All treats, no tricks, from NCUA to low-income credit unions
The National Credit Union Administration has awarded $2 million in grants to help 203 low-income credit unions improve digital services and security, increase outreach to underserved communities and train employees.
The grants, ranging from $1,300 to $20,000, were given to credit unions in 42 states and the District of Columbia, the regulator said on Wednesday. Forty-four of the credit unions are first-time grant recipients and 28 are minority depository institutions.
A total of 243 credit unions made grant requests of $2.5 million in this year’s round, according to NCUA figures. Grants totaling roughly $1.3 million were given to 141 institutions for digital services and security. Another 40 institutions received about $350,000 for leadership development. Twenty-two credit unions received almost $400,000 for underserved outreach.
The largest grants for digital services and security and leadership development were for $10,000. For underserved outreach, 17 credit unions received the maximum amount of $20,000.
Among those receiving $20,000 grants were the $25 million-asset Brooklyn Cooperative in New York, the $628 million-asset Notre Dame Federal Credit Union in Indiana and the $2.2 billion-asset Nusenda Credit Union in Albuquerque, N.M.
“These are investments in fundamentals: Protecting credit unions and their members, expanding access to affordable financial services and building human capital,” J. Mark McWatters, NCUA’s board chairman, said in a statement. “In particular, helping credit unions detect and defend against cyberattacks is essential to keeping members safe and the financial system secure.”
NCUA’s Office of Credit Union Resources and Expansion administers funding provided by the Community Development Revolving Loan Fund, which offers grants and loans to credit unions serving low-income communities. Since 2001, Congress has provided NCUA with $20.8 million for these grants.
The Office of Credit Union Resources and Expansion supports low-income-designated credit unions, credit unions interested in a low-income designation, minority credit unions, credit unions seeking changes in their charters, bylaws or fields of membership and groups organizing to start new credit unions.