US Senators Catherine Cortez Masto and Tim Scott introduce bill to expand access to loans – allow credit unions more flexibility in the type of loans they can offer

March 18, 2021 – Washington, DC – U.S. Senators Catherine Cortez Masto (D-Nev.) And Tim Scott (RS.C.) presented the Expanding access to loans Options Act, bipartite legislation aimed at expanding access to loan options for hard-working families across the country. The bill will allow credit unions more flexibility in the type of loans they can offer, giving consumers more options and better payment plans, including for student and farm loans.

“Credit unions provide an opportunity for many Nevadans, allowing them to buy a house, pay for an education or start a business,” said Senator Cortez Masto. “As Nevada recovers from the coronavirus pandemic and envisions a strong recovery, it is even more important to give hard-working families flexible credit options. This legislation gives the NCUA flexibility in setting loan deadlines, allowing credit unions to offer more options to borrowers, especially those in our rural and underserved communities. I will continue to work in the Senate to ensure that all Nevadans can access quality banking services.

“Credit unions are a key part of the economic ecosystem, and the services they provide make a positive, personalized difference in the financial lives of millions of Americans,” Senator Scott said. “This bill provides significant regulatory flexibility to allow credit unions to offer a wider choice of products and services to more effectively meet the credit needs of their members and communities.”

“Nevada credit unions, as well as those nationwide, thank and appreciate the leadership of Senators Cortez Masto and Tim Scott for this bipartisan bill,” said Matt Kershaw, president of the Nevada Credit Union League (CEO, Clark County Credit Union). “This legislation will give members of federal credit unions better access to affordable loan products with reasonable loan terms.” Offering higher maturity rates reduces payments and increases market access and affordability for all consumers. It is a simple element of parity allowing a level playing field between the credit unions with federal and state charters. “

the Expanding Access to Lending Options Act adjusts the current 15-year loan maturity limit on credit union products to 20 years at the discretion of the Executive Board of the National Credit Union Administration.

It is supported by the Credit Union National Association (CUNA), the National Association of Federally-Insured Credit Unions (NAFCU) and the Carolinas, Nevada and California Credit Union Leagues.
Source: Senator Catherine Cortez Masto

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