Comments on Deregulation Project Proposals Due March 30

The NCUA Board is requesting comments on the fourth round of proposed regulatory changes under the NCUA Deregulation Project. The comment period ends on March 30, 2026, at 11:59 p.m. Eastern.

The proposals would clarify agency guidance or remove unnecessary, redundant, overly prescriptive, obsolete, or unduly burdensome requirements in the Code of Federal Regulations, including:

• 12 CFR 701.32(b)(2), Public Unit and Nonmember Shares — The NCUA Board has proposed amending 12 CFR 701.32(b)(2) by eliminating the requirement for a written plan for the use of public-unit and nonmember shares while retaining the existing aggregate limit of such shares (plus borrowings) at 70 percent of paid-in unimpaired capital and surplus.
• 12 CFR 741.2, Maximum Borrowing Authority — For federal credit unions, this provision is duplicative of statutory requirements found at 12 U.S.C. 1757(9). The Board proposes to eliminate section 741.2 from the NCUA’s regulations, which applies to all federally insured credit unions.
• 12 CFR 741.5, Notice of Termination of Excess Insurance Coverage — The Board is proposing to eliminate the 30-day period notification requirement, as it may be overly prescriptive. A federally insured credit union board must provide notice of a change in insurance coverage; however, the specific 30-day requirement may not be sufficiently flexible, and it may not align with certain state law or contractual requirements.
• 12 CFR 741.10, Disclosure of Share Insurance for Non-Member Shares — Under 12 CFR 741.10, federally insured, state-chartered credit unions that accept non-member shares or uninsured deposits must currently disclose to account holders that their funds are not covered by the Share Insurance Fund and report these accounts accordingly. The proposed rule would remove this duplicative notification requirement and reduce compliance burdens while maintaining existing disclosure obligations tied to federal share insurance agreements.

For more information or to submit a comment, please visit Regulations.gov.

• 12 CFR 701.32(b)(2), Public Unit and Nonmember Shares — https://www.regulations.gov/document/NCUA-2026-0133-0001
• 12 CFR 741.2, Maximum Borrowing Authority — https://www.regulations.gov/document/NCUA-2026-0136-0001
• 12 CFR 741.5, Notice of Termination of Excess Insurance Coverage — https://www.regulations.gov/document/NCUA-2026-0135-0001
• 12 CFR 741.10, Disclosure of Share Insurance for Non-Member Shares — https://www.regulations.gov/document/NCUA-2026-0134-0001

For more information about the NCUA Deregulation Project, visit: https://ncua.gov/news/deregulation-project