Federal Register - Credit Unions Proposals Texas Relevant

Requirements for Insurance; Maximum Borrowing Authority

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Summary

- The NCUA Board proposes removing the maximum borrowing authority from its regulations for federally insured credit unions. - This change would eliminate a redundant provision and reduce regulatory burden, particularly for federally insured, state-chartered credit unions.

Why It Matters for Texas Credit Unions

This proposal affects all federally insured credit unions, including those in Texas, potentially simplifying compliance requirements.

Original Source Material

The NCUA Board (Board) seeks comment on a proposed rule to remove the maximum borrowing authority from the NCUA's regulations that establish the requirements for obtaining and maintaining federal share insurance with the National Credit Union Share Insurance Fund (Share Insurance Fund). This provision applies to all federally insured credit unions (FICUs). Removing this regulation would eliminate an unnecessary provision that duplicates the statutory maximum borrowing limit for federal credit unions (FCUs). For federally insured, state-chartered credit unions (FISCUs), removing this section would reduce the federal regulatory burden associated with the federal limit and related waiver provision.