NAFCU Journal November December 2021

Facilitating Between Regulators and Credit Unions Practice vigilance, stay up-to-date and act proactively By Sheryl S. Jackson In business, transparency is the basis for trust between a company, customers, partners and employees. Being transparent means being honest and open when commu- nicating with all stakeholders about matters related to the business. Transparency is essential in the regulator-credit union relationship. The reality, however, is that regulatory agencies are not always as transparent as needed in some areas, which presents challenges to credit union compli- ance programs especially. “The most concerning issue for credit unions is a lack of transparency about supervisory and examination expectations because regulators can be very guarded about their approach to examinations,” said Ann Kossa- chev, director of regulatory affairs for NAFCU. “There is a difference between compromising the integrity of the examination and giving clear rules to credit unions that allow them to meet the expectations of the examiner—we are just asking for clear rules.” One of the longtime issues with National Credit Union Association (NCUA) examinations is the confusion caused by the issuance of “guidance” versus “rulemaking.” TRANSPARENCY 18 THE NAFCU JOURNAL November–December 2021