Musings from the CU Suite

Written by Anthony Demangone

Imagine if you could read NCUA's mind.  What will they focus on this year during exams?

A little more than a week ago, NCUA tipped its hand, releasing its supervisory focus for 2014. This should get your attention.  

What will they point their focus beam?  The list is below, including who likely would head up efforts in that area. 

1. Interest rate risk. (CFO)
2. Cybersecurity threats. (CIO)
3. Money Service Businesses. (Compliance/commercial services) Just what is a money service business? Here's the definition. If you serve MSBs, it generally increases your BSA risk. 
4. Private student lending. (Lending/Compliance)
5. Compliance with NCUA's new loan participation rule. (Lending/Compliance)
6. Compliance with the new ability to repay and qualified mortgage requirements. (Lending/Compliance)
7. Whether your credit union is making qualified mortgages. (Lending/Compliance)
8. NCUA's new CUSO rule, which will take effect this summer. (Compliance, CUSO leadership.)

If I were you, here's how I'd roll. Forward the guidance to everyone affected, and simply ask where you stand. 

Have a great weekend, everyone!