The phrase cost cutting initiative is used a lot in financial institutions lately. If you’re serious about cutting the kind of cost that will have a real impact on your income statement and balance sheet with real improvement of KPIs like efficiency ratio and ROA, reducing office supplies isn’t going to cut it. The community-based financial institution is in survival mode. The industry has shrunk by half over the last two decades. The reason why so many financial institutions have perished is because they couldn’t meet capital requirements. Credit unions may not be taxed, but they haven’t been spared. If you’re the CFO, the buck stops with you.  Here is what you can do.

In Chamber of Commerce v. Bonta, 13 F.4th 766 (Sept. 15, 2021), a divided three-judge panel of the Ninth Circuit Court of Appeals recently upheld California’s ban against mandatory arbitration agreements in employment enacted by Assembly Bill 51 (2019 Cal. Stats., ch. 711) (“AB 51”). The panel vacated the preliminary injunction that has thus far prevented the law from taking effect but upheld the injunction as to its civil and criminal penalty provisions.

You could say Travis CU General Counsel Michael Levy is perhaps a natural fit for serving on the Consumer Financial Protection Bureau’s (CFPB) Credit Union Advisory Council (CUAC). During his 30 years as an attorney, he’s amassed a diverse portfolio of litigation experience in the public and private sectors within some of the most complex fields of law, as well as matters affecting public policy.

There's only 10 days left until REACH 2021, the credit union industry's premier annual conference hosted by the California and Nevada Credit Union Leagues!

California and Nevada’s job markets are experiencing slow-to-no labor force growth — the pool of individuals who are “willing and able” to work — as both states’ workforces and employers move forward under one of the most difficult labor market situations in modern history.

Yesterday, Republicans in the House of Representatives joined together in a letter sent to Treasury Department Secretary Janet Yellen opposing the Administration’s plan to require new Internal Revenue Service (IRS) reporting requirements for financial institutions.

The National Credit Union Administration (NCUA) Board adopted the following two final rules on Thursday during its monthly October meeting:

Eligible low-income credit unions (LICU) may accept 30-year subordinated debt investments from the U.S. Department of the Treasury’s Emergency Capital Investment Program (ECIP), as detailed today in a letter to credit unions by the National Credit Union Administration. Additionally, a LICU may treat this ECIP funding as secondary capital in accordance with the NCUA’s regulations, provided that any LICU receiving secondary capital treatment has an NCUA-approved secondary capital plan by Dec. 31, 2021. 

According to the FBI’s Internet Crime Complaint Center, cybercriminals are targeting organizations that use popular cloud-based email services to conduct Business Email Compromise (BEC) scams. Credit unions can take steps to prevent this type of fraud and should report any incidents of fraud immediately to the FBI’s Internet Crime Complaint Center and local FBI field office. Reporting incidents to the Internet Crime Complaint Center within 24 hours increases the chances of recovery for funds wired under fraudulent pretenses.

Click here for more information.

As a follow-up to Letter to Credit Unions 21-CU-03, LIBOR Transition, the National Credit Union Administration (NCUA) issued an updated letter to credit unions that provides additional reminders related to LIBOR’s discontinuance.

Credit union executives and risk management teams should read a series of recent articles that explain why identity theft has become a top concern for many members. The data and quotes in these articles demonstrate why this fear is growing and what credit unions can do to help alleviate their members' concerns and strengthen relationships and loyalty.  

The California and Nevada Credit Union Leagues have launched CU Career Connections, a powerful recruitment platform designed for credit union employers and job seekers. For a limited time, users get 20% off each posting between now and Nov. 30, 2021. Use code: WELCOME20. Unlimited postings.

This week, House Speaker Nancy Pelosi committed to having some form of the proposed Internal Revenue Service (IRS) reporting requirements that the credit union movement has been opposing within the final piece of the Build Back Better Act, also known as the reconciliation spending bill.

California’s credit union state charter modernization bill (Senate Bill 269), authored by Sen. Anthony Portantino (D-La Canada Flintridge), was signed by Gov. Gavin Newsom last weekend. This new law will go into effect Jan. 1, 2022.

Federally insured credit unions with both the minority depository institution and low-income designations are eligible to apply for the National Credit Union Administration's (NCUA) MDI mentoring grants now through Oct. 29 (Minority Depository Institution).

Two cryptocurrency experts recently presented to a group of California and Nevada credit union CEOs on how “cryptos” work, what it means for the financial services industry, and how this digital currency and the blockchain-ledger technology underpinning it can play a role in credit unions helping their members.

As we hit the 18-month mark of the pandemic, life insurance is experiencing a bit of a paradox. According to the 2021 Insurance Barometer Study from Life Happens and LIMRA[1]:

The National Credit Union Administration (NCUA) is hosting a webinar on its Automated Cybersecurity Evaluation Toolbox (ACET)  on Thursday, Oct. 28.

In the past month, CO-OP Financial Services made available to its more than 3,000 credit union clients its 2020 Annual Report, which can be read online and downloaded as a PDF document.

Local household “savings” in checking and other deposit accounts are hitting their highest levels they’ve ever experienced at credit unions, with statewide figures skyrocketing 35 percent in California and 41 percent in Nevada from second-quarter 2019 to second-quarter 2021.

Darron Dunn, ViClarity vice president of client development and operations, continues the blog series on small Governance, Risk and Compliance (GRC) process tweaks for big organizational impact in a post-pandemic world. 

The California and Nevada Credit Union Leagues are celebrating Hispanic Heritage Month by highlighting the Credit Union Difference in the Hispanic communities our credit unions serve.

The CU4Kids Social Media Challenge at REACH has raised nearly $11,000 to date! The campaign runs from Sept. 1-Nov. 3, 2021 and includes a $5,000 grand prize donation. 

Participating credit unions include STAR One CU ($10,000 raised!), Clark County CU, Meriwest CU, Upward CU, PostCity Financial CU and Orange County's CU!  

The National Credit Union Administration (NCUA) will host credit union leaders, credit union trade and support organizations, and diversity and inclusion professionals during the NCUA’s second Diversity, Equity, and Inclusion (DEI) Summit. This three-day event will take place virtually Nov. 2–4, 2021.

On Sept. 9, 2021, President Biden announced a plan to increase COVID-19 vaccination rates in the U.S. in order to help stop the spread of the virus, including the highly contagious Delta variant. The plan is expected to cover about 100 million employees – approximately 2/3 of U.S. workers. It includes, among other things:

It’s been busy on Capitol Hill as credit union supporters make their voices heard, leaders meet with members of Congress, and lawmakers in Washington, D.C. deliberate on the nation’s budget, debt limit, and pending infrastructure legislation.

This year’s 14^th Annual Shapiro Summit provided a wealth of information for small credit union leaders on a variety of topics, including updates on the economy, political advocacy, regulations, cybersecurity, loan participations, and a special CEO Roundtable.

In a survey by Markstein/Certus Insights, 70% of U.S. consumers said they expect companies they do business with to support social and environment issues.* This attitude, combined with a distressed economy, makes this a perfect time to publicly emphasize and build on your credit union’s strategic giving program.

The September edition of the ViClarity Newsletter is now available. ViClarity, a benefit of League membership, is an award-winning RegTech solution tailored for your Governance, Risk and Compliance (GRC) needs. Please check your email or click here to access the newsletter using your email address and your California or Nevada Credit Union League members-only password.

Nearly 100 golfers and volunteers participated in this year’s 11th annual Multi-Chapter PAC Golf Tournament, held Sept. 27 at Glendora Country Club (in Glendora, CA)! Click here for a photo gallery of the event.

The National Credit Union Administration (NCUA) issued a regulatory alert this week notifying federally insured credit unions of the Consumer Financial Protection Bureau’s (CFPB) new technical specifications for complying with credit card agreement and data submission requirements under the Truth in Lending Act (TILA) and the Credit Card Accountability Responsibility and Disclosure Act of 2009 (CARD Act).

Four leaders from credit unions in California ranging from $60 million to $10.5 billion in assets have been honored with Credit Union Magazine’s 2021 “Credit Union Rock Stars” recognition out of 31 nationwide.

The California and Nevada Credit Union Leagues are pleased to announce this year’s Leagues and Advocacy award winners. Seventeen credit union leaders, volunteers, up-and-comers, as well as credit unions and organizations—including this year’s Leo H. Shapiro Lifetime Achievement Award recipient Bill Cheney, CEO of SchoolsFirst FCU—will be honored during the Leagues’ flagship event REACH 2021 happening in Palm Desert, CA on Nov. 1-4.

During a successful milestone that engaged local business leaders and policymakers, Financial Partners CU held its 5^th Annual Economic Forum in late September to shed light on Southern California’s economy and discuss “future of work” realities as the COVID-19 pandemic reshapes industry and commerce.

Here’s your recap of this week’s National Credit Union Administration (NCUA) board meeting for September, as well as California and Nevada credit union leaders’ conversation with NCUA Vice Chairman Kyle Hauptman.

Every credit union supporter capable of sending a letter to Congress opposing the proposed burdensome Internal Revenue Service (IRS) reporting requirement is being asked to do so — TODAY. And for those already sending a letter via Connect For The Cause, please do so again!

Despite the challenges of the COVID-19 pandemic, the middle-class reports heightened confidence and optimism in their financial security and retirement prospects, according to new survey data from CUNA Mutual Group₁. Most of the middle-class respondents (89%) said they expect to retire in their lifetime and 71% report feeling very or somewhat confident₁.

Credit unions and community banks waste millions of dollars every year. The easiest, fastest way to stop wasting your money is your vendor management program.

As a part of this series, Maple Street’s pros explore ways your institution could be wasting money and what you can do to fix the problem.

The California and Nevada Credit Union Leagues will once again honor and remember those who had a significant impact on their credit union, credit union community, or credit union organization and who passed away in the last year.

The National Credit Union Administration (NCUA) board will hold its monthly meeting next week on Thursday, Sept. 23 at 7 a.m. (Pacific).

Late into the evening of Sept. 10, the California State Legislature ended this year's session and will not return until reconvening on Jan. 3, 2022.

The Federal Housing Finance Agency (FHFA) and the U.S. Treasury Department jointly announced this week that they agreed to suspend certain provisions added in January 2021 to the preferred stock purchase agreements (PSPAs) that govern Treasury’s support for Fannie Mae and Freddie Mac.

California and Nevada experienced another month of slow-and-steady employment gains as both states’ labor markets continue cautiously treading forward under one of the most difficult job situations in modern history. Some businesses can’t find workers as a lack of individuals “willing and able” to work (the labor force) persists compared to pre-pandemic times.

More letters are needed in opposition to the onerous Internal Revenue Service (IRS) reporting-requirement proposal circulating in Washington, D.C. Please direct credit union supporters to the Connect For The Cause webpage, asking them to send Congress a message!

Federally insured credit unions with both the minority depository institution (MDI) and low-income designations are eligible to apply for the National Credit Union Administration’s (NCUA) MDI mentoring grants between Oct. 11 and Oct. 29.

Nominations for the California Credit Union League’s (CCUL) 2021-22 Board of Directors and Audit Committee elections opened on July 1, 2021. There was ONE (1) Asset Group A Director position, ONE (1) Asset Group D Director position, ONE (1) At Large Director position, and ONE (1) Audit Committee Member position available this year.

Nearly 4,000 credit union supporters across California and Nevada have sent 12,000 letters to their congressional representatives opposing a burdensome IRS reporting-requirement proposal in Washington, D.C. — but MORE letters are needed.

“What’s really supposed to be in your vendor management program?”

Assemblymember Mia Bonta (D-Alameda County), wife of the recent governor-appointed California Attorney General Rob Bonta, was sworn into the California State Assembly earlier this week.

REACH 2021, the California and Nevada Credit Union Leagues’ annual flagship event, takes place on Nov. 1-4 in Palm Desert, CA. There is still time to register for this important conference.

One benefit 2020 brought was the shift towards digital payments, with many card issuers re-prioritizing payments initiatives and moving contactless and digital offerings to the top of the list. But this shift has also led to a sharp increase in fraud, disputes, and chargebacks. According to a recent survey on the U.S. debit market by Worldpay and Forrester, 2020 presented more than a 50% increase in chargebacks. as fraud management dropped to an overall fourth priority (PULSE), with 90% of merchants reporting lost revenue due to payments fraud.

As a member of the California and Nevada Credit Union Leagues, are you aware of the latest compliance expertise available to you at no additional cost to you?

Has your credit union prepared to submit its Community Development Financial Institution (CDFI) streamlined certification application? Before the window opens on Sept. 12, there’s a FREE Sept. 10 webinar to prepare you for the process — hosted by the California and Nevada Credit Union Leagues!

The National Credit Union Administration (NCUA) awarded $1.5 million in Community Development Revolving Loan Fund (CDRLF) grants to help 105 low-income credit unions expand outreach to underserved communities and improve digital services and security.

Low-Income credit unions seeking the Community Development Financial Institution (CDFI) certification can apply to use the National Credit Union Administration's (NCUA) streamlined qualification process beginning Sept. 12, 2021.

The California and Nevada Credit Union Leagues and the Credit Union National Association (CUNA) have activated a grassroots effort to combat a portion of the proposed $3.5 trillion spending package in Congress.

The National Credit Union Administration (NCUA) and other federal banking regulators and state regulators issued a joint statement this week saying they recognize the serious impact of California wildfires on members, customers and operations of local financial institutions and will provide appropriate regulatory assistance to affected institutions subject to their supervision.

As forbearance programs are expected to begin expiring in the upcoming weeks and months, credit unions are reminded of a recent Consumer Financial Protection Bureau (CFPB) final rule.

On Monday, Senate Bill 269 — legislation that would modernize the state charter for credit unions — passed off the California Senate floor on the consent calendar, receiving 39 “aye” votes and zero “no” votes. SB 269 was authored by Sen. Anthony Portantino (D-La Canada Flintridge) and is being prepared to arrive on Gov. Gavin Newsom’s desk.

The California and Nevada Credit Union Leagues and the Credit Union National Association (CUNA) are excited to announce for the first time in multiple years, the base text of the annual National Defense Authorization Act (NDAA) will not contain language offering rent-free leasing agreements banks.

The Consumer Financial Protection Bureau (Bureau) announced on Sept. 1 a withdrawal of its April 2021 proposal to delay the Nov. 30, 2021, effective date of two rules revising Regulation F, 12 CFR Part 1006, which implements the Fair Debt Collection Practices Act. The rules will become effective Nov. 30.

The Consumer Financial Protection Bureau (CFPB) proposed on Sept. 1 a new rule designed to help small businesses gain access to the credit they need and deserve by increasing transparency in the lending marketplace. This rule would, if finalized, require lenders to disclose information about their lending to small businesses, allowing community organizations, researchers, lenders, and others to better support small business and community development needs. Under the proposal, lenders would be required to report the amount and type of small business credit applied for and extended, demographic information about small business credit applicants, and key elements of the price of the credit offered.

In Ferra v. Loews Hollywood Hotel, LLC, 11 Cal.5th 858 (July 15, 2021), the California Supreme Court took up the issue of how to calculate the one hour of premium pay due an employee for a missed meal, rest or recovery period under California Labor Code §226.7(c). The Court unanimously held that this hour is to be paid at the “regular rate of pay,” which, like the calculation used for overtime pay, takes into consideration any nondiscretionary compensation in addition to the employee’s base hourly rate. The regular rate of pay can be higher than the base hourly rate for employees whose income is impacted by things such as commissions and nondiscretionary bonuses. Because the Court also applied its decision retroactively, employers may find themselves with an unexpected area of potential exposure that should be discussed with legal counsel.

Economy Comes a Long Way but Still Working Through Issues

The greater regions of Southern Nevada and Northern Nevada are important to the entire state’s broader economic recovery as the COVID-19 pandemic continues impacting workers, households, and consumers who are integrating back into society and commerce.

Last night in a 6-3 decision, the U.S. Supreme Court ended the pandemic-related federal moratorium on residential evictions imposed by President Joe Biden's administration in a challenge to the policy brought by a coalition of landlords and real estate trade groups. You can view the court’s “unsigned” opinion here.

As local credit unions and their members pivot to the whims of wildfires raging across Northern California, an “extraordinary situation” proclamation was made by the California Department of Financial Protection and Innovation (DFPI) on Wednesday for the counties of El Dorado, Shasta, Siskiyou, Tehama and Trinity.

California’s Golden State Stimulus II payments are arriving in eligible residents’ accounts starting today. Your credit union’s processing systems are most likely already prepared.

With California’s eviction moratorium set to expire on Sept. 30, the Department of Financial Protection and Innovation (DFPI) is asking credit unions to assist all individuals impacted from COVID-19 by encouraging them to take advantage of the state’s COVID-19 Rent Relief Program to help cover expenses such as rent, utilities, and use housing protections to prevent evictions.

In the California Credit Union League’s latest Advocacy Newsletter, credit union leaders will find important updates on California state government affairs, the California recall election, political advocacy events, federal government affairs, regulatory advocacy, and advocacy in action (members in the community)!

The Consumer Financial Protection Bureau (CFPB) is issuing new technical specifications for complying with submission requirements under the Truth in Lending Act (TILA) and the Credit Card Accountability Responsibility and Disclosure Act of 2009 (CARD Act).

The U.S. Treasury Department’s Bureau of the Fiscal Service is proposing to amend its regulation governing the use of the Automated Clearing House (ACH) network by federal agencies.

Credit unions and community banks waste millions of dollars every year. The easiest, fastest way to stop wasting your money is your vendor management program. As a part of this series, Maple Street’s pros explore ways your institution could be wasting money and what you can do to fix the problem.

The August edition of the ViClarity Newsletter is now available. ViClarity, a benefit of League membership, is an award-winning RegTech solution tailored for your Governance, Risk and Compliance (GRC) needs. Please check your email or click here to access the newsletter using your email address and your California or Nevada Credit Union League members-only password.

California and Nevada experienced another month of slow and steady employment gains as both states’ labor markets continue cautiously treading forward under one of the most difficult job situations in modern history. Some businesses can’t find workers as a lack of individuals “willing and able” to work (the labor force) persists compared to pre-pandemic times.

Employees at more than 40 credit unions in California and Nevada have participated in the California and Nevada Credit Union Leagues and Credit Union National Association's (CUNA) grassroots action alert regarding credit card interchange fees and the threat of new legislation to regulate them. YOU can too!

Yesterday, Senate Bill 269, authored by Sen. Anthony Portantino, passed the California Assembly floor on the consent calendar, receiving 72 "aye" votes and zero "no" votes. SB 269 is now headed to the state senate floor where senators will vote to "concur in the amendments," which will be the final vote before heading to Gov. Gavin Newsom's desk.

More than 40 credit union leaders across the state attended this week’s California Quarterly “Open Your Eyes” Campaign Update Webinar, giving them a first-hand look at how this unique digital credit union awareness/advertising initiative is faring as spring transitioned into summer of this year.

Second-quarter 2021 U.S. credit union trends continued displaying an evolving world as the industry served its members going from spring into summer and posted its highest return on assets (ROA) in over 20 years.

California Credit Union League’s member Golden 1 CU ranked third in a recent survey by American Banker that rated financial institutions based on their customers’ perceptions of service and their ability to form durable relationships with customers. We’d like to congratulate Golden 1 CU and its staff for this incredible achievement! Three other credit unions also made the top 10, including America First CU in Utah (second), Navy FCU in Virginia (sixth), and State Employees’ CU in North Carolina (ninth).

Research shows borrowers are looking for three things in a loan: transparency, control, and flexibility. The dashboard included with the Kasasa Loan^TM offers it all in a sleek mobile app. See it for yourself.

FFIEC Issues Guidance on Authentication and Access to Financial Institution Services and Systems

The Federal Financial Institutions Examination Council (FFIEC) on Aug. 11 issued guidance that provides financial institutions with examples of effective authentication and access risk management principles and practices for customers, employees, and third parties accessing digital banking services and information systems. The guidance:

The California and Nevada Credit Union Leagues and the Credit Union National Association (CUNA) are launching a grassroots action alert to credit union employees regarding credit card interchange fees and the threat of new legislation to regulate them.

California will soon be sending out a second round of stimulus payments—known as Golden State Stimulus (GSS) II—to eligible individual and families. These payments are included as part of California’s annual state budget plan, Senate Bill 139 (SB 139), which was recently signed into law by Governor Gavin Newsom. In May, the California Credit Union League notified credit unions of these upcoming payments. Click here for those details.

Inclusiv has announced Request for Proposals (RFP) for the Racial Equity Grant Fund. This grant fund was previously launched as the Resilience Grant Fund in June 2020 to help credit unions led by and serving people of color provide financial relief to consumers and small businesses affected by COVID-19. Under the Resilience Grant Fund, fifty-nine credit unions and cooperatives were awarded $1 million in philanthropic grants for coronavirus financial relief, including fee waivers; emergency low-interest loans; technology enhancements; marketing; financial coaching and counseling; and business planning.  

On Aug. 9, 130 golfers and 34 sponsors took to the links at the Monarch Beach Resort in Dana Point, CA to participate in the 2021 Richard Myles Johnson (RMJ) / Origence Annual Golf Classic—raising $80,000 for the state foundation for credit unions in California and Nevada.

Lately, there have been several notable developments at the California’s Office of the Attorney General (OAG) relating to the California Consumer Privacy Act (CCPA). These developments include the following:

While the economic impact of COVID-19 on individuals and families has been about as divergent as possible, most people experienced a financial awakening of one form or another. Whether it was the financial devastation of a job loss or the influx of savings from going nowhere and doing nothing, unprecedented times forced most Americans to confront entirely new household economics.

Credit unions have found that their members are requesting the ability to communicate via text messaging. In doing so, credit unions have also found it to be very efficient and effective, in turn, providing a better member experience, streamlining operations and enhancing the bottom line.  How is texting different? 

The Consumer Financial Protection Bureau (CFPB) released an interpretive rule to assist the mortgage industry in determining whether to treat June 19 as a federal holiday or a business day for purposes of compliance with certain time-sensitive borrower protections.

Letters Outline Limits on Capitalizing Loans

On June 24, 2021, the National Credit Union Administration (NCUA) board unanimously voted to lift the prohibition of capitalization of interest in connection with loan workouts and modifications from part 741, Appendix B. The rule became effective July 30, 2021, and applies to loan workouts and modifications on or after this date. The rule establishes documentation requirements to help ensure that the addition of unpaid interest to the principal balance of a loan does not hinder the borrower’s ability to repay the loan.

Share Concerns with Fed on Reg II: Interchange Fees

The California and Nevada Credit Union Leagues and the Credit Union National Association (CUNA) are urging credit unions to provide comments to share concerns with the Federal Reserve on proposed changes to debit card routing requirements.

On July 30, the credit union movement rallied together to create a digital “wave” that reached more than 22 million people on social media. The goal: to inspire high energy conversation about why people love their credit unions. Driven by the cooperative spirit, more than 700 organizations across 48 states and nine countries participated. These included credit unions, leagues, associations, and industry partners! They started the hashtag #ilovemycreditunion trending across social media platforms, raising awareness about the amazing things credit unions do every day for their members and communities.

The nation’s banking regulators testified before the Senate Banking Committee on Aug. 3 in a hearing to provide their semi-annual reports. National Credit Union Administration (NCUA) Chairman Todd Harper joined the other regulators to take on an extensive list of issues.

Five California and Nevada Credit Union Leagues member credit unions have won first place in the state-level 2021 Credit Union National Association (CUNA) Awards. These credit unions will advance to the national competition later this year.

As the economy opens back up, credit card spending is beginning to reach pre-pandemic levels. Now is a good time to re-evaluate the strength of your own credit program. Since 42% of cardholders use their credit cards to earn rewards (Experian), an effective rewards program can be a significant motivator to make your card top-of-wallet for members.

The latest issue of Consumer Compliance Outlook from the Federal Reserve Board is now available! This issue focuses on error resolution procedures and consumer liability for unauthorized transactions for debit and credit cards, prepaid accounts, and foreign remittance transfers.

The full list of articles and features includes:

As Economy Hastily Improves, Workforce & Other Issues Emerge

The greater Los Angeles, Orange, Inland Empire and San Diego regions are all important to the entire state’s broader economic recovery as the COVID-19 pandemic continues impacting workers, households, and consumers who are integrating back into society and commerce.

As Economy Hastily Improves, Workforce & Other Issues Emerge

The Bay Area, Sacramento, and far Northern California regions are all important to the entire state’s broader economic recovery as the COVID-19 pandemic continues impacting workers, households, and consumers who are integrating back into society and commerce.

After three examinations, two projects, and three two-week classroom sessions, the Western CUNA Management School (WCMS) “Sigma” Class was celebrated and honored on Thursday evening (July 29) through a virtual ceremony in lieu of the traditional event on the Pomona College campus in Claremont, CA. This ceremony for the 105 graduates marked the conclusion of the 61^st annual session and 59^th graduation commencement.

On Thursday, the Senate Banking Committee held an informational hearing on a proposed bill to extend the Military Lending Act (MLA) to all consumers, which would include an all-in percentage rate of 36 percent.

Today, the Federal Housing Finance Agency (FHFA) announced that Fannie Mae and Freddie Mac are extending the moratorium on single-family real estate owned (REO) evictions until Sept. 30, 2021. This REO eviction moratorium applies to properties that have been acquired by Fannie or Freddie through foreclosure or deed-in-lieu of foreclosure transactions.

The  U.S. Small Business Administration (SBA) is launching a streamlined application portal to allow borrowers with Paycheck Protection Program (PPP) loans $150,000 or less through participating lenders to apply for forgiveness directly through the SBA.

This week, Nevada Gov. Steve Sisolak issued a revised Emergency Directive related to face masks (view the governor’s news release here).

Your recorded access to our Your Economy—Your Credit Union virtual conference from July 20 is HERE! Those without an eTrain log-in/account will need to create one before placing their order, which you can create within seconds for free.

Credit unions, as both employers and businesses open to the public, have been juggling competing federal, state and local COVID-19-related guidance and orders[1] since the pandemic began. The CDC initially relaxed its nationwide mask guidance for fully vaccinated individuals in May of this year, and the State of California followed suit on June 15. Cal/OSHA then modified its COVID-19 Prevention Emergency Temporary Standards applicable to employers effective June 17 to largely reflect the CDPH order, and it seemed as if everything was moving in the right direction.

Chapter Forum will take place Nov. 4 and 5 in Palm Desert, CA (following REACH 2021).  Chapter Forum touts a long history as an exclusive event for chapter leaders that promotes learning, leadership, teambuilding, and networking. Participants will celebrate chapter achievements and inspire each other to reach new accomplishments in the coming year.

Credit unions and community banks waste millions of dollars every year. The easiest, fastest way to stop wasting your money is your vendor management program. As a part of this series, Maple Street’s pros explore ways your institution could be wasting money and what you can do to fix the problem.

It’s not too late for your credit union to be part of the #ilovemycreditunion social media blitz!

In an article published this week, CreditUnions.com featured CBC FCU CEO Rick Weber and Educational Employees CU CEO Beth Dooley, both former credit union examiners many years ago. They give insight into why they switched careers and what they offer the cooperative movement (along with other industry leaders from across the nation).

On Wednesday, the Subcommittee on Financial Institutions of the House Financial Services Committee convened a hearing on financial inclusion on Capitol Hill in Washington, D.C. The objective was to examine private and public sector solutions surrounding America’s unbanked problem.

The 81st Session of the Nevada Legislature started much differently than any other session in the state’s history. The remote environment forced all interested parties to adapt, including the Nevada Credit Union League.

On Thursday, the National Credit Union Administration (NCUA) Board pulled from the agenda the agency’s draft 2022 – 2026 Strategic Plan during its monthly July meeting. According to Board Chairman Todd Harper, this was a unanimous decision to give board members additional time to reach consensus on the agency’s proposed strategic goals and priorities.

Maple Street’s best-in-class vendor management system, the Vendor Advantage System®, is joining forces with WolfPAC’s Integrated Risk Management platform to deliver a complete, integrated vendor and enterprise risk solution for credit unions and community banks. Maple Street is an exclusive business partner of the California and Nevada Credit Union Leagues. 

To help families reduce their housing costs, the Federal Housing Finance Agency (FHFA) announced today that Fannie Mae and Freddie Mac will eliminate the Adverse Market Refinance Fee for loan deliveries effective Aug. 1, 2021.

The National Credit Union Administration (NCUA) Board will have its next meeting on Thursday, July 22 at 7 a.m. (Pacific). Here's what to expect:

Data released today shows California and Nevada experienced another month of employment gains as both states’ labor markets continue trudging forward under one of the messiest job situations in modern history.

Californian residents earning between $30,000 to $75,000 will see $600 payments this coming September under a budget deal signed by Gov. Gavin Newsom this past week.

On July 15, the Financial Crimes Enforcement Network (FinCEN) announced it will convene a FinCEN Exchange in August 2021 with representatives from financial institutions, other key industry stakeholders, and federal government agencies to discuss ongoing concerns regarding ransomware, as well as efforts by the public and private sectors. The FinCEN Exchange will build upon FinCEN’s November 2020 event on ransomware.  FinCEN anticipates that this FinCEN Exchange will assist its government and private sector partners to inform next steps to address ransomware and focus resources to mitigate the threat.  This announcement is part of a whole-of-government effort to combat ransomware.

Today's growing inflation trend is JUST the beginning (see video of Dr. Robert Eyler). This year’s Your Economy—Your Credit Union Conference on July 20 (just four days away) will help your credit union plan for 2022 as the job market, housing/real estate, migration patterns, loans and deposits, and state business policies shape the economy.

National Credit Union Administration (NCUA) Chairman Todd M. Harper issued a letter to credit unions regarding phase one of resuming onsite operations. 

Economy to Continue Fierce Growth, Climbing Out of Deep Hole

The combined mega-regions of Southern Nevada and Northern Nevada are key to the entire state’s broader economic recovery as the COVID-19 pandemic wanes and businesses, workers, households and consumers integrate back into society and commerce.

We’ve all been there. We’re trying to renew our car insurance, apply for a loan, or do something simple like pay a parking ticket (which we obviously didn’t deserve), and we think, this will be so easy to do over the phone or online.

To say the least, these are very different times for the banking industry — and especially community financial institutions. The past year has challenged traditional thinking and forced new ways of doing business. Making smart decisions is imperative right now, and there are some oft-heard beliefs going around that we think need to be explored deeper — so you can have the information you need.

The monthly Advance Child Tax Credit from the U.S. Treasury Department (via the IRS) is being sent to eligible U.S. taxpayers starting this month and going through December. Is your credit union and its members ready?

Credit unions are joining the #ilovemycreditunion social media blitz. Are you in?

On July 1, the U.S. Treasury Department extended the deadline for submitting an application for funding under the Emergency Capital Investment Program (ECIP).

While higher inflation is concerning local business leaders, workers and households, record-high deposits at California and Nevada credit unions continue playing a key role in the economic growth that’s driving those price increases according to first-quarter 2021 industry data released by the California and Nevada Credit Union Leagues (scroll down to view local/regional breakouts).

While travel has been challenging over the last year, people have adapted by finding new ways to explore the world beyond their front door. Americans are looking forward to fewer restrictions in the summer of 2021, but a sense of uncertainty continues to impact travel trends. Credit unions can empower members with the right tools to navigate uncertainty and pursue their dreams of summer adventure. The prepaid card in particular is a versatile tool relevant to travelers’ needs.

Senate Bill 269, authored by Senate Appropriations Committee Chair Anthony Portantino (D-La Canada Flintridge), passed the Assembly Banking Committee with unanimous bipartisan support this week.

The power of the purse was on full display this past week as the House Appropriations Committee passed the Financial Services and General Government spending bill. While the National Credit Union Administration (NCUA) and other banking regulators are not funded by the U.S. taxpayer, credit unions participate in several programs funded in this process.

The Federal Financial Institutions Examination Council (FFIEC) issued a new booklet in the FFIEC Information Technology Examination Handbook series, titled “Architecture, Infrastructure, and Operations.”

The Anti-Money Laundering Act of 2020 (AML Act) requires the Secretary of the Treasury, in consultation with the Attorney General, federal functional regulators, relevant state financial regulators, and relevant national security agencies, to establish and make public priorities for anti-money laundering and countering the financing of terrorism policy (AML/CFT Priorities). On June 30, 2021, the Secretary of the Treasury issued the AML/CFT Priorities.

On April 21, 2021, the Eleventh Circuit Court of Appeals issued a ruling in a case brought under the federal Fair Debt Collection Practices Act (“FDCPA”)[1] that could have far-reaching implications for debt collectors that utilize vendors, and also presents some difficult questions for California financial institutions. In Hunstein v. Preferred Collection and Management Services, Inc.,[2] the Court held that a debt collector violated §1692c(b) of the FDCPA when it electronically transmitted information about the consumer’s debt to a third party service provider without the consumer’s consent. While Hunstein is an Eleventh Circuit decision (i.e., Alabama, Florida and Georgia) and not currently binding on the Ninth Circuit (including California and Nevada), federal appellate cases can serve as persuasive authority for other circuits considering similar questions, so it is an important one to watch.

On June 28, 2021, the Consumer Financial Protection Bureau (CFPB) issued the 2021 Mortgage Servicing COVID-19 Final Rule. Effective Aug. 31, 2021, the rule amends certain Regulation X Mortgage Servicing early intervention and loss mitigation requirements. The rule establishes procedural safeguards for mortgage servicers that help borrowers explore foreclosure alternatives, such as loan modifications or home sales.

Credit unions and community banks unintentionally waste millions of dollars every year. The easiest, fastest way to stop wasting your money is your vendor management program.

Inflation. Housing. Labor markets. Consumers — and YOUR credit union. It’s ALL at this year’s Your Economy—Your Credit Union Conference, created for C-level executives, senior management and board directors as they strategically plan for 2022.

The California and Nevada Credit Union Leagues would like to applaud Gary Perez, CEO of USC CU, and recognize his contribution to a recent Los Angeles Times article that shows the tremendous benefits of the credit union mission. His insights embody the “people helping people” spirit.

The California and Nevada Credit Union Leagues and the Credit Union National Association (CUNA) participated in a virtual check presentation in coordination with the Congressional Hispanic Caucus (CHC) BOLD PAC for its congressional members of the House Financial Services Committee.

On Thursday, the National Credit Union Administration (NCUA) Board approved the following final rules during its monthly meeting:

The Federal Housing Finance Agency (FHFA) announced this week that Fannie Mae and Freddie Mac are extending the moratoriums on single-family foreclosures and real estate owned (REO) evictions until July 31, 2021.

Consumer Financial Protection Bureau (CFPB) Acting Director Dave Uejio recently issued the following statement on Congress establishing the Juneteenth National Independence Day Act into law:

Credit union leaders should stay on the alert after a Politico opinion piece on the topic of overdraft fees was published Thursday by a guest writer from the Brookings Institution.

Four years ago, I was forced to attend a one-hour workshop at my high school. The teacher walked in and started droning on: “Today, we’ll learn about budgeting, saving, and investing…”

The Federal Financial Institutions Examination Council (FFIEC) released updates to four sections of the Bank Secrecy Act/Anti-Money Laundering (BSA/AML) Examination Manual (Manual). Today’s updates affect the following Manual sections:

The National Credit Union Administration (NCUA) will host credit union leaders, credit union trade and support organizations, and diversity and inclusion professionals during the NCUA’s second Diversity, Equity, and Inclusion (DEI) Summit. This three-day event will take place virtually Nov. 2–4, 2021.

The California Division of Occupational Safety and Health (Cal/OSHA) Standards Board adopted revisions to the COVID-19 Emergency Temporary Standards (ETS) during its June 17 meeting. Following the Cal/OSHA Standards Board vote, Governor Gavin Newsom signed an executive order to allow the revisions to immediately take effect on June 17.

California’s labor market continued slowly healing in May as individuals kept re-entering the labor force (adults who are willing and able to work) — which is significant to its ongoing economic recovery. Meanwhile, Nevada’s jobs data for May was still being finalized Friday afternoon (updates to this article will be made soon).

The Consumer Financial Protection Bureau (CFPB) issued an interpretive rule this week explaining the basis for its authority to examine supervised financial institutions for risks to active duty servicemembers and their dependents (military borrowers) from conduct that violates the Military Lending Act (MLA).

In the California Credit Union League’s latest Advocacy Newsletter, credit union leaders will find updates on California state government affairs, federal government affairs, special elections, and regulatory advocacy.

This past year has shown credit union leaders the importance of financial wellness, a founding principal in the credit union movement. This has been most apparent in low-income communities, many of which were shell-shocked by economic instability caused by the COVID-19 pandemic.

The Federal Financial Institutions Examination Council (FFIEC) announced the availability of data on 2020 mortgage lending transactions at 4,475 U.S. financial institutions reported under the Home Mortgage Disclosure Act (HMDA). Covered institutions include banks, savings associations, credit unions, and mortgage companies.

House Financial Services Committee Chairwoman Maxine Waters (D-Los Angeles) — along with Reps. Brad Sherman (D-Sherman Oaks) and Ed Perlmutter (D-Colorado) — introduced H.R. 3958 on Thursday morning, the Central Liquidity Facility (CLF) Enhancement Act.

Where is inflation going — and why? You can find out by joining Jay Prag for a deep-dive into the economy’s inflation storyline going into 2022! The “Prag-onomics” professor and 35-year credit union member is the second speaker during this year’s virtual Your Economy—Your Credit Union Conference on July 20.

This past year is widely seen as the time when everyone’s lives got at least a little more digital. The importance of undergoing a “digital transformation” has been recognized for years, even by credit unions that weren’t quite ready to tackle it. But closed doors and shelter-at-home mandates radically accelerated adoption and meant those who hadn’t gone digital yet had no choice but to dive in.

The National Credit Union Administration (NCUA) released their annual Supervisory Priorities letter to credit unions in January. For Information Systems and Assurance, the NCUA calls to attention the most pertinent cybersecurity risks to the financial industry:

The California Department of Financial Protection and Innovation (DFPI) says that all financial service providers must maintain compliance with California’s workplace standards, the COVID-19 Prevention Emergency Temporary Standards (ETS), as the state’s capacity and distancing restrictions are lifted for most businesses and activities this coming June 15.

The California Division of Occupational Safety and Health (Cal/OSHA) Standards Board held a special meeting on June 9 to consider the latest guidance regarding face-masking from the Centers for Disease Control and Prevention (CDC) and the California Department of Public Health (CDPH).

The Consumer Financial Protection Bureau's (CFPB) Office for Older Americans hosted a webinar this week for associations (including the California and Nevada Credit Union Leagues) to promote a newly developed age-friendly banking toolkit designed for financial institutions that includes information about elder financial exploration, Suspicious Activity Reports (SARs), voluntary age-friendly practices, and consumer education tools.

More than 100 students entered the first-ever national Biz Kid$ Showcase presented in partnership with the Richard Myles Johnson (RMJ) Foundation, the Southeastern Credit Union Foundation, the Illinois Credit Union Foundation, and the Credit Union Association of New Mexico. The Biz Kid$ Showcase was a unique online experience that allowed creativity for innovative business ideas among students aged 12-18.

Low-income-designated credit unions seeking Community Development Revolving Loan Fund (CDRLF) grants, including minority depository institution (MDI)mentoring grants, have until June 26 to submit their applications.

Last summer we experienced a priority shift that led many of our credit union members to a simple realization: they don’t have to go too far to have fun in the summer. Life in quarantine created the opportunity for at-home adventures by picking up old hobbies and developing new talents. Puzzles, painting, and backyard movie nights became the main event. This summer, with the vaccine roll-out well underway, credit union members will begin to expand their sense of adventure again and we predict spending on local travel and new forms of entertainment will rebound. How can your credit union help?

It's a simple equation: the better the employees you have running your credit union, the better experience your members will have. Your people are the face of your credit union. They are the ones who help close the deal with prospective members and build wallet share with current members.

SAFE CU leaders joined representatives from the City of Sacramento and California to celebrate the grand opening of the SAFE Credit Union Convention Center in the heart of downtown Sacramento yesterday.

This past Monday evening, the Nevada State Legislature finally adjourned its 81st session — and in typical fashion, there were many bills voted on in the late hours of the night leading into early Tuesday morning.

Credit Unions for Kids (CU4Kids) has launched several new program enhancements to generate awareness and provide important resources and tools to help credit unions maximize their fundraising efforts. These additions were announced during its live 25th anniversary event on June 2 that is now available for replay here.

On June 1, the National Credit Union Administration (NCUA) released a regulatory alert (21-RA-07) reminding credit unions of a recently issued Consumer Financial Protection Bureau’s (CFPB) interpretive rule which clarifies that the prohibition against sex discrimination under the Equal Credit Opportunity Act (ECOA) and Regulation B includes sexual orientation and gender identity discrimination. The interpretive rule also covers discrimination based on actual or perceived nonconformity with sex- or gender-based stereotypes, and discrimination based on an applicant’s associations. The interpretive rule became effective on March 16, 2021.

Economy Harbors Local Characteristics as Recovery Continues

The mega-region of Los Angeles, Orange, San Diego, San Bernardino and Riverside counties is key to the entire state’s broader economic recovery as the COVID-19 pandemic wanes and businesses, workers, households and consumers integrate back into society and commerce.

The National Credit Union Administration (NCUA) released its Community Development Revolving Loan Fund (CDRLF) report to Congress, highlighting the fund’s significant, positive impact on low-income credit unions, their members, and communities across the country. NCUA Chairman Todd M. Harper also requested that Congress consider increasing the fund’s appropriations in 2022.

Almost a year ago (June 30, 2020) late Justice Ruth Bader Ginsberg wrote her final majority opinion for the United States Supreme Court in United States Patent and Trademark Office, et al v. Booking.com which addressed whether generic terms used as domain names could be afforded trademark protection.

Consumer expectations are higher than ever before, and your members are expecting more convenience and personalized service. Your credit union member is comparing their experience with your brand to the easy, fast, and personalized experiences they are having with the best physical and online retailers. Consumer-focused businesses are reaping the benefits of renewed loyalty and competitive advantage. You ask, how can you keep up? Consider these five, member service-focused solutions to help your credit union stay competitive. 

First-quarter 2021 U.S. consumer finance and lending trends were released this week by TransUnion and Experian, giving credit unions insight into where household credit scores and borrowing have traversed — and possibly where they are going in the second-half of this year.

California credit unions and other employers will have to wait a little longer to know what is ultimately coming for the state's COVID-19 workplace emergency temporary standard (ETS).

This week, more than 100 women credit union leaders joined House Speaker Nancy Pelosi (D-San Francisco), House Financial Services Committee Chairwoman Maxine Waters (D-Los Angeles), and 15 other members of the Democratic Congressional Women’s Caucus for a dialogue about women leading in the credit union industry.

The California Department of Social Services has started processing Golden State Stimulus Grant payments to individuals that receive benefits under the Supplemental Security Income/State Supplemental Program and the Cash Assistance Program for Aged, Blind, and Disabled Legal Immigrants.

The "Open Your Eyes" (OYE) consumer awareness campaign is off to an impressive re-start in California and gaining traction each month. The state is one of many helping drive the national campaign forward as consumers and households ease back into society from the COVID-19 crisis over this past year.

2021 marks 25 years of the Credit Unions for Kids (CU4Kids) program, with more than $150 million raised! You’re invited to join Children’s Miracle Network (CMN) Hospitals and other credit union peers across the country for a special 30-minute (virtual) celebration Wednesday, June 2 (at 10 a.m. Pacific).

The Credit Union Times recently reported third-and-fourth quarter data released by the National Credit Union Administration (NCUA) revealed a 12-month trend in branch closings throughout the United States and its territories. This decline resulted in 449 branch closings in 2020. While branches have been declining for several years, this marks the first-time credit union branches have closed their doors in significant numbers. 

On April 30, 2021, the Consumer Financial Protection Bureau (CFPB) published in the Federal Register a final rule (April 2021 final rule) amending the Ability-to-Repay/Qualified Mortgage Rule (ATR/QM Rule) in Regulation Z.

Here’s this week’s recap of state and federal advocacy:

Join your local League Chapters for the 2021 Multi-Chapter PAC Golf Tournament — sporting a friendly game of golf, networking, and raising funds for the California Credit Union League’s Political Action Committee. You can REGISTER HERE!

California’s labor market is finally beginning to turn a corner as a noticeable number of individuals start re-entering the labor force (adults who are willing and able to work) — which is key to its economic recovery, although there is still a long way to go. Meanwhile, Nevada’s job market continued its steady recovery and has much ground to gain.

On Thursday, the National Credit Union Administration (NCUA) Board approved a final rule for derivatives, approved a request for comment on the policy for setting the National Credit Union Share Insurance Fund (NCUSIF) normal operating level, and was briefed on the share insurance fund quarterly report.

In an already complex landscape of federal, state and local workplace safety guidance, recently updated federal guidance easing mask and physical distancing requirements for vaccinated persons has raised a number of questions for credit unions about workplace safety obligations.

Andrew Davis, founder of Monumental Shift marketing agency and best-selling author, rejoins us at REACH this November where he’ll dive deep into the Loyalty Loop. 

National Credit Union Administration (NCUA) Chairman Todd M. Harper testified before the before the U.S. House of Representatives’ Committee on Financial Services during its “Oversight of Prudential Regulators: Ensuring the Safety, Soundness, Diversity, and Accountability of Depository Institutions” hearing on May 19, 2021.

Get ahead of the 2022 curve — register for the virtual “Your Economy—Your Credit Union” Conference! Join the California and Nevada Credit Union Leagues on July 20 as you navigate your state's recovering economy and implement strategic planning for next year!

The London Inter-bank Offered Rate (LIBOR) administrator announced it will stop publishing the one-week and two-month LIBOR settings immediately following the Dec. 31, 2021, LIBOR publication. The remaining LIBOR settings will cease immediately following the LIBOR publication on June 30, 2023. While the extension of the publication of certain LIBOR settings through June 30, 2023, is not an opportunity to continue using LIBOR, it will allow some legacy LIBOR contracts to mature naturally.

Five federal financial regulatory agencies announced they will extend the comment period on the request for information on financial institutions’ use of artificial intelligence (AI) until July 1, 2021.

When many credit unions were figuring out how to protect their institutions and survive during the COVID-19 pandemic of 2020, several credit unions decided to take decisive action to support the members outside of the credit union walls. With the pandemic creating a perfect storm of vulnerability for many members, especially the older members, it was apparent that everyone was facing an avalanche of attacks. 

Some notable forecasts for the future of household formation and homeownership in California and Nevada from 2020 – 2040 have been released by the Urban Institute, which has implications for both states’ housing markets, economies, credit unions and their members.

The voting period for the two special Credit Union National Association (CUNA) Board of Director elections has closed and the official results are in (with voting taking place April 26 – May 13). The California and Nevada Credit Union Leagues want to congratulate Nader Moghaddam and Jose Lara!

The Federal Housing Finance Agency (FHFA) issued a Request for Input (RFI) on Fannie Mae and Freddie Mac’s eligibility requirements for mortgages in condominium, cooperative, and planned unit development (PUD) projects where a large portion of units are offered for short-term rental (30 days or less) or are used primarily for the purpose of vacation or recreational lodging.

Economic Recovery in Motion, but Hyper-Localized by County

From Ventura to Santa Barbara, San Luis Obispo, Monterey and Santa Cruz, the central coast is at the heart of a broader economic recovery as the COVID-19 pandemic’s impact on industries, workers and consumers wanes. A brighter future is in motion, yet with the same household affordability challenges in play from years past.

This week, California Gov. Gavin Newsom previewed his $100 billion California Comeback Plan as the largest economic recovery package in California’s history.

EDITOR'S NOTE: CreditUnions.com featured Patelco CU Vice President of Consumer Lending Josh Garrison and Financial Wellbeing Program Manager Kipp Riesland. They discuss how Patelco is working to improve the situation of members with low or no credit through a small-dollar loan and financial wellness principles.

First-quarter 2021 U.S. credit union trends continue showing a changing world for the industry nationwide as they served members going from winter into spring.

Senate Resolution 27 (Monique Limón) — relative to Financial Capability Month — passed the California State Senate floor this past week. SR 27 declared the month of April 2021 as “Financial Capability Month” to raise public awareness about the need for increased financial capability in California.

Some notable cities and regions across California and Nevada that have a major credit union footprint are spotlighted in the Milken Institute’s “Best-Performing Cities 2021: Foundations for Growth and Recovery” report released this past week — something to note as credit unions soon move into the second-half of 2021.

On Oct. 21, 2021, credit unions worldwide will celebrate International Credit Union Day (ICU Day). This annual event raises global awareness for the credit union movement through outreach, volunteering, fundraising and other ICU Day-themed activities.