Town Hall: The Forthcoming Subordinated Debt Rule's Implications on Secondary Capital and ECIP
This month we'll dive into the possible implications of an forthcoming NCUA subordinated debt rule on secondary capital investees, including applicants to ECIP. The rule would grandfather in all ECIP applicants with secondary capital plans that are approved in 2021, yet leaves open the question about the term of the capital, specifically the ability to extend the term beyond 20 years. These changes could have harmful consequences for community development finance and hamper the effectiveness of COVID-19 relief efforts. In response, Inclusiv submitted our comments to the NCUA expressing concerns from our members regarding the rule scheduled to take effect on January 1, 2022.
Bill Bynum, CEO of HOPE (Hope Enterprise Corporation, Hope Credit Union and Hope Policy Institute)
Martin Eakes, CEO of Self-Help CU
Luis Pastor, President/CEO of Latino Community CU
Hank Hubbard, President/CEO of One Detroit CU
|Create Date||October 19, 2021|
|Last Updated||October 19, 2021|