ICBA said it supports proposed changes to the rules governing the merger of insured credit unions into banks.
Details: In a letter to the National Credit Union Administration, ICBA said the proposed changes represent an incremental and much-needed deregulatory first step that reduces unnecessary procedural burdens.
Background: The proposed rule would:
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Eliminate several prescriptive disclosure, formatting, notice, and voting-process requirements that were adopted in 2010 to disincentivize credit union mergers into banks.
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Remove requirements such as newspaper notices, detailed formatting rules for member disclosures, and certain reporting requirements describing how merger partners were selected.
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Eliminate nonbinding NCUA voting guidelines.
ICBA View: ICBA urged the NCUA to finalize the rule as proposed without weakening member protections or introducing new barriers.