Mon, Aug 7, 2017
The National Credit Union Administration is hosting its third and final round for credit unions to qualify to use the streamlined application for certification as community development financial institutions.
In the streamlined application process, developed by the NCUA and the Community Development Financial Institutions Fund, low-income credit unions submit data on loan originations and their target markets to the NCUA’s Office of Small Credit Union Initiatives. The agency will then analyze each credit union’s products and services and other indicators to determine its likelihood for certification. If the credit union is qualified to use the streamlined process, the NCUA will provide an application form and the data necessary to complete it. The credit union then completes the application and sends it to the CDFI Fund for final determination of certification.
Credit unions can find more information on the NCUA-CDFI Certification Initiative webpage. Eighteen federally insured, low-income credit unions already have obtained certification through the streamlined process.
Low-income credit unions that do not qualify for the streamlined program may still obtain a CDFI certification through the CDFI Fund’s standard application available here.
The NCUA’s Office of Small Credit Union Initiatives fosters credit union development and the effective delivery of financial services for small credit unions, new credit unions, minority depository institutions, and credit unions with a low-income designation.