America’s Credit Unions’ Amanda Smith Tuesday provided comments in response to the Treasury Department’s request for information on financial inclusion, highlighting the credit union industry’s commitment to financial inclusion and outlining examples of actions to promote financial inclusion.
Smith noted credit unions have enacted several innovative programs to provide financial services to unbanked or underbanked populations.
“Our member credit unions have reported that financial inclusion means providing products and services that are accessible for all, with pricing that provides value and improves financial wellness,” wrote Smith.
She also detailed policy priorities outlined by America’s Credit Unions members that encourage building and leveraging partnerships between key government agencies, non-profits, and credit unions. The priorities include:
- field of membership reform and reevaluation of limitations that currently exist under the Federal Credit Union Act;
- flexibility to offer small dollar loans to small community businesses and a net aggregate of $250,000 for the Member Business Loan exemption;
- support for the Member Business Loan Expansion Act and the Veterans Member Business Loan Act;
- revisions to the current community development financial institution criteria to expand access and provide additional funding, as well as additional clarity from the Treasury Department;
- expanding programs offered by the government-sponsored enterprises, Federal Home Loan Banks (FHLBs), and other similar organizations to provide additional housing support and allowing more credit unions to become members of the FHLBs to better serve their communities; and
- improvements to the Payday Alternative Loans Program and investment in the NCUA’s Minority Depository Institution Preservation Program.
America’s Credit Unions will remain engaged with the Treasury Department on these topics and continue to update credit unions.
