Mon, Nov 4, 2013
In a pair of letters to credit unions, the National Credit Union Administration provided details on two final rules approved at the October open board meeting: emergency liquidity and contingency plans and e-filing regulations.
"Guidance on How to Comply with NCUA Regulation §741.12 Liquidity and Contingency Funding Plans" (13-CU-10) is the first of the two letters. That rule, which is scheduled to become effective on March 31, will set up three-tiered emergency liquidity requirements for credit unions with less than $50 million in assets, between $50 million and $250 million in assets, and more than $250 million in assets.
Topics addressed in the letter include:
- What credit unions need to do to comply with the rule, and when;
- What steps credit unions should take before and after the effective date of the rule;
- Why the NCUA developed and released the rule;
- The key sources of liquidity the NCUA looks for in credit union plans;
- What written liquidity policies should address; and
- What a credit union's contingency funding plan should address.
In the e-filing letter, "Electronic Filing of Call Reports and Extended Filing Dates for 2014" (13-CU-11), the agency covers the why and when of that new rule. The final e-filing rule approved by the agency will require all federally insured credit unions to file financial, statistical, and other reports and credit union profiles electronically using the NCUA's information management system or other electronic means specified by the agency.
To help credit unions cope with these changes, the NCUA has adjusted its call report and profile submission due dates to the fourth Friday of each month following the end of a quarter. The specific due dates for 2014 are now Jan. 24, April 25, July 25 and Oct. 24.
If a credit union does not file electronically by the due date, it is a regulatory violation subject to applicable administrative remedies, including civil money penalties, the NCUA letter reminds.
For both NCUA letters to credit unions click here: NCUA Letters To Credit Unions
Source: CUNA News Now