Bill Signed, Absent Any CU Provisions

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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.

 

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