Cyber Security, News, Technology

NCUA nominee Metsger pledges “continued safety and soundness” in credit union industry

Rick Metsger

Rick Metsger

Rick Metsger, a board nominee for the National Credit Union Administration, vowed on Friday to ensure “continued safety and soundness of our nation’s credit union system” if confirmed to the board.

Metsger, speaking before the Senate Banking Committee, told Sen. Tim Johnson (D-S.D.), the committee chairman, that the NCUA should be vigilant in times of economic prosperity and in times of financial trouble.

Metsger also said interest rate risk is particularly concerning due to credit unions’ heavy involvement in the mortgage market, adding that all credit unions should devise an emergency liquidity plan.

Additionally, Metsger said technology poses systemic risk to the share insurance fund and that NCUA rules should be as modernized as possible, especially in the area of cybersecurity.

Sen. Jack Reed (D-R.I.) asked Metsger whether the credit union member business lending cap should be raised, a move advocated by numerous participants in the credit union industry. Metsger said Congress would determine whether raising the MBL cap is necessary.

In addition to Metsger, the committee heard testimony from Council of Economic Advisors nominee Jason Furman, as well as Kara Stein and Michael Piwowar, both of whom have been nominated to serve as members of the SEC.

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