WASHINGTON–America’s Credit Unions is calling on the Small Business Administration to prioritize to removal of what it said are barriers to credit union participation in the agency’s lending programs to benefit small businesses. 

In a letter sent to the House Small Business Committee, America’s Credit Unions President/CEO Jim Nussle shared several examples the trade group said show how the SBA can accomplish these changes.

A ‘Game-Changer’

The letter was sent ahead of testimony by SBA Administrator Kelly Loeffler before the committee.

“Streamlining SBA loan processes would be a game-changer for credit unions and the small businesses they serve,” Nussle wrote, adding that SBA efforts during the pandemic to provide additional flexibility “not only allowed credit unions to reach more borrowers but also demonstrated the potential for reducing procedural burdens without compromising program integrity,” and should be made permanent.

The Specifics

Specifically, America’s Credit Unions said, it want the SBA to:  

• Provide more targeted training and technical assistance, including regular webinars, workshops, and on-demand training resources
• Adopt stringent safeguards for fintech participation in its programs, including enhanced initial vetting, continuous monitoring, and requirements for compliance with the same regulatory standards applied to depository institutions
• Strengthen its partnerships with community-based lenders like credit unions instead of becoming a direct lender itself
• Recommend to Congress and the administration that the SBA has full funding to support its lending programs, including disaster loans.

Bowman Approved for Fed Post

As expected, Michelle Bowman has been confirmed by the Senate to become the new Federal Reserve Board Vice Chair for Supervision.

“America’s Credit Unions congratulates Michelle Bowman on her confirmation to be the Federal Reserve’s Vice Chair for Supervision,” America’s Credit Unions President and CEO Jim Nussle said in a statement. “She brings strong financial services experience and expertise to the role as a former community banker and has met with credit union organizations many times through the years. Bowman is a strong ally for credit unions and our issues and agrees with our concern with the Fed’s proposal to cap debit interchange fees. Her role as Vice Chair for Supervision gives credit unions a stronger voice in financial regulation. We thank the Senate for moving quickly on her confirmation.”