The NCUA’s new Financial Innovation Rule offers credit unions new and exciting lending opportunities. However, with these new and exciting opportunities come more responsibility on credit unions to reassess, strengthen and update their loan purchasing and lending policies and procedures. This webinar goes into detail about what changes were made to the NCUA’s loan participation […]
The revised Member Business Lending Rule takes full effect on January 1. The revisions are substantial and introduce a completely new regulatory framework. This is a high level discussion of what to expect and how to prepare for the changes. Countdown to the New MBL World from Messick & Lauer on Vimeo.
As a follow up to correspondence sent out a couple of weeks ago regarding the elimination of the personal guarantee requirement under the new MBL rule, we received feedback that this is not the case for federally insured state-chartered credit unions in Illinois. Illinois state-chartered credit unions must still obtain personal guarantees on all MBLs. […]
Under the new NCUA MBL regulation, the personal guarantee requirement was set to be eliminated sixty (60) days after the final rule’s publication in the Federal Register. May 13 was the 60th day. For once Friday the 13th is a lucky day. Credit unions are now permitted to evaluate a particular member business loan’s risk […]
Credit unions, mark your calendars for Friday, May 13. That’s when, under a new NCUA rule, member business loans will not require a personal guarantee under certain circumstances. That’s the biggest change in the final rule approved by the agency last month, according to industry insiders and experts. Please click here to read more. [Subscription […]
When the loan participation regulation was amended in 2013, it stipulated that the originator (the lender whose paper the loans are written on) has to stay in the loan participation for the life of the loan and hold at least 10% of the principal amount if the originator is a federally chartered credit union and […]
The following is a link to an article published in the Credit Union Times wherein a member of our firm is quoted. Net Seller Model May Create More Control by Michell A. Samaad 11/14/2012 http://www.cutimes.com/2012/11/14/net-seller-model-may-create-more-control
Credit unions want revenue and those credit unions that are able to book good yielding loans do not want to give that yield up. But retaining all the yield from loans is not always the best business decision. If a credit union has a high loan demand it is much more advantageous to be a […]
THIS IS THE COMMENT LETTER SUBMITTED BY MESSICK & LAUER P.C. COMMENTS ARE DUE BY FEBRUARY 21, 2012. January 25, 2012 Mary Rupp, Esquire Secretary of the Board National Credit Union Administration 1775 Duke Street Alexandria,VA 22314-3428 Re: Proposed Amendments to 12 CFR Parts 701 and 741 Pertaining to Loan Participations Dear […]
Loan participations are extensively used by credit unions, principally in member business loans and consumer mortgage loans. Loan participations provide an attractive investment alternative and help credit unions manage liquidity, lending risk and regulatory constraints. However, the loan participation regulation needs to be amended to keep up with the changing financial marketplace. In today’s environment, […]
