A (Asset Quality)

Matt Egan, CNN Business, in a May 12, 2020 article on cnn.com, writes: “The savings rate in the United States climbed from 8% in February to 13.1% in March. That was the highest savings rate since November 1981. And given the disastrous economic news, the savings rate will likely go even higher when April statistics are released.”

“…on May 20, 2020, the NCUA and the federal banking agencies released the attached Interagency Lending Principles for Offering Responsible Small-Dollar Loans. The general principles described in the statement apply to all credit unions that make small-dollar loans.

In a recent bulletin, Loran Jackson NCCO, REGULATORY COMPLIANCE COUNSEL, NAFCU, described the qualities credit union Credit Risk Review Systems should have.

“…on May 8, NCUA signed on to a statement on credit risk review systems. This statement presents principles for establishing a system of independent, ongoing credit risk review in accordance with safety and soundness standards. “

In a May 2020 article, on bloomberg news, John Gittelsohn writes: “Delinquencies on U.S. home loans surged by 1.6 million in April, the biggest one-month gain ever, as soaring job losses fueled a 90% jump in missed payments and government programs offered penalty-free delays.”

Imani Moise, in a recent article on reuters.com, writes, “The number of U.S. borrowers seeking help on mortgages, credit cards and auto loans jumped between March and April in the economic fallout from the coronavirus pandemic, a TransUnion (TRU.N) study released on Wednesday showed.”

In a May 15, 2020, article on newsweek.com, Eddy Rodriguez writes: “More than half of Americans who have taken money out of their retirement savings accounts did so to cover basic expenses during the coronavirus pandemic.” Consumers need all the help they can get from their financial institutions. For many credit unions, this will require new or modified services.

It takes 15 months for the Inverted Yield curve to show up in economic data. Thus writes Tom McClellan, Editor, The McClellan Market Report in a February 20, 2020 article in his newsletter.

According to a study by the NCUA’s Chief Economist, credit union members could save thousands of dollars on their mortgages when compared to borrowers at other financial institutions.

Jacob Passy writes in a January 26, 2020 article in marketwatch.com that upcoming changes in FICO’s credit scoring system will have an impact on many consumers and lenders.