Credit Union Exam Solutions Presents With Flying Colors

The discussion dives into NCUA's drastic budget proposal, revealing a 23% staff cut, the smallest workforce in over two decades. Mark highlights the implications of a hiring freeze and voluntary separations, which are causing exam disruptions. The looming risk of fewer but more intense examinations raises concerns for credit unions. With a $10 million transformation fund on the table, there's hope for tech upgrades, yet long-term challenges persist. Tune in for insights on governance uncertainties and the balance between short-term relief and potential future losses.

Mark Ritter, CEO of Member Business Financial Services (MBFS) and host of Credit Union Conversations, shares insights from decades in credit union business lending. He discusses the evolution of member business lending, the need for community-focused relationships, and the impact of low unemployment on loan performance. Ritter highlights refinancing opportunities as interest rates decline and reflects on the 12.25% cap's unintended effects. He emphasizes the importance of shifting from transactional exams to a portfolio management approach, urging credit unions to focus on serving small businesses and underserved communities.

Dive into the latest insights from NCUA's board meeting with revelations about CAMELS ratings, showing slight improvements but indicating a 'treading water' status. With 27% of staff taking buyouts, the capacity for examinations is at risk, potentially leading to fewer exams and faster upgrades of struggling credit unions. Hear about budget implications and a possible reduction in exam costs for future evaluations. The removal of risk ratings from reports could change how CEOs and credit unions navigate their strategies moving forward.

www.marktreichel.comhttps://www.linkedin.com/in/mark-treichel/In this episode of With Flying Colors, Mark Treichel sits down with Jason Stverak, Chief Advocacy Officer of the Defense Credit Union Council (DCUC), to discuss the pressing issues shaping the credit union movement.Key topics covered:🇺🇸 Veteran Business Lending Cap: Why credit unions should be free to fully support veterans and their families.🏛️ Advocacy Strategy: DCUC’s “Green Beret” approach to being nimble, prepared, and effective on Capitol Hill.💸 Credit Union Tax Status: Lessons from past fights and why vigilance is still essential.🏦 Bank Purchases: Why DCUC is defending credit unions’ ability to buy banks — and why that benefits communities.🔮 Looking Ahead: Budget cycles, NCUA staffing, and regulatory challenges that could reshape the industry.🤝 DCUC Membership: Why every credit union — not just defense-focused ones — can join and benefit.Jason shares how DCUC keeps credit unions ready for the next challenge, and why advocacy is less about size and more about strategy.

www.marktreichel.comhttps://www.linkedin.com/in/mark-treichel/Credit Unions vs. Banks: What Q2 Data RevealsIn this episode of With Flying Colors, Mark Treichel is joined by Steve Farrar, Todd Miller, and Dennis Bauer to break down the latest Q2 reports from NCUA and FDIC. Together, they unpack what the numbers really mean for credit unions, banks, and the communities they serve.What you’ll learn in this episode:📊 How credit union deposit and loan growth stacks up against banks in Q2.💸 Why net interest margins and operating expenses tell two very different stories.🏦 Where credit unions are taking market share — and where risks are rising.⚖️ The growing gap in capital strength between credit unions and community banks.🔮 Key headwinds to watch for the rest of 2025, from liquidity pressures to rising delinquencies.Whether you’re a credit union leader, regulator, or industry observer, this episode delivers insights on who’s winning the quarter — and what challenges lie ahead.

www.marktreichel.comhttps://www.linkedin.com/in/mark-treichel/NCUA's Commercial Loan Rule requires a rating system.  I discuss what it requires with Vin Vieten, author of the rule.

Ray Ragan, CIO of Securityplus Federal Credit Union, shares his expertise on transforming AI from mere fraud detection to a strategic asset for credit unions. He discusses leveraging the NIST AI Risk Management Framework for policy development and the importance of human accountability in AI integration. Ray emphasizes the need for data-driven decision-making, navigating regulatory changes, and adopting agentic AI to enhance operational efficiency and marketing strategies. His insights highlight why forward-thinking is essential for credit unions to stay competitive.

www.marktreichel.comhttps://www.linkedin.com/in/mark-treichel/COMMERCIAL CREDIT RISKS Rising commercial credit risks - Why regulators are worried Work-from-home impact on commercial real estate Rate shock reality: 3-4% loans resetting to 6-7%Minneapolis downtown real estate down 25% CECL forecasting challenges and provision expensesNCUA's hyperfocus on annual review processes Empty office buildings near NCUA headquarters

Geoff Bacino, a former NCUA board member under Presidents Clinton and Bush, and John McKechnie, former head of congressional affairs at NCUA, delve into pressing issues facing America's credit unions. They discuss the tumult at the NCUA, including board shake-ups and staff freezes impacting supervision. The implications of a significant Supreme Court case on regulatory appointments are examined. They also explore leadership changes at America's Credit Unions and future CFPB compliance challenges, wrapping up with some light-hearted NFL predictions.

www.marktreichel.comhttps://www.linkedin.com/in/mark-treichel/OPERATIONAL RISKSCyber incident response planning essentials Communication strategies for cyber incidents Legacy system conversion nightmaresNCUA's helpful approach to cybersecurity findings Core system conversion best practices