Why Join a Credit Union League?

 

As a regional trade association, we know credit unions through and through: how they operate, the unique challenges they face, and the economic, regulatory, and legislative nuances that make up the credit union ecosystem.

We know credit unions are special. About 7% of American financial services consumers know credit unions are special. But what about the legislators and regulators who make major decisions affecting the way credit unions do business?

A key value proposition that Cornerstone League provides to its members is advocacy designed to protect credit union interests. Part of our job is to cultivate relationships with lawmakers and maintain open lines of communication so they know what separates and distinguishes credit unions from other financial services providers. More importantly, it’s vital to convey how their policymaking decisions affect not only credit unions but their constituents, as well.  

What does advocacy look like?

Influencing legislation. Cornerstone League gets legislation passed that impacts credit unions. Led by our EVP and chief advocacy officer Jim Phelps, our advocacy team comprises experienced government relations professionals in each state we serve (Arkansas, Oklahoma, and Texas). Having “boots-on-the-ground” representation gives our credit union members a great advantage because each staff member leverages their established relationships and connections to fend off threatening pieces of legislation. Cornerstone can also be instrumental in its support of constitutional amendments. For instance, in 2017, Cornerstone helped pass two constitutional amendments in Texas: One modernizing home equity law and the other enabling credit unions to offer prize-linked saving accounts to encourage savings.

During the 2021 Texas Legislative Session, Cornerstone was instrumental in the passage or amendment of the following:

• A bill to ensure that the Texas Credit Union Department would remain a self-directed, semi-independent regulatory agency for another 12 years. This is a legislative win that prevented credit unions from being moved under the same state regulator as banks.
•  A bill that amended Texas law to permit Texas appraisers to do an “evaluation” outside USPAP standards for qualifying real estate loans.
• A bill that provides retroactive civil liability protection for large and small businesses and includes a section that covers liability for causing exposure to pandemic disease.
• A bill that added a new section to the Texas Penal Code making elder financial abuse or exploitation a crime. 
• A bill that builds upon a law passed in the 2019 legislative session intended to ensure gas station merchants deter and catch skimmers. Financial institutions, credit and debit card issuers, and payment card networks have further protections, helping them to detect skimmers and prevent card fraud as a result.

The 2021 legislative session in Oklahoma was one of the most successful sessions for Oklahoma credit unions. Our priority bills—those which we introduced or supported—did pass or were amended to our satisfaction. Those bills we opposed failed to advance. Just a sampling of the bills we supported and were passed into law include:

• A bill that permits the conduct of certain savings promotion raffle contests which incentivize savings.
• A bill that reduces the privilege tax rate paid by state-chartered credit unions in Oklahoma from 6% to 4%.
• A bill that prohibits motor license agents from transferring certificates of title on vehicles that are already subject to liens.
• A bill that adopts the Uniform Power of Attorney Act and provides liability for refusal to accept an acknowledged power of attorney.

In the 2021 legislative session in Arkansas, we supported several pieces of legislation that were passed and signed into law by the governor, including:

• A bill that amends the law concerning consumer protection of seniors from predatory practices.
• A bill that establishes a 9-person commission called the Arkansas Financial Education Commission that requires one member of the commission to be from a credit union doing business in Arkansas. The commission’s purpose is to further efforts to provide financial literacy education to all geographic areas and socioeconomic backgrounds and promote the importance of saving for education.

Regulatory and compliance guidance. The modern regulatory environment can be challenging for credit unions, especially as new mandates create compliance complexities. Cornerstone League’s regulatory and compliance team communicates with regulators, provides new proposal analyses, assists credit unions in drafting persuasive responses to governing agencies, and interprets and provides feedback on how best to comply with existing regulations. Many Cornerstone credit union members rely on our regulatory team’s keen eye and expertise.

In addition to national- and state-level advocacy and regulatory/compliance guidance, Cornerstone League members also benefit from:

• Development opportunities
• Asset/liability management
• Small credit union support
• Research and statistics
• Councils and chapters
• Communications and outreach

Here’s what some of our credit union leaders have to say about the value they place on membership:

“Bringing Oklahoma and Texas CU Leagues together in 2013 to form the Cornerstone CU League created an alliance of commitment to serve credit unions of many sizes. Cornerstone continually re-examines that commitment, and for this reason our credit union affiliation holds strong value.” – Gina Wilson, OCCU

“The landscape that credit unions operate in today is constantly changing. Being part of the Cornerstone League helps us better serve our members and communities. The League advocates for us and contributes vital and relevant information. The credit union movement is stronger because of the support that Cornerstone provides.” – Kris Hadley, TTCU Federal Credit Union

“What I appreciate about Cornerstone is the effort the league makes to provide high-quality training events, networking opportunities, and chances to interact with vendors at a price that is more than reasonable for small credit unions, who would otherwise have difficulty gaining access to resources like these. I also appreciate the fact that I can pick up a phone or send an email and get a response from someone at the league who can point me in the right direction when I am needing to find answers or additional resources.” – Chris Furnell, United Arkansas Credit Union

Why join a credit union league? Because together we are stronger. What we may lack in size and market share, we make up in our shared vision and perseverance. It’s our unity that gives us collective strength and the biggest footprint on which to compete. A league not only supports the credit union, but also lifts every credit union as part of this cooperative dynamic.

At the end of the day, your league, just like credit unions, are people helping people.