Keep the dialogue with NCUA moving forward

first_img 26SHARESShareShareSharePrintMailGooglePinterestDiggRedditStumbleuponDeliciousBufferTumblr,Greg Michlig Greg Michlig joined the New Jersey Credit Union League as President/CEO in May of 2013. He has a strong background in the credit union, association and related financial services … Web: www.njcul.org Details Rules and regulations are important in everything from our social interactions with one another to the complex business guidelines and measures enforced by regulatory agencies across our country. Those agencies, including the National Credit Union Administration, play an important role in creating an environment in which expectations are set and monitored to keep bad actors from damaging the marketplace.While, in the wake of the recent financial downturn and the ensuing increased regulatory oversight, many express ire with the prudential regulator, most will also acknowledge that the NCUA has a difficult job to do in striking balance between supervision and market suppression through over-regulation. We recognize the importance of safety and soundness in the credit union system and the significance of NCUA’s function.However, regulatory burden is real and credit unions of all sizes are feeling the pinch. Managing compliance matters and participating in the examination process draws significant resources for credit unions at all levels of complexity. Those resources could be redeployed in areas dedicated to growth and consumer benefit.This is where increasing attention on the industry dialogue with NCUA is of utmost importance. It is difficult to fully understand and gain clarity from an agency when conflicting messages are delivered on issues and within levels of the organizational structure.For example, the recent 18-month exam issue was first struck down, almost immediately, by NCUA spokesman Ben Hardaway. Credit Union Journal quoted Hardaway as stating, “The current 12-month exam cycle has proven to be both more appropriate and more effective than an 18-month cycle,”. Credit Union Journal goes on to state that, according to Hardaway, credit union financial stability changes too quickly to allow for the risks that can occur when an institution goes longer than 12 months without an exam.This swift and seemingly definitive response was met with concern from credit unions, trade associations and even NCUA Board Member J. Mark McWatters. In a response, also posted to the Credit Union Journal, McWatters stated the following, “That NCUA would scuttle this request without debate among the board offices further evidences the lack of transparency and collegiality within the agency. As we all know, more than 70% of NCUA’s operating budget consists of examination and travel related costs, and any reasonable suggestion regarding how to better manage the inexorable increase in these costs merits thoughtful reflection. NCUA seems to have forgotten that it’s not 2008, but, instead, 2015 and that the credit union community — in NCUA’s own assessment — is strong and resilient. That the top-tier of credit unions require full-tilt examination every 12 months is worthy of challenge and rigorous debate.” Mr. McWatters goes on to state that he is not necessarily supporting the proposed move to the 18-month exam cycle, but acknowledges the need for additional conversation on the topic before moving forward.In an additional twist, Larry Fazio, director of the NCUA’s Office of Examination and Insurance, later cited a need for technological improvements to facilitate moving to an 18-month examination cycle. With implementation of a new system, which is currently being evaluated, on-site time at credit unions would be reduced.Understanding that there is now stated openness to discuss the matter further, I would offer that an earnest request for dialogue from the NCUA at the outset would have been much better received within the credit union community. It is my hope that this is a stepping stone to more robust interaction between the agency and credit unions along with their representative associations.For example, there are a number of New Jersey credit unions that offer Taxi Medallion Loans. As NCUA Chairman, Debbie Matz, stated in her Supervisory Letter—Taxi Medallion Lending in April of 2014, “Taxi medallion lending is a valuable member service provided by certain credit unions with expertise in this form of member business lending which entails some unique risks.” Understanding these risks and following guidance is to be expected for any credit union engaging in such loans. In addition, focus on the fact that this line of lending is a valuable member service, should hold an equitable share of the discussion. It is my hope that prior to NCUA action relative to this area, credit unions are engaged in a discussion around strategy and workable solutions to any concerns that may exist.It may be naïve to suggest that the regulator and the regulated can exist in an environment relatively free of tension. In fact, it is probable that such an environment wouldn’t be satisfactory for any parties involved. That said, through continually taking steps towards open and transparent discussion of key issues, better clarity around conflicting points of view can be gained by all those involved. With such understanding, I believe that together, we can advance the credit union movement to new heights in delivering value to our members and the many additional consumers who will look to credit unions as their best financial partners in the days, months and years ahead.last_img read more

Yanga-Mbiwa sorry for Nasri tackle

first_img “I didn’t intend to injure him. There was no malice. Unfortunately there is this consequence,” Yanga-Mbiwa told L’Equipe. There were initial fears that Nasri could be facing a longer stretch on the sidelines, a worrying scenario for the France player in a World Cup year. “When I heard that, I was relieved,” Yanga-Mbiwa said of the shorter timetable for Nasri’s recovery. “I was really troubled by what happened. He’s a player who is in the France team and I know what that represents.” Playmaker Nasri is expected to be sidelined for around eight weeks following the challenge by Yanga-Mbiwa in Sunday’s Barclays Premier League win for City at St James’ Park. The City man had to be carried off on a stretcher after being caught by a bad tackle from Yanga-Mbiwa, who was booked. Newcastle defender Mapou Yanga-Mbiwa has expressed his regret for the tackle that has left Samir Nasri facing a long spell out of action.center_img Press Associationlast_img read more

Sterling-Gomez row should have been handled internally – Ferdinand

first_img(REUTERS) – England boss Gareth Southgate’s decision to drop Raheem Sterling for a clash with team mate Joe Gomez will only heap the pressure on the winger and the issue could have been dealt with better, former defender Rio Ferdinand said on Tuesday.Sterling was dropped from the squad to take on Montenegro in Thursday’s Euro 2020 qualifier at Wembley after a “disturbance” at the national team’s training camp on Monday, the Football Association said.The Daily Mail said that Manchester City’s Sterling had clashed with Liverpool’s Gomez at the England team’s Burton on Trent training centre — less than 24 hours after City were beaten 3-1 at Anfield in the Premier League. “Now Raheem is left to defend himself from all of the haters that had their keyboards turned off due to him becoming a very worthy ambassador for the English game,” Ferdinand wrote in a Facebook post here“If this was a terrible incident then I would be all for public shaming and discipline. But for this ‘throat grab’ that we are TOLD it’s for, I can’t understand it. “Gareth would no doubt had seen worse many times during his time as a player and manager. I just feel this could and should have been handled better to support the player and not hang him out to dry.”The newspaper said that “Sterling attempted to grab Gomez by the neck following his arrival in the players’ canteen”. The duo had earlier squared up during Sunday’s Premier League clash.“As a manager I’m sure having a harmonious squad is the best scenario — handshakes and hugs on sight not confrontations. But let’s be honest now this kind of stuff isn’t uncommon in squads full of testosterone,” added Ferdinand, who made 81 appearances for England in his career.“In the various squads I’ve been a part of I’ve seen players get punched in the face, ribs broken, nose busted, head kicked like a football… a throat grab was the equivalent of the intricate handshake embraces that are all too familiar today.“The main question is: Why this couldn’t be handled internally?” Sterling issued a statement after being dropped saying emotions got the better of him and he was ready to move on.“It seems to me, Raheem felt embarrassed by all that went on… a sign of winning mentality… however channelled wrongly. Help educate him,” former Manchester United defender Ferdinand said.“One of our world class players who has conducted himself wonderfully through racism and unwarranted criticism… will now come under more scrutiny and be vilified in the media.”last_img read more