As part of the agency’s deregulation efforts—as encouraged by the administration’s Executive Order 14192, Unleashing Prosperity Through Deregulation, which requires agencies to remove ten regulations for every one proposed—the NCUA has announced four more possible regulations to remove.

All four of the requirements were labeled by the NCUA as “overly burdensome,” while two of the four were additionally labeled as “obsolete regulations.” The four current rules these changes would apply to are Surety and Guarantor Requirements, Limits on Loans to Other Credit Unions, Catastrophic Reporting, and Accuracy of Advertising and Notice of Insured Status.

According to America’s Credit Unions, the summary of changes is as follows:

• “Changes for Surety and Guarantor Requirements: NCUA is proposing changes to segregated deposit and collateral requirements, removing the requirement that a federally insured credit union obtain a segregated deposit or specific collateral to cover a suretyship or guaranty obligation.
• Changes for Limits on Loans to Other Credit Unions: NCUA is proposing to remove the regulatory requirement that a federally insured credit union board approve loans to other credit unions and adopt written policies setting internal limits for those loans.
• Changes for Catastrophic Reporting: NCUA is proposing to extend the deadline for a federally insured credit union to report a catastrophic act to 15 calendar days, require notice to NCUA rather than notice to the appropriate regional director, and replace the prescriptive recordkeeping list with a requirement to prepare a record that contains the basic facts of the event.
• Changes for Accuracy of Advertising and Notice of Insured Status: NCUA is proposing to remove the requirement to include the official advertising statement in advertisements by deleting the provision that sets that requirement and revise the scope provision to reflect that the rule addresses the official sign, requires other advertisements to be accurate, and sets requirements for excess insurance advertising.”

Following the official announcement of the proposals in today’s Federal Register, a comment period of sixty days will begin, ending on February 27th. Credit unions can find more information on the proposals from the NCUA’s official press release and can submit comments for consideration via the Federal Rulemaking Portal.