Expansion of CU-DoD land lease arrangement should be rejected

Defense credit unions continue to serve our nation’s servicemembers and their families exceptionally well, CUNA, the Defense Credit Union Council, and National Association of Federally-Insured Credit Unions wrote to House and Senate Armed Services Committee leaders Tuesday. The letter was sent in advance of consideration of the FY24 National Defense Authorization Act (NDAA).

Banks have sought to be eligible for certain waivers for on-base branches in recent years, but CUNA, League, and partner advocacy has prevented inclusion of any such language.

“We anticipate for-profit banks to ask Congress for a handout by seeking a provision in the 2024 NDAA that would require DoD to treat them the same as credit unions when it comes to leases. This may include inserting a provision that would force DoD to provide the same nominal leases to all banks,” the letter reads. “It is alarming that large banks such as Wells Fargo and Bank of America, who regularly earn billions in profits would be equal to not-for profit credit unions if this provision were to become law. Keep in mind, credit unions are owned by their members – the men and women of the military.”

 

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