On Jan. 7, 2025, the National Credit Union Administration (NCUA) issued its 2025 Supervisory Priorities. While the priorities highlighted areas such as credit risk, balance sheet management and risk to earnings and net worth, and cybersecurity, it also includes regulatory compliance. The NCUA indicated consumer compliance will be covered in every exam this year. The regulatory agency mentioned five areas of focus in particular:

1. Overdraft programs. Examiners will continue a review of credit union overdraft programs, including policies, procedures, disclosures, fees, account statements, member complaints, internal reviews and websites.
2. Fair lending. Examiners will assess policies and practices for identifying and mitigating potential discrimination in residential real estate valuation practices.
3. Home Mortgage Disclosure Act (HMDA) and Regulation C. Examiners will evaluate compliance with HMDA data collection and reporting policies and practices, including transaction testing, for credit unions above the reporting threshold.
4. Military Lending Act. Examiners will review compliance with the Military Lending Act requirements, including policies and procedures, compliance management systems, and checking and monitoring for military status.
5. Electronic Fund Transfer Act and Regulation E. Examiners will assess policies and procedures related to payments and error resolution.

To ensure compliance and avoid penalties, every credit union should have all five of these areas tested, internally or externally, before their next NCUA exam. Rely on Doeren Mayhew’s compliance pros to review your existing compliance program to position your institution for a next successful regulatory exam. Contact us today for assistance.