Time to ‘put the process on paper’

by Ray Birch, CUtoday.info

NCUA’s new proposed rule related to credit union acquisitions of banks should not impact the future of these deals, says Michael Bell, who emphasizes it’s time to “put on paper” the process for completing these transactions.

Bell, who pioneered credit union acquisitions of banks leading to the completion of more than 30 to date, also recommended NCUA make a small addition to its proposal.

As CUToday.info reported, the NCUA board last month put out for comment a proposed rule related to credit union acquisitions of banks with a focus on clarifying the process.

Formally known as Subpart D within Part 708a to establish requirements related to transactions where a FICU proposes to assume liabilities from an institution other than a credit union, the proposed rule seeks to “clarify and make transparent the procedures and requirements currently in place related to combination transactions,” NCUA said.

 

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