H187 "Credit Union Update" Passes House, Now On To North Carolina Senate...

         

😎 N.C. House of Representatives: Yep, looks like the same call we made in the 2023 Session - that one fouled out!

 

✅ Here's where you can find a detailed summary of the House bill (H187), as prepared by the distinguished, independent, and highly credible University of North Carolina School of Government  [link]. 

Less credible sources continue to imply that H187 is only about credit unions desperately trying to serve North Carolinians stranded in financial deserts [link] without access to financial services. If you live in North Carolina and don't have access to a credit card, ATM, mobile app, direct/remote deposit, a bank/savings bank/credit union, or at least a landline! - Please raise your hand!

"The Incredibles" continue to try and "put one over" on our Legislature and North Carolina credit union members. Why not simply tell our representatives the truth, the whole truth and nothing but the truth? 

As the School of Government summary clearly shows, H187 is an extensive rewrite of credit union powers in North Carolina. H187 permits a) open membership, b) permits membership by all commercial and corporate entities without limitation, c) authorizes unlimited commercial lending anywhere in the Country, d) introduces the opportunity for speculative investment with member funds, e) and "much more"! H187 also potentially suppresses both member-ownership and voting rights in "our" North Carolina cooperatives. Check out the summary for yourself.

😎 Why has the truth become such a difficult hurdle for "The Incredibles" to speak?  

   "Where there's smoke, there's usually a liar...e-r-r fire."

H187 "Credit Union Update" On Tap At The State Legislature Today

The "new/new" H187 "Credit Union Update" bill (the "old/old" H410 from the last legislative session) should pass the House chamber of the Legislature later today. As the principal sponsor of the bill stated H187 and H410 are basically the same bill - although at first glance H187 appears to have been "watered down".  It's now an "Update" rather than an "Updates"!

The Carolinas Credit Union League (CCUL) continues to emphasize that H187 permits state-chartered credit unions to serve North Carolinians trapped in those rural financial deserts in 40 of North Carolina's 100 counties [link].  This open membership expansion permits credit unions to serve folks who "live at least 8 miles away from a bank branch" - tracking exactly who that is ought to be interesting! These "financial deserts" must not have electricity nor telephone services either; so contact centers,  ATMs, mobile access probably can't be counted.

Our local NPR radio station - WUNC - heavily featured that single bill provision on the morning news.[link] Pulls at the heart strings; until one notes that there are no provisions in the bill, if approved. to measure the success of credit unions in serving "N.C.'s financially thirsty". Worse yet, there is no legislated requirement to bind credit unions to a commitment to actually serve these people - no reporting mechanism to track performance. A little "trust but verify" would seem prudent in our "new/new" credit union world.

If H187 passes the House as with last session, then the bill will move to the N.C. Senate for consideration in coming weeks. Stay tuned! 

... relying solely on "in good faith" leadership can become problematic... as we all have witnessed!