New Era Begins with MBL Rule Changes

With implementation only weeks away, the NCUA continues to revise examination guidance in preparation of the final Member Business Lending (MBL) rule. The final rule, which goes into effect January 1, 2017, emphasizes the principles of sound commercial lending reflected in Part 723, along with those addressing the statutory cap on member business loans.

Specifically, the new member business lending (MBL) rule replaces the prescriptive requirements and limits (e.g., collateral and security requirements, equity requirements, and loan limits) with broader risk management principles.

Check out the Amending your Commercial Loan Policy resource to help ensure you properly address the MBL rule changes. In addition, you can register for CUNA Mutual Group's webinar, Risk & Compliance Oversight: Member Business Lending, scheduled for Wednesday, January 18, 2017 at 1 pm (Central).