unions Head of Regulatory Affairs James Akin said this and more in a CUInsight op-ed addressed to federal financial regulators this week.  The op-ed tackled  the need for right-sized regulations for credit unions and distinction from other financial institutions, as more access to credit unions leads to better financial outcomes for the consumers that regulators are mandated to help, noting:

• 89% of members say their credit union has improved their financial well-being;
• 87% of members say it is easy to get a loan, versus 68% of non-members;
• Deep subprime auto borrowers financing at a credit union save more than $10,000 during the typical 72-month auto loan (CFPB Consumer Credit Card Market Report)
• Mortgage borrowers who finance at credit unions save as much as $35,000 over the life of a typical 30-year mortgage (Mid-year 2023 Equifax data analysis)

Akin acknowledged promising signs, with CFPB Acting Director Scott Bessent looking to “accelerate economic growth” and initiating a freeze of all bureau regulatory activity, an action America’s Credit Unions has requested.

“Thriving credit unions means a thriving Main Street,” Akin concluded, asking financial regulators to follow a common-sense approach: “follow the data, protect consumers, and support credit unions.”

Read the full piece here.