NCUA denied a credit union's request to convert excess credit union property into residential housing it planned to rent to its employees. In a new legal opinion letter, NCUA ruled federal credit unions have neither express authority nor is it within their incidental powers to engage in this. The unnamed credit union told NCUA it would like to offer residential housing to its employees due to high real estate prices in its area. Under the plan, the CU would have developed its own excess property by converting it into residential rental units, then lease units to employees and charge below market rates. But NCUA rejected the idea, saying, "an FCU may only engage in activities that the FCU Act expressly authorizes or that fall within an FCU's incidental powers."
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The combination of two Pacific Northwest banks was supposed to create a regional powerhouse, but rising deposit costs have stung. CEO Clint Stein says he's "laser-focused" on making Columbia a top performer again.
May 3 -
A set of panels discussing minority depository institutions and digitization found that cost is a significant challenge to minority depository institutions, especially in the core processing space.
May 3 -
The Federal Reserve, Federal Deposit Insurance Corp. and Office of the Comptroller of the Currency issued a 30-page guidebook on managing affiliate risks. The report builds on formal guidance issued last year.
May 3 -
The efforts, which respond to President Biden's October executive order on AI, aim to improve synthetic content detection and improve the trustworthiness of AI models.
May 3 -
Tighter merchant connections between Square and Cash App helped Block produce stronger-than-expected results during the first quarter, while Jack Dorsey said the firm will launch its first remittance product later this year leveraging decentralized finance.
May 3 -
In talks with OCC officials, "it became obvious that we would not gain near-term approval given their recent experience with multifamily and CRE positions," FirstSun CEO Neal Arnold says. The companies announced other revisions to their deal, too.
May 3