WASHINGTON – President Obama on Monday signed into law a bill that for credit unions was notable for what it did not include: MBL cap relief.
The legislation creates a $30-billion fund to expand lending to small business by community banks, as well as tax incentives for businesses. Credit unions had lobbied to have a provision included in the bill that would have raised the cap on member business loans beyond 12.25% of assets, but were unable to overcome objections by the bank lobby that threatened to scuttle a bill that the Administration and Democrats wanted passed as elections are approaching.
Credit unions continue to discuss ways to have MBL cap relief attached to another piece of legislation.
