Nevada Senator Introduces CU Charter Bill

Sen. Catherine Cortez Masto (D-NV)
Sen. Catherine Cortez Masto (D-NV)

Sen. Catherine Cortez Masto (D-NV), along with Sen. Tim Scott (R-SC), introduced a new bill, S.3389, to increase the maturity cap on non-mortgage loans for federally chartered credit unions.

This legislation will help modernize the federal credit union charter and bring it into parity with many of the states.

The bill differs from its counterpart in the House of Representatives by increasing the maturity limit for non-owner occupied residential loans to 30 years, while increasing all other loans from 15 to 20 years.

The Credit Union National Association (CUNA) and the California and Nevada Credit Union Leagues have been working with the senators on language that can appease both sides politically, and achieve the goal of modernizing the charter. Most state charters have already adopted something similar in nature.

The bill now needs to build momentum to gain viability in a very difficult environment to legislate. CUNA and the Leagues have placed charter enhancements at the top of their legislative agendas for the foreseeable future.

"A big shout-out goes to the Nevada credit unions that provided an incredible amount of data and perspectives in this process," said Jeremy Empol, vice president of federal government affairs for the Leagues. "This bill and many others were introduced as a part of the CUNA-Leagues Governmental Affairs Conference (GAC) last week."

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