MBL

Bipartisan legislation introduced Monday would permit loans made as part of the COVID-19 relief effort not to count against limits on member business lending.

Trade groups are still pushing for the industry's priorities, such as temporarily lifting the member business lending cap, as negotiations over the next round of aid continue.

Along with the assets-under-management milestone, Michigan Business Connection noted that its partner credit unions have financed more than 1,000 Paycheck Protection Program loans.

A letter from the National Taxpayers Union requested changes, such as requiring federal credit unions to fill out a certain IRS form for non-profits, before lawmakers considered easing member business lending limits.

A growing number of lenders are unloading loans made through the Paycheck Protection Program.

For all banks' claims that credit unions pose a threat to their commercial lending market share, they've accounted for just 2% of volume in the Paycheck Protection Program.

Small businesses have been hard hit by the pandemic, meaning commercial lenders are considering how they can better manage risk in this portfolio and make other changes to help.

National Credit Union Administration Chairman Rodney Hood told a NAFCU audience now is the time to take action on the member business lending cap so credit unions can continue to help with the coronavirus recovery.

The industry granted about 21% of these loan applications after three months of record lows.

Bankers call credit unions’ latest efforts to ease limits on member business lending opportunistic. Credit unions say they're trying to help with the recovery effort.