Page 7 - Michigan Credit Union League: 2018 Contact Q3

“The relief S. 2155 provides for our organization, which is Cheryl DeBoer. “The impact to us will be subtle, as we

based in the small-town setting, will give us the oppor- have always acted in the best interest of our members,

tunity to make a positive economic impact for our small and not in the predatory fashion Dodd-Frank and related

businesses and local communities,” said Hunt. legislation sought to curtail. However, the ability to make

mortgages available to members with QM status based

“We recently brought mortgages back in-house so now on our underwriting, rather than the legislature’s, is a

we don’t have to send our members to a third party huge win for our membership.”

or other lender. So, we’re moving in the right direction

with the passage of 2155,” said Allegan Community

“It’s good to see the regulatoryFederal Credit Union CEO Kris Lewis. “We can now pro-

vide value-added products and services that help meet relief. Our credit union has seen
our members’ wants and needs.” significant mortgage growth in
just the few short months ... Our
“Having less regulation is always a good thing. Don’t get
me wrong, we need to be regulated, but to the point of

strangling credit unions out of the marketplace due to

members are ecstatic that theirheavy regulations was a bit much. I know it’s been said

a million times, credit unions were not the culprit of the

credit union can now serve them.”housing collapse, yet we were lumped into that group of

the big, ugly financial institutions that took advantage of Kris Lewis, CEO
people,” continued Allegan’s CEO. Allegan Community Federal Credit Union

“It’s good to see the regulatory relief. Our credit union has DeBoer said that other provisions related to appraisal
seen significant mortgage growth in just the few short requirements, escrow requirements and member business
months since we brought mortgages back in-house. Our loan classification will allow the credit union to rely on
members are ecstatic that their credit union can now their specific knowledge of their own membership and
serve them,” said Lewis. communities, rather than applying a one-size-fits-all rule
to everyone.
When asked what the next step is, legislatively, Lewis
said he would like to see regulations designed around Advia’s CEO continued to say that any legislative prog-
the specific types of institutions: “Credit unions and other ress toward recognizing the credit union difference is
small community institutions should not be lumped into advantageous to members; “We advocate for any relief
the same regulation pool as the big banks. We are a that allows our member-elected board of directors and
completely different business model.” our professional management staff to make decisions for
our organization, rather than being grouped with others
He specifically called for fair, common-sense regulation, which are similar only in the nature of the business, not
“so we can continue to serve our members and our com- at all in practice.”
munities with simple and easy solutions. Heavy regulation
makes it very difficult for us to lend to those that need it.” Looking forward, she said, “At the state level, we hope
to see additional flexibility on issues such as board
Regulators and government agencies have complicated compensation and other governance items, ensuring our
the process and made it difficult to compete with the big Michigan-chartered boards maintain the empowerment
institutions, Lewis said. “People who think they know best, needed to deliver on our individual missions. We are
with little knowledge of lending, are making decisions for uniquely positioned to serve our members in our com-
millions of people, and the outcomes are never in favor munities with financial products, services and education,
of the consumer.” and we hope our lawmakers at every level continue to
recognize that.”
“This final bill simply places business decisions back in
the hands of a credit union’s board of directors, where
they belong,” said Advia Credit Union President/CEO

THIRD QUARTER 2018 I CONTACT 7