DCUC Submits Four Comment Letters Supporting NCUA Deregulatory Efforts

WASHINGTON, DC – The Defense Credit Union Council (DCUC) has submitted four comment letters to the National Credit Union Administration (NCUA) in response to the agency’s fourth round of proposals under its ongoing Deregulation Project. ​

In its letters, DCUC expressed appreciation for the NCUA’s continued commitment to modernizing its regulatory framework and reducing unnecessary compliance burdens on credit unions. DCUC voiced that thoughtful deregulation plays a critical role in allowing credit unions to better allocate resources toward member service, financial readiness, and mission support. 
 
DCUC voiced support for several key proposals aimed at improving efficiency and eliminating outdated or duplicative requirements, including: 
 

• Removing the provision requiring a credit union board to develop a written plan for the use of public unit and nonmember shares when those funds, combined with borrowings, exceed 70 percent of paid-in unimpaired capital and surplus. DCUC noted that eliminating this requirement would reduce administrative burden while preserving appropriate oversight and safety and soundness.  
• Eliminating the requirement that federally insured credit unions notify members within 30 days if supplemental share insurance coverage is discontinued, while maintaining the broader notification requirement. DCUC supported this change as a practical step toward streamlining communications without compromising transparency.​  
• Removing the maximum borrowing authority requirement from regulations governing federal share insurance for state-chartered credit unions. DCUC stated that this revision would provide greater flexibility while aligning regulatory expectations with current operational realities. 
• Eliminating a duplicative disclosure requirement for state-chartered credit unions that accept nonmember shares or deposits. DCUC highlighted that this change would simplify compliance processes without diminishing consumer protections. 

 
“DCUC appreciates the NCUA’s proactive approach to reviewing and updating its regulatory structure,” says Anthony Hernandez, DCUC President/CEO. “Reducing unnecessary regulatory burden enables credit unions to focus more effectively on serving their members, including those within military and defense communities who rely on safe, affordable financial services.” 
 
DCUC Chief Advocacy Officer Jason Stverak added, “We’re committed to working collaboratively with the NCUA throughout the Deregulation Project and future rulemakings to ensure that regulatory changes support both innovation and the continued safety and soundness of the credit union system.” ​