articles submitted by:
The NCUA’s new Financial Innovation Rule offers credit unions new and exciting lending opportunities. However, with these new and exciting opportunities come more responsibility on credit unions to reassess, strengthen and update their loan purchasing and lending policies and procedures. This webinar goes into detail about what changes were made to the NCUA’s loan participation […]
Third party relationships can present great opportunities to credit unions to meet their strategic goals and to expand member services in an increasingly competitive marketplace. However, these opportunities must be properly evaluated, with risks assessed and adequately mitigated. This webinar reviews the NCUA’s supervisory guidance as to how credit unions should evaluate their third party […]
By: Michael J. Heller firstname.lastname@example.org Part 1: Contract Review As credit unions increasingly rely on third party relationships to remain operationally efficient and competitive and to provide the most innovative and up-to-date services to members, contract review, negotiation, and monitoring are, and will continue to be, critical aspects of an effective third party risk management […]
By: Michael Heller email@example.com The Federal Trade Commission (“FTC”) published a new proposed rule on January 19, 2023 to prohibit the use of non-compete clauses in certain agreements. The proposal is currently in the commentary period, which will end on March 20, 2023. If adopted, the proposed rule will require employers that use non-compete […]
Following up on a previous post regarding legislation that would grant the NCUA authority to regulate and examine all vendors that do business with a credit union, the House recently passed the National Defense Authorization Act including an amendment that would grant the NCUA such oversight authority over a credit union’s third-party vendors. As previously […]
With summer in full swing, now is as good of a time as any to review your internal processes to see how your programs are performing measured against expectations and determining whether any updates need to be made. This post will be a high level focus looking under the hood of your third party risk […]
Since the NCUA’s ability to have direct oversight over vendors sunset over twenty years ago in the aftermath of Y2K, the agency has consistently made the case internally and in testimony to Congress to regain such authority. The NCUA has most recently cited cybersecurity concerns as justification for vendor oversight authority. Instead of addressing any potential cybersecurity […]
Due to the COVID-19 pandemic, many credit unions and CUSOs have been required to adjust. Most employees are working from home or performing their duties in a non-traditional manner. Third party relationships may have been altered or suspended entirely. Given the rapidly changing nature of the workplace and third party relationships, it can seem disorienting. […]
Regardless of credit union leaders’ politics, one CU advisor says from a compliance perspective “there have not been a lot of negatives” since President Trump took office in early 2017 . . . Please click here to read more. [Subscription may be required]. This article, written by Michael Bartlett, was originally published in the […]
Credit unions are constantly entering into agreements with third-party vendors ranging in criticality from vendors that implement a new core processor to vendors that provide custodial services. Please click here to read more. This article is from the November 6, 2016 issue of Credit Union Times Magazine. [Subscription may be required]. Michael J. Heller is […]
CUSO 101 from Messick & Lauer on Vimeo.
Cybersecurity and Data Breaches – How to Prepare, Protect, and Respond from Messick & Lauer on Vimeo.
As a follow up to correspondence sent out a couple of weeks ago regarding the elimination of the personal guarantee requirement under the new MBL rule, we received feedback that this is not the case for federally insured state-chartered credit unions in Illinois. Illinois state-chartered credit unions must still obtain personal guarantees on all MBLs. […]
Under the new NCUA MBL regulation, the personal guarantee requirement was set to be eliminated sixty (60) days after the final rule’s publication in the Federal Register. May 13 was the 60th day. For once Friday the 13th is a lucky day. Credit unions are now permitted to evaluate a particular member business loan’s risk […]
When the loan participation regulation was amended in 2013, it stipulated that the originator (the lender whose paper the loans are written on) has to stay in the loan participation for the life of the loan and hold at least 10% of the principal amount if the originator is a federally chartered credit union and […]