There is no known or suspected attempt by bankers to change the tax status of South Carolina's credit unions-a threat we rate as low to moderate. However, the state does face a severe budget deficit. Knowing that, our credit unions are prepared to mount an aggressive defense should the challenge arise.
In preparation, the South Carolina Credit Union League has asked each credit union to voluntarily contribute $.15 per member-up from $.05 per member in previous years-to a fund earmarked for defending credit unions' tax exemption. A board of credit union CEOs oversees the fund and approves all expenditures.
Our credit unions are very aware of the threat and are poised to implement our action and response program if necessary. Also, our political allies that successfully passed anti-predatory lending and financial education legislation stand ready to support us should an attack become imminent.
