Last October, the NCUA rolled out policy changes that increased bond oversight responsibilities of a credit union’s board of directors. To keep your credit union informed and compliant, we’ve put together 4 main takeaways:
- A credit union’s board of directors must annually review bond coverage.
This will help ensure that coverage meets the minimum requirements set by the NCUA Board.
A credit union’s board of directors must also do the following on an annual basis:
- Review all applications for purchase or renewal of fidelity bond coverage.
- Pass a resolution approving the purchase or renewal.
- Sign off on the purchase or renewal agreement and all attachments.
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