NCUA Chairman Rodney E. Hood has outlined the agency’s 2021 supervisory priorities in a letter to federally insured credit unions, and said the NCUA remains committed to focusing its examination activities on the areas that pose the highest risk to the credit union industry and the National Credit Union Share Insurance Fund.
“We understand the challenges credit unions are facing because of the COVID-19 pandemic,” Hood said. “The NCUA is steadfast in its commitment to respond to the ongoing pandemic with guidance, policies, and procedures that reflect the current economic climate, as well as efforts to increase the efficiency of the supervision program.”
The agency’s 2021 supervisory areas of focus include:
- allowance for loan and lease losses;
- Bank Secrecy Act/anti-money laundering compliance;
- CARES Act;
- consumer financial protection;
- credit risk management;
- LIBOR transition;
- liquidity risk; and
- serving hemp-related businesses.
Hood said that the agency will also be focusing on modernization updates, including NCUA Connect, the agency’s new user portal, and MERIT, its new examination platform. The full letter is available on the NCUA website.
Checklist for credit unions
In preparation for the 2021 calendar year the New York Credit Union Association has created a checklist for credit unions, designed to be used as a guide in exam preparation as it relates to the supervisory priorities the NCUA has announced. This checklist can be accessed in the documents section of the Association’s Compliance Networking Group and on the Information Sheets section of the Association’s website.
Credit unions with questions can contact the Association’s compliance department:
- Email: firstname.lastname@example.org
- Phone: 800-342-9835 ext. 8147.