A recent announcement from the National Credit Union Administration indicated that in the near future Credit Unions with more than $10 billion in assets will be required to perform Stress Tests alongside their banking peers. The release went along to state that the prescribed stress tests will be based on scenarios that have been developed by the federal reserve and are intended to determine if the institutions have adequate capital to withstand economic shocks. Sounds familiar doesn’t it?
CEIS’ has always felt that since the regulatory mandating of stress testing being a requirement for larger bank organizations, that in one shape or form stress testing was going to be a mainstay requirement for most lending institutions. While there are distinct differences between Banks and Credit Unions, there is no argument that that the failure of either does have an economic impact on the communities they serve.
- Posted by path_admin
- On Saturday May 31st, 2014
- 0 Comments