The National Credit Union Administration and the Consumer Financial Protection Bureau will share information on some supervisory issues tied to the biggest credit unions.
The agencies said in a press release Thursday that they have reached a memorandum of understanding to improve coordination related to consumer protections at credit unions with assets of more than $10 billion.
Fourteen credit unions are that big, according to Sept. 30 data from the NCUA.
“This agreement underscores NCUA’s commitment to consumer protection by facilitating vital information sharing between the agencies,” NCUA Chairman Rodney Hood said in the release. “Improved coordination with CFPB will produce better outcomes in support of consumers and reduce burden on covered institutions.”
Under the agreement, the agencies will share drafts of covered reports of examination and final reports of examination, among other things.
The agencies will hold semiannual strategy sessions to identify and address areas where they can coordinate exams for large institutions. They will also share information on training activities and content, along with supervisory activities and potential enforcement actions.
“Today’s MOU is an important step towards improving our existing framework and increasing opportunities for collaboration between our agencies,” CFPB Director Kathleen Kraninger said in the release. “By working in a collaborative way, we will engage in more effective processes to protect consumers in the financial marketplace.”
The agreement was created to better facilitate coordinated exams, which should reduce redundancy and overlap, the agencies said.
The CFPB only has direct oversight of credit unions with at least $10 billion of assets.
NCUA board member Todd Harper, who is in line to become chairman under the Biden administration, has pushed the idea of broadening the agency's role in consumer protection issues.
