COLUMBUS, Ohio-At the recent Ohio Credit Union League Annual Meeting, Credit Union Journal asked attendees if they are paying close attention to the latest MBL legislation and what kind of impact a cap raise would have on their CU.
Scott Hicks, CEO
Clyde-Findlay Area FCU, Clyde, Ohio
Today, if the MBL cap were raised, it would not have a significant impact on our business lendinmg because we are not near the current cap of 12.5%. However, things won't stay that way, as we plan to do more with member business lending. Expanding the cap, in the future, will allow us to get more money out into our communities to drive job growth and the economy.
Jennifer Ferguson, CEO
Bay Area CU, Oregon, Ohio
I can't say I am watching headlines closely because we don't do business lending. However, I am in favor of the cap raise, because of what credit union business lending does, and can do for local businesses and the economy. Small business owners in our credit union's community are being turned away by banks, and they come to us for help. I refer them to other area credit unions that do business lending. I am seeing so many small businesses being affected by banks either turning them away or no longer extending them credit.
Sonya Smith, CFO
Clyde-Findlay Area FCU, Clyde, Ohio
I support the legislation, and I think boosting the cap will help out the larger credit unions a lot. Because we are just getting our feet wet with business lending I am not paying close attention to legislation. But if passes it will help us a great deal in the future, I predict, and it will help us shape our strategic planning.
Diane Rodriguez, CEO
Dynamic FCU, Celina, Ohio
I am paying close attention to the bill because passing it will help our credit union, and our members, immensely. We had to stop doing business lending because we hit our cap. I want to be able to do more to support our local businesses-they are not getting help from banks. We serve a rural community and there is a real need for agricultural loans.
Derek Sidor, CEO
Tiffin St. Joseph FCU, Tiffin, Ohio
My credit union belongs to a business lending CUSO, and we all are hoping the bill will pass. I am following this closely, not so much for what it can do for us now, but for what it can do down the road. We are not near our cap. But the sooner we get the cap raised, the sooner all the credit unions in our area can begin providing even more loans to help small businesses.
Tim Boellner, CEO
AurGroup CU, Fairfield, Ohio
Our credit union formed a CUSO eight to nine years ago to do member business lending and we generally run at 8% to 9% of our assets. But as we continue to grow we know we will run up against that cap, so we are hoping the bill will pass. The demand is there and we can do so much good for our communities-despite what the bankers say. They can always point to an institution that has failed as a result of business loans, but they can point to their own failures. If you do business lending correctly it's no riskier than consumer lending.
