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CUs want FCU bylaws to reflect new tech
NAFCU's new Economic & CU Monitor report revealed that 92 percent of credit unions support improvements to the Federal Credit Union (FCU) Bylaws, and many survey respondents would like the bylaws modernized to reflect current technology. In March, the NCUA issued a request for feedback on the FCU bylaws; NAFCU has previously offered ways to modernize them.
Almost two-thirds of Monitor respondents were in favor of adding bylaw provisions to allow annual or special meetings to be conducted through video or teleconference, and 78 percent indicated that the use of tech, such as social media or web-based conferencing solutions, could encourage greater member participation in such meetings.
In addition, respondents would like clarification on how to address abusive behaviors by members. Credit unions would also like the NCUA to improve its responsiveness when responding to FCU bylaw questions.
Also included in the Economic & CU Monitor are the results from the May Credit Union Sentiment Index (CUSI), an index based on NAFCU member responses to eight questions on growth and earnings outlook, lending conditions and regulatory burden.
The CUSI increased in May and almost matched its highest score on record. The improvement can be attributed to a rebound in credit unions' positive expectations for growth over the next year, as well as increased loan demand during the month. However, respondents downgraded their expectations for regulatory relief this year.
NAFCU members are encouraged to participate in the association's surveys. Next month's Monitor will focus on Bank Secrecy Act compliance, specifically how credit unions are working to comply with the new customer due diligence rule and beneficial ownership requirements. Credit unions can fill out the survey online; responses are due June 1.