Wake Up and Take Action

The Independent Community Bankers of America and the nation's community banks are calling on policymakers and the public to “Wake Up” to the risky practices, costly tax subsidies, and irresponsibly lax oversight of the nation’s credit unions.

Learn how the tax-exempt status of credit unions affects your state with our state-by-reports and gain key messaging guidance through the Wake Up Messaging Playbook.

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ICBA Statement on Iowa Rejecting Credit Union-Bank Deal

March 04, 2020

ICBA Press Release Banner 2020

Washington, D.C. (March 4, 2020) — Independent Community Bankers of America® (ICBA) President and CEO Rebeca Romero Rainey issued the following statement on the Iowa Division of Banking decision to block a credit union acquisition of a community bank.

"ICBA and the nation's community banks commend the Iowa Division of Banking for blocking the purchase of a tax-paying community bank by a tax-exempt credit union. Like a Colorado State Banking Board decision earlier this year, the Iowa state superintendent of banking found that the transaction would have violated state statutes requiring that banks be sold to other banks.

"Following these landmark decisions, ICBA continues calling on other state agencies to examine their banking statutes to determine whether allowing state credit unions to buy the assets of state-chartered banks is legal and in the best interest of taxpayers. The surge in credit union acquisitions of community banks worsens banking industry consolidation, reduces tax revenues for local communities, and furthers the credit union industry's unbridled encroachment into full-service banking.

"ICBA will continue to raise concerns with the disturbing trend of larger credit unions increasing their taxpayer-subsidized footprint by buying up smaller, tax-paying community banks. Through the ICBA Credit Union Task Force and our 'Wake Up' campaign, ICBA is encouraging federal and state policymakers to re-examine the credit union industry’s tax and regulatory subsidies and to open their eyes to these financial firms' risky practices and irresponsibly lax oversight."


About ICBA
The Independent Community Bankers of America® creates and promotes an environment where community banks flourish. With more than 50,000 locations nationwide, community banks constitute 99 percent of all banks, employ nearly 750,000 Americans and are the only physical banking presence in one in three U.S. counties. Holding more than $5 trillion in assets, nearly $4 trillion in deposits, and more than $3.4 trillion in loans to consumers, small businesses and the agricultural community, community banks channel local deposits into the Main Streets and neighborhoods they serve, spurring job creation, fostering innovation and fueling their customers’ dreams in communities throughout America. For more information, visit ICBA’s website at www.icba.org.

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HOW CREDIT UNION'S TAX-EXEMPT STATUS AFFECTS YOUR STATE

These state-by-state reports show how credit unions have exceeded their original mandate and how that unchecked growth has negatively affected local communities across every state.

See the Report for All of the USA

Find your state

Charts

Credit unions in your state used their tax exemption to avoid paying

 

in federal income taxes.

House

In 2022, credit unions across your state held a grand total of

 

in tax-free assets.

People

In your state credit unions paid $0 in federal income tax. Meanwhile,

Nurses paid:

Cashiers paid:

Teachers paid:

Wake Up Messaging Playbook

Wake Up Messaging Playbook

Find out how community bankers can more effectively advocate for a level tax and regulatory playing field between tax-exempt credit unions and the community banking industry. Access your playbook today. You must be a member to access this content.

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