NASCUS Says It Will Press For Alternative Capital Bill

The National Association of State Credit Union Supervisors (NASCUS) said it will more aggressively pursue federal legislation that would permit state regulators to allow state-chartered credit unions to supplement capital by use of supplementary or alternative capital instruments- provided they meet safety and soundness and investor protection guidelines.

The NASCUS board said it approved the move after credit unions indicated the issue was a high priority for them. NASCUS found in a survey that 11 states currently allow their credit unions, under same circumstances, to use a variety of alternative strategies to raise capital.

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