The Community Bankers of Michigan called on state lawmakers to subject credit unions to sound regulations such as the Community Reinvestment Act.
Letter to the Editor: In a new letter to the editor of the Midland Daily News, CBM President and CEO James North wrote that community banks have been a lifeline to Michigan’s rural communities, but this support is at risk due to acquisitions by tax-exempt credit unions. “Unlike community banks, credit unions are not bound by CRA requirements, meaning they are not obliged to invest in Michigan communities, including low- and moderate- income neighborhoods,” North said.
ICBA View: ICBA supports applying Community Reinvestment Act requirements to credit unions comparable to and with the same asset-size distinctions as banks and thrifts. ICBA’s “Repair, Reform, and Thrive” plan and open letter to the 119th Congress urge lawmakers to address credit unions’ tax and regulatory advantages.