Regulatory Changes to Expect in Credit Union Member Statements

Jul 10, 2019

Ah, statements. They truly are one of the more glorious aspects of the credit union industry. Credit unions love drafting them and sending them, and members look forward to them. Unfortunately, all that comes crashing down when regulatory changes come to town.

And they always come to town.

In this blog, we’ll look into what kind of regulatory changes you can expect for your credit union statements, as well as who’s requiring those changes. Finally, we’ll ask if you even need to concern yourself with them at all.

Why Pay Attention to Regulatory Changes?

The credit union statements and notices industry is all about regulations. After all, sending regular statements is a regulatory requirement.

Of course, it would be foolish of regulators to require statements as a member service without specifying what those statements need to include. Certain information must be included, and it must be easy to understand.

While some credit union members might like their statements written with emojis, in crayon, on the back of a chili recipe, most people just want a quick, accurate look at their finances. Regulatory agencies are more than willing to crack the whip on any credit union that doesn’t include all the necessary information.

What Kinds of Changes to Expect

Okay, you caught us. We can’t see the future, though that would help us with our personal investing strategies. Plus, we’re not mind readers—we don’t know what regulators want before they tip their hand.

Then again, regulating bodies are pretty good about tipping their hand. So much so that we’d love to play poker against them.

For example, the NCUA releases proposed, pending, and recently-approved changes on their website. Keeping an eye on proposed and pending changes can prevent some bad surprises.

Who’s Doing the Regulating?

There are several groups who “do the regulating,” so to speak. Our favorite regulators are Warren G and Nate Dogg, but they’re not exactly helpful when it comes to credit union statements.

Credit union statement regulations come primarily from one super group:

The Federal Financial Institutions Examination Council (FFIEC)

The FFIEC comprises the boards of five regulatory bodies:

  1. The FRB: The Federal Reserve System
  2. The FDIC: The Federal Deposit Insurance Corporation
  3. The NCUA: The National Credit Union Administration
  4. The OCC: The Office of the Comptroller of the Currency
  5. The CFPB: The Consumer Financial Protection Bureau

Together, these agencies prescribe standards, forms, policies, procedures, and so on.

If you want to blame someone for making it harder to make a sleek, attractive credit union statement, blame them. If you want to thank someone for keeping your members well-informed about their finances, thank them.

Does My Credit Union Need to Care About Statement Regulations?

Yes, definitely. But it’s not that scary. Regulatory bodies make it very easy to keep your statements and other member communications in compliance.

Follow the links below to learn more about credit union statements, member communications, and what kind of support is available. For example, your credit union can save money by using a vendor for statements, notices, tax forms, and more.

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