Nussle, Mellin push back on NY representative’s call for credit union hearing

by America's Credit Unions

The New York Credit Union Association and America’s Credit Unions joined together to respond swiftly to statements made by Rep. Claudia Tenney, R-N.Y., at the American Bankers Association annual conference, where she called for a House Ways and Means Committee hearing on what she described as “inequities and disparities” in credit union regulations.

America’s Credit Unions President/CEO Jim Nussle and New York Credit Union Association President/CEO William Mellin pushed back on Tenney’s statements, emphasizing the many benefits of the credit union difference and positive impact to all consumers in a letter sent to the congresswoman Tuesday.

“We urge you to remember that credit unions delivered an estimated total of $35 billion in financial benefits in the year ending March 2024 for American consumers. These benefits arise from member-ownership and the absence of stockholders demanding a market return on investment, and they take the form of lower loan interest rates, higher savings yields, and fewer/lower fees,” the letter reads. “In contrast, the Joint Committee on Taxation (JCT) estimates the value of the credit union federal tax expenditure was $2.6 billion in 2023. The fact is the credit union federal tax exemption remains one of the best returns on the tax expenditure dollar for the federal government.”

The joint letter also notes credit unions are different from banks in that they are:

 

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