(b) Acquired secondary assets. Any secondary capital defined as « share capital » under section 702.402 is regulated by § 702.414. Grandparented secondary capital assets will no longer be treated as prescribed capital assets as of the subsequent 20-year period from the date of issuance or January 1, 2042. (d) Other supervisory authority. Neither section 1790d nor this Part limits in any way the authority of the NCUA board of directors or the official of the State concerned under any other legal provision to take additional oversight measures to address unsafe or unhealthy practices or conditions or violations of any applicable law or regulation. Actions taken under this Part may be taken independently of or in conjunction with any other enforcement action available to the NCUA Board or an appropriate official, including the issuance of orders of injunction, restraining, suspension and removal, or the imposition of civil fines or other actions authorized by law, or in conjunction with them. (3) be able to demonstrate, to the satisfaction of the NCUA, that it reasonably expects to become either a complex credit union meeting the requirements of paragraph (a)(1) of this section or a RSU within 24 months of the issuance of the subordinated notes; or. (1) Take into account changes made since the approval of the new credit union`s current business plan in any of the elements of the business plan required for approval of the Charter under Division IV.D of Chapter 1. Schedule B to Part 701 of this Chapter, or for government-chartered credit unions under applicable national legislation; (h) amendment of the NWRP.
A credit union operating under an approved FRSP may, upon prior written notice and approval by the Board of Directors of the NCUA, amend its FRPP to reflect a change in circumstances. Until an amended NRP is approved, the credit union will implement the NRLP as originally approved. 1. A quarterly assessment of the sources and expected levels of capital subject to stress analysis over the planning period, reflecting the financial position, size, complexity, risk profile, level of activity and existing capital level of the credit union concerned, assuming expected and adverse conditions, including: Subordinated debt means a loan by a beneficiary credit union that meets the requirements of that credit union: Subsection, including all obligations and contracts related to such borrowing. (b) Definition of new credit union. A « new » credit union for the purposes of this subsection is a credit union that has been in operation for less than ten (10) years and whose total assets do not exceed $10 million. Once a credit union reports total assets of more than $10 million in an appeal report, it is no longer new, even if its assets subsequently fall below $10 million. (3) Reclassification to a lower category. The date on which the credit union received written notice from the NCUA or, if licensed by the state, from the appropriate government officer of the reclassification for security and soundness purposes pursuant to §§ 702.102(b) or ¢¢§ 702. Article 202(d). (e) Consideration of regulatory capital.
In order to minimize potential long-term losses to NCUSIF while the credit union takes steps to become adequately capitalized, the NCUA Board of Directors reviews the nature and amount of any form of regulatory capital that may be determined by NCUA regulations or approved by state law and recognized by NCUA when evaluating an NWRP under this section. that the credit union owns, but that are not included in its net worth. In the case of a credit union, the appropriate supervisory authority is the regional office or the National Audit and Oversight Office responsible for overseeing the credit union. (3) Calculation of qualification criteria. Each of the qualification criteria set out in point (d)(2) of this Section shall be calculated on the basis of the data reported in the tender report at the end of the last calendar quarter. (1) PCL expense should be accounted for in accordance with generally accepted accounting principles (GAAP); (1) Dangerous or unhealthy condition. The Board of Directors of the NCUA, after being notified and given an opportunity to be heard in accordance with section 747.2003 of this chapter, has determined that the credit union is in an uncertain or unhealthy state; or (v) an eligible complex credit union that no longer meets the eligibility criteria set out in paragraph (d)(2) of this Section as a result of a merger or acquisition that is not a merger or regulatory consolidation will not benefit from a grace period and will meet the risk-based capital ratio set out in paragraphs (a) to (c) of this Section during the quarter in which it ceases; Be a qualified complex credit union. (2) Regulatory relaxation for 2021 and 2022. If a federally insured credit union on 31. March 2021 meets or exceeds an asset size threshold below this paragraph, the NCUA uses the assets reported by the federally insured credit union reported on March 31, 2020 to determine the applicability of these thresholds. (d) Collection of Information. Upon request, the NCUA credit union shall provide any relevant qualitative or quantitative information requested by NCUA for the stress tests referred to in this Subsection.
(d) measures to circumvent immediate remedies. If the board of directors of the NCUA determines that a credit union has been formed or has been reduced in asset size or amalgamated as a result of a split primarily to be considered « new » under this subsection, the credit union is deemed to be subject to prompt corrective action under Subdivision A of this Part. 4. The maintenance of an LAL is without prejudice to the obligation to transfer income to the periodic reserve of a credit union where required by paragraphs B or C of this Part; and (ii) the last day of the calendar month following the expiration of the period set out in the Fund`s original business plan (approved at the time of issuance of the Articles of Incorporation) remains unfunded, whether a revised business plan has been rejected, approved or implemented. 2. Failure to file a report of appeal under this section in a timely manner does not change the effective date of any change in the classification of capital under paragraph (b) of this Division or the corresponding legal obligations of the credit union concerned under this Part. (b) Risk-based capital ratio meter. The numerator of the risk-based capital ratio is the sum of the specific capital items referred to in paragraph (b)(1) of this Section less the regulatory adjustments referred to in paragraph (b)(2) of this Section. (2) establish a schedule for quarterly net worth targets each year that the PBR is in effect so that the credit union is adequately capitalized when it is no longer considered « new » under section 702.201; (7) Removal of the director or officers. Require the credit union to remove any director or officer from office, provided, however, that a dismissal under this clause shall not be construed as a formal administrative measure of removal under 12 U.S.C.
1786(g); (a) General requirements. Only Tier II and III credit unions are required to conduct prudential stress tests.