WASHINGTON-Congress was poised last week to introduce yet another bill that would raise the limits on member business loans from those set 11 years ago, as part of HR 1151, the CU Membership Access Act.
In the latest bid, New York Sen. Charles Schumer said he is convinced that credit unions could help spur small businesses if they are allowed to lend more. Schumer said is plans to introduce a bill that would raise the limit from the current 12.25% of assets, which the banks succeeded in attaching in HR 1151.
CUNA President Dan Mica, testifying before the Senate Banking Committee last week on regulatory reform, put in a pitch for the Schumer proposal, saying credit unions have $10 billion in funds to lend to small businesses.
The credit union lobby has been working for the past seven years to reverse the HR 1151 provision, as part of CURIA, CURAA, and several other regulatory relief bills.
