Stakeholders Are Encouraged to Review Notice of Proposed Rulemaking and Submit Comments
Alexandria, VA (October 14, 2026) ― The National Credit Union Administration today announced the twelfth round of proposed regulatory changes associated with NCUA’s Deregulation Project. The project is an ongoing review of NCUA’s regulations to ensure regulations are focused on credit unions’ safety, soundness, and resilience.
With today’s announcement, NCUA is requesting comments on three proposals that would eliminate obsolete regulations, as well as unduly burdensome requirements in the Code of Federal Regulations.
The proposals include:
12 CFR 704 and 12 CFR 713 – Fidelity Bond and Insurance Coverage
The Board proposes to amend 12 CFR 704 and 12 CFR 713 to simplify fidelity bond requirements for FICUs and corporate credit unions. The proposal would remove or modify certain requirements related to fidelity bond purchases and renewals, approved bond forms, and guidance on bond coverage levels.
The proposed rule would continue to require credit unions to maintain adequate fidelity bond coverage and would preserve NCUA oversight of approved bond forms. The Board believes these changes would reduce unnecessary regulatory burden while maintaining protection against fraud, dishonesty, theft, and other covered losses.
12 CFR 721 – Incidental Powers (Powers of Federal Credit Unions)
The Board proposes to clarify that FCUs may apply directly to the Board for approval of an activity that is not already recognized as an authorized incidental power. While FCUs may still seek guidance from the NCUA Office of General Counsel, the Board notes that obtaining an advisory opinion has always been optional. The proposed rule would remove language that has caused confusion about whether an advisory opinion is required before submitting an application to the Board.
12 CFR 725 – Central Liquidity Facility
The Board proposes to update 12 CFR 725 by incorporating certain regulatory changes adopted during the COVID-19 pandemic, removing outdated provisions, and simplifying CLF membership and reporting requirements. The proposal would also provide additional flexibility for capital stock subscription adjustments and make technical updates to improve clarity and consistency.
The Board believes these changes would reduce regulatory burden and modernize the CLF regulations while maintaining the CLF's role as a contingent liquidity source for credit unions.
Find a detailed summary for each proposal at https://ncua.gov/news/deregulation-project/.
| Proposed Regulation Change | Obsolete Regulations | Overly Burdensome Requirements | Duplicative | Guidance |
|---|---|---|---|---|
| 12 CFR 704 and 713 | ✔Yes | ✔Yes | ||
| 12 CFR 721 | ✔Yes | |||
| 12 CFR 725 | ✔Yes | ✔Yes |
To submit comments, type or paste the docket numbers into the search on the Federal Rulemaking Portal.