The Challenge Of A National CU Brand... Part II

No two snowflakes are identical!

Snowflakes, much like Credit Unions, are fantastically varied in form and purpose.... 


If you attempt to bring CUs together under a consolidated, unified brand, here's the combined look you create... 

Question Of Fairness...

Several credit unions are reviewing or have announced intentions to convert to bank charters.  Those CUs which leave the NCUSIF are apparently not currently required to pay their share of the "$15 billion bill" for the Corporates.

The more CUs who choose to leave, the higher "the bill" for those who remain!  At some point, this opportunity to "get out of jail free" may become a dangerous game of "musical chairs" with Boards and CEOs who "do the honorable thing" being bankrupted by their amoral peers.

Does NCUA have the authority to require an NCUSIF "exit fee" on departing CUs? 

If so,  the exit fee should be announced to help CUs plan, who are contemplating a conversion. If not, when will NCUA propose regulation or legislation to correct this issue of injustice and fairness? 

If NCUA is truly intent on helping CUs manage "risks",  they should have no higher priority. 

If NCUA can't "manage" this very, real threat; be prepared for a new look on Duke Street in the near future...

Question Of Interest....

Does NCUA have the legal authority to pay interest on the proposed pre-payment assessments?

If they can pay interest, why aren't they?

Pearl

"Conscience is what hurts when everything else feels good."

Mirror, Mirror....

Leadership:  It's not about you....

Haiku For You

From Nothing

If happiness is,

But no longer worth the risk;

Then what's left to lose?

Examiner's Bull....

"As an examiner, her tact and "people skills" had about the same impact on the Board, as a bull liberating a china shop."

Einstein On The "Principles" of American Finance ....

"Perfection of means and confusion of goals seem, in my opinion, to characterize our era." *

- Albert Einstein

*Translation:  In American finance,  we have moved from a system of "Caveat emptor!" ("Buyer beware!") to a system of "Caveat *x#*|*!" ("Buyer be *x#*|*!") ...... "CASH" seems to be the only "value system" which now guides professional financial behavior.

Division Of Labor.....

"Some people meet; others work."

Pearl

"Maybe this is as bad as it can get, but don't bet on it!"

From the Field...

" She had promised a new direction, but is still on the wrong course."

Haiku For You

What You Miss

When you understand

I accept you as you are

Then you will see me.

Corporate Resolution ... The Final Analysis.

The NCUA, over the last two decades, centrally (out of Alexandria) managed, monitored, regulated, and examined the national system of Corporate credit unions.  The NCUA had a special, separate department - the Office of Corporate Credit Unions - within the Agency, which employed its "best and brightest", its most highly skilled examiners - "capital market specialists".  Those capital market specialists were hired for their acclaimed expertise in ALM modeling, economic forecasting, interest rate risk analysis, securitization and derivatives, and for their well-seasoned, strategic vision and insight.


The NCUA, through the Office of Corporate Credit Unions and these capital market specialists, examined the Corporates on an annual basis and even housed its capital markets experts within several, specific Corporates.  Those experts continually rated the Corporate System highly - safe and sound.


We all believed those firm assurances from the NCUA ....  they were in there, on the ground, in the trenches with experts, specialists .... and the experts' opinions were highly favorable, supportive.


In retrospect, this expert advice was very expensive (last count about $15 billion); and the Alexandrian, central management model was, in the final analysis, ....

Pearl

"Everything is about passion."

From the Field...

"So far the year is moving forward with lots of new ideas. The branch is well on its way to unimaginative things happening..."

CFPB ....

The Consumer Financial Protection Bureau:


               ... Who loses when the consumer wins?

Good For One Free.....

"Alright, which one of you sent the Kevorkian gift certificate??!" 

Haiku For You

Shell Game

 

Unexpected gifts

Say more than words ever can.

Give your shell away!

Doubting Thomas....

Thomas Paine

(Jan. 27, 1737 - June 8, 1809)

"Reason obeys itself;

and ignorance submits to whatever is dictated to it."

The Challenge Of A National CU Brand...

Individually, Credit Unions are uniquely beautiful....

Unfortunately, together we're....

IRR-ked To Say The Least....

Comment Letters to NCUA on the recently proposed, expanded Interest Rate Risk (IRR) regulation have now been posted on the NCUA website.


NCUA encouraged you to write Comment Letters; I would encourage you to read them!


Here's how: 1) Go to www.ncua.gov; 2) Click on "Resources and Publications"; 3) Go to "Legal ... Regulation, Legal Opinions, and Laws"; 5) Then, "Proposed Regulations"; look for "Interest Rate Risk" and click on "Comments".


You'll have almost 50 Comment letters to choose from - stay informed, happy reading!

If by chance you do not have time to read through the whole list; I have attached below, a very brief overview of the opinions expressed on the most likely impact of providing NCUA with additional IRR authority....

PRAT....

PRAT??

That's TARP in reverse... a system where CUs voluntarily lend the NCUA money... sort of a reverse bailout.

So OK, CUs have always been "backward thinkers"; but...

Haiku For You

Expectations

 

Something is better -

Is it really? - than nothing;

Everything is best.