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ALEXANDRIA, Va. (Nov. 7, 2019) – Federally insured credit unions could enjoy many benefits—and no risks—by participating in the Voluntary Credit Union Diversity Self-Assessment available from the National Credit Union Administration.

The NCUA today issued a letter to credit unions encouraging them to use the Self-Assessment as a tool for evaluating their diversity programs and practices and for determining how promoting greater diversity can lead to a stronger internal culture and better service.

“Credit unions are growing stronger, and they serve their members and communities better when they promote greater diversity, equity, and inclusion as part of their business model,” NCUA Chairman Rodney E. Hood said. “I ask that credit unions of all sizes, particularly those with 100 or more employees, complete the Self-Assessment annually and share your results.”

Chairman Hood stressed participating in the Self-Assessment is completely voluntary, is not part of the agency’s or state regulators’ examination process, and has no impact on a credit union’s CAMEL rating. The information the NCUA collects through the Self-Assessment helps the agency study diversity trends in the credit union industry and provide credit unions with guidance on topics related to diversity and inclusion. The NCUA provides an annual diversity report to Congress, but the report does not identify individual credit unions.

The Self-Assessment is available year-round, but the cutoff date for submitting this year’s information to the NCUA is Jan. 15, 2020.

ALEXANDRIA, Va. (Nov. 8, 2019) – National Credit Union Administration Chairman Rodney E. Hood today issued a statement on the eve of the annual Veterans Day observance.

“Our veterans have served this country faithfully and well,” Chairman Hood said. “The men and women on active duty uphold that proud tradition. It, therefore, becomes our responsibility to support them. Abraham Lincoln once wrote, ‘Honor to the soldier and sailor everywhere . . . honor also to the citizen who cares for his brother in the field.’ Let us continue to prove worthy of that honor and provide care and support to those who serve.”

The NCUA offers information tailored for the needs of members of the military and their families (opens new window) on its consumer website, MyCreditUnion.gov (opens new window). Veterans currently make up 17 percent of NCUA’s total workforce and 8 percent of its senior staff. The NCUA also supports an employee resource group for veterans, Veterans at NCUA Serving, which provides an environment for veterans on staff to share experiences, build community, and foster professional development.

The NCUA’s offices will be closed on Monday, Nov. 11, in observance of the holiday.

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NCUA is the independent federal agency created by the U.S. Congress to regulate, charter and supervise federal credit unions. With the backing of the full faith and credit of the United States, NCUA operates and manages the National Credit Union Share Insurance Fund, insuring the deposits of account holders in all federal credit unions and the overwhelming majority of state-chartered credit unions. At MyCreditUnion.gov (opens new window), NCUA also educates the public on consumer protection and financial literacy issues.

“Protecting credit unions and the consumers who own them through effective regulation”

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NCUA is the independent federal agency created by the U.S. Congress to regulate, charter and supervise federal credit unions. With the backing of the full faith and credit of the United States, NCUA operates and manages the National Credit Union Share Insurance Fund, insuring the deposits of account holders in all federal credit unions and the overwhelming majority of state-chartered credit unions. At MyCreditUnion.gov (opens new window), NCUA also educates the public on consumer protection and financial literacy issues.

“Protecting credit unions and the consumers who own them through effective regulation”

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NCUA is the independent federal agency created by the U.S. Congress to regulate, charter and supervise federal credit unions. With the backing of the full faith and credit of the United States, NCUA operates and manages the National Credit Union Share Insurance Fund, insuring the deposits of account holders in all federal credit unions and the overwhelming majority of state-chartered credit unions. At MyCreditUnion.gov (opens new window), NCUA also educates the public on consumer protection and financial literacy issues.

“Protecting credit unions and the consumers who own them through effective regulation”

Chairman’s Call to Action: “These Principles Should be Sources of Enrichment, Strength, and Unity”

ALEXANDRIA, Va. (Nov. 6, 2019) – Credit unions can be proud of their achievements in promoting financial inclusion while committing themselves to greater efforts, National Credit Union Administration Chairman Rodney E. Hood said today.

“When credit union people talk about diversity, inclusion, and equity, it’s with an understanding that those values are part of this industry’s genetic code,” Chairman Hood said. “We should take pride in our achievements at elevating the commitment to diversity and inclusion, but there is still a tremendous amount of work that needs to be done. Diversity, equity, and inclusion should be sources of enrichment, strength, and unity, not division.”

Chairman Hood spoke to the NCUA’s first annual Diversity, Equity, and Inclusion Summit conference. The text of his remarks is available online.

A Commitment Built on Personal Experience

Chairman Hood spoke of a commitment to greater diversity, equity, and inclusion in concrete and aspirational terms, and he said his views where shaped by his own background.

“I’m proud to be the first African-American head of a federal financial regulatory agency, but getting there was not easy,” he said. “I’ve worked in the financial services industry long enough to know how challenging it can be for members of under-represented communities.

“In my banking career, I’ve attended conferences and professional events where I was the only man of color in the room,” Hood said. “I have shown up early to speak on a panel discussion, and people were surprised to learn I was a participant.”

There is another side to this, as well, Hood said: lesser expectations.

“Many of us have seen the other side,” he said, “working for a manager who expects less of you because of your skin color, ethnic background, or gender. It doesn’t necessarily stem from hostility; they may even think they’re trying to help you. But they don’t realize they would be helping you more by challenging you to work up to your potential and to achieve more.”

A Broader Understanding of ‘Dividing Lines’

While reaching out to traditionally underserved communities, Chairman Hood said, a commitment to diversity and inclusion must consider the other dividing lines in society.

“Age is one of those,” he said. “Accessibility is a dividing line. Increasingly, where you live is one of the dividing lines. Especially over the last decade, the withdrawal of financial services providers from rural America poses a serious threat to access for people who live there.”

Credit unions, Chairman Hood said, can be a particularly powerful tool for meeting the needs of people who cannot get access to the financial system because they live on the wrong side of one of these lines. He urged the industry to think more about how to provide appropriate products and services to meet those needs.

A Business Case, a Moral Imperative, and Leadership

Focusing on issues of diversity, equity, and inclusion makes “solid business sense,” Chairman Hood said, but it’s also a moral issue.

The Chairman said credit unions that embrace these principles could out-perform the competition. Diverse organizations, he said, are better at attracting and keeping talent, enjoy better financial performances, and have higher levels of customer satisfaction.

“There’s a strong and compelling case to be made in business terms,” he said, “but we should be encouraging more diversity because it’s the right thing to do and the responsible thing to do. We all benefit when more of our fellow Americans are able to contribute fully.”

The NCUA, Hood said, is dedicated to providing tools and support to help credit unions reach their goals in this area. He pointed to the agency’s Annual Voluntary Credit Union Diversity Self-Assessment as one example, and he urged credit unions to take advantage of that. He also said the NCUA intends to serve as a model and he announced the creation of a NCUA Culture Council to focus on issue of inclusion with the agency.

Chairman Hood called the credit union industry to take up the mantle of leadership, as well.

“The commitment to diversity, equity, and inclusion must be part of this industry’s cherished value of ‘people helping people,’” Hood said. “The next step forward is to affirm that commitment by creating plans that will bring those promises and hopes to fruition and then starting the hard work of making those aspirations a reality.”

Credit Unions Provide Education Services to More than 104 Million Members

WASHINGTON, D.C. (Nov. 6, 2019) – Credit unions can play an important role in helping more Americans save and build stronger financial futures by providing financial education and expanding access, National Credit Union Administration Chairman Rodney E. Hood said today.

“If we are to improve the financial well-being of all Americans, then more people need access to financial education,” Chairman Hood said. “We must encourage the creation of products and services that make savings easier, and we need to bring more Americans into the financial mainstream. I know we are up to the challenge. Credit unions began when ordinary people came together to improve the financial lives of their neighbors and communities.”

Chairman Hood spoke to the America Saves Summit (opens new window) in Washington. D.C. The text of his remarks is available online.

The need for more education and greater access to help people save is crucial, Hood said.

“Far too many Americans today hang dangerously close to the edge financially,” he said. “Data released by the Federal Reserve shows many adults are not prepared to deal with small, unplanned expenses or brief financial disruptions.”

Chairman Hood noted that more than half of all federally insured credit unions, with a total membership of more than 104 million, offer financial education. That means nearly 90 percent of credit union members have access to these services.

“Credit unions were founded more than a century ago to meet the needs of communities ignored by traditional financial providers and improve the lives of the members,” Hood said. “Helping members make smarter financial decisions is part of the credit union mission.”

Credit unions that have branches in schools play a particularly important role, Hood said. While only 17 states mandate personal finance courses in high schools, credit unions are helping to educate young people on how to make good financial decisions.

“I’m especially proud of the 365 credit unions that have in-school branches,” he said. “Research by the Financial Literacy and Education Commission and others shows financial education at an early age plays a critical role in shaping financial practices later in life.”

The NCUA, Hood said, provides materials to help credit unions with financial education programs on its consumer website, MyCreditUnion.gov (opens new window).

Innovation is Essential

Americans will find it easier to save if credit unions increase the availability of safe and affordable financial services and products, Hood said, adding that savings programs, technology, and a modern regulatory framework can all play a role in expanding access.

“Automatic savings programs are an effective way of making saving easy and effortless,” Hood said. “Embracing the opportunities financial technology provides is also necessary. Reforming our regulatory structure to meet the challenges of a twenty-first-century financial landscape and the needs of consumers is essential.”

Financial Education and Financial Inclusion

Chairman Hood said the country could no longer afford to have millions of citizens outside the financial mainstream.

“We know the lack of access to affordable financial services holds working families back,” he said. “We need to remove the obstacles these Americans face. That will require us to utilize technology, form new public-private partnerships, and support community-based depository institutions. It will take the combined efforts of policymakers at the federal, state, and local levels, community organizations, and industry leaders.”

This cooperative effort, Hood said, promises great rewards.

“We all must work together; because all of us have a stake in the outcome,” he said. “We all benefit when more of our citizens can control their financial futures and enjoy the limitless opportunities this nation provides.”

Credit Unions Provide Education Services to More than 104 Million Members

WASHINGTON, D.C. (Nov. 6, 2019) – Credit unions can play an important role in helping more Americans save and build stronger financial futures by providing financial education and expanding access, National Credit Union Administration Chairman Rodney E. Hood said today.

“If we are to improve the financial well-being of all Americans, then more people need access to financial education,” Chairman Hood said. “We must encourage the creation of products and services that make savings easier, and we need to bring more Americans into the financial mainstream. I know we are up to the challenge. Credit unions began when ordinary people came together to improve the financial lives of their neighbors and communities.”

Chairman Hood spoke to the America Saves Summit (opens new window) in Washington. D.C. The text of his remarks is available online.

The need for more education and greater access to help people save is crucial, Hood said.

“Far too many Americans today hang dangerously close to the edge financially,” he said. “Data released by the Federal Reserve shows many adults are not prepared to deal with small, unplanned expenses or brief financial disruptions.”

Chairman Hood noted that more than half of all federally insured credit unions, with a total membership of more than 104 million, offer financial education. That means nearly 90 percent of credit union members have access to these services.

“Credit unions were founded more than a century ago to meet the needs of communities ignored by traditional financial providers and improve the lives of the members,” Hood said. “Helping members make smarter financial decisions is part of the credit union mission.”

Credit unions that have branches in schools play a particularly important role, Hood said. While only 17 states mandate personal finance courses in high schools, credit unions are helping to educate young people on how to make good financial decisions.

“I’m especially proud of the 365 credit unions that have in-school branches,” he said. “Research by the Financial Literacy and Education Commission and others shows financial education at an early age plays a critical role in shaping financial practices later in life.”

The NCUA, Hood said, provides materials to help credit unions with financial education programs on its consumer website, MyCreditUnion.gov (opens new window).

Innovation is Essential

Americans will find it easier to save if credit unions increase the availability of safe and affordable financial services and products, Hood said, adding that savings programs, technology, and a modern regulatory framework can all play a role in expanding access.

“Automatic savings programs are an effective way of making saving easy and effortless,” Hood said. “Embracing the opportunities financial technology provides is also necessary. Reforming our regulatory structure to meet the challenges of a twenty-first-century financial landscape and the needs of consumers is essential.”

Financial Education and Financial Inclusion

Chairman Hood said the country could no longer afford to have millions of citizens outside the financial mainstream.

“We know the lack of access to affordable financial services holds working families back,” he said. “We need to remove the obstacles these Americans face. That will require us to utilize technology, form new public-private partnerships, and support community-based depository institutions. It will take the combined efforts of policymakers at the federal, state, and local levels, community organizations, and industry leaders.”

This cooperative effort, Hood said, promises great rewards.

“We all must work together; because all of us have a stake in the outcome,” he said. “We all benefit when more of our citizens can control their financial futures and enjoy the limitless opportunities this nation provides.”

Board Member Describes a Journey to Understanding and a Commitment

ALEXANDRIA, Va. (Nov. 6, 2019) – Promoting diversity and inclusion is everyone’s responsibility, and it results in broader perspectives that lead to better decisions, National Credit Union Administration Board Member Todd M. Harper said today.

Harper challenged credit unions to take five steps to improve performance and prepare for the future.

“By shining a light on diversity, equity and inclusion,” Harper said, “we can create better workplaces, a more responsive government, and a credit union system that works for everyone. We can, as our founders envisioned, create ‘a more perfect union.’”

Harper spoke to the NCUA’s inaugural Diversity, Equity, and Inclusion Summit. The text of his remarks is available online.

Harper described how, as a boy from Indiana, he became increasingly aware of a broader, more diverse world as he grew up. He also talked about friends and mentors who taught him valuable personal and professional lessons that moved him to help others in return. One was a coworker named Pat.

“Pat used to have a poster in her cubicle of a little black girl and a little white boy playing together,” he said. “That poster reads: ‘When Differences End, Understanding Begins.’ I got that poster after Pat died many years ago, and I still have it.”

Coming Out

Harper discussed his personal experience of not feeling accepted at the beginning of his career.

“I hid who I was,” Harper said. “After all, people lost their jobs simply for being gay. Fortunately, over time, I became more comfortable in my own skin. In doing so, I came out on my own terms and made friends who accepted me for who I am.”

Harper noted his own experience illustrates the importance of employee resource groups. These employee-led groups can be a valuable resource for employees and employers because they help foster a diverse, inclusive workplace aligned with an organization’s objectives.

The NCUA has seven employee resource groups. They help the agency create an environment that recognizes and encourages the use of the diverse talents and perspectives of all employees to achieve the NCUA’s mission.

“Employee resource groups are making the NCUA a stronger agency and a better place to work, and that’s good for everyone in the credit union system,” Harper said.

Five Steps to Commit to Diversity

Harper listed five steps people in the credit union system can take to make an investment in greater diversity, equity and inclusion:

• Complete the NCUA’s annual Voluntary Credit Union Diversity Self-Assessment (opens new window), which helps credit unions evaluate their diversity policies and practices;
• Encourage others in the industry to take the assessment;
• Practice inclusion every day, beginning with talking with coworkers about their priorities;
• Create employee resource groups or individually mentor a woman, a person of color, or someone in need of a mentor; and
• If the credit union is large enough, create a supplier diversity program.

“If you don’t deliberately include, you will unintentionally exclude,” Harper said. “Diversity, equity and inclusion are everyone’s responsibility. By taking these five steps, you and your credit union can become diversity champions.”

Board Member Describes a Journey to Understanding and a Commitment

ALEXANDRIA, Va. (Nov. 6, 2019) – Promoting diversity and inclusion is everyone’s responsibility, and it results in broader perspectives that lead to better decisions, National Credit Union Administration Board Member Todd M. Harper said today.

Harper challenged credit unions to take five steps to improve performance and prepare for the future.

“By shining a light on diversity, equity and inclusion,” Harper said, “we can create better workplaces, a more responsive government, and a credit union system that works for everyone. We can, as our founders envisioned, create ‘a more perfect union.’”

Harper spoke to the NCUA’s inaugural Diversity, Equity, and Inclusion Summit. The text of his remarks is available online.

Harper described how, as a boy from Indiana, he became increasingly aware of a broader, more diverse world as he grew up. He also talked about friends and mentors who taught him valuable personal and professional lessons that moved him to help others in return. One was a coworker named Pat.

“Pat used to have a poster in her cubicle of a little black girl and a little white boy playing together,” he said. “That poster reads: ‘When Differences End, Understanding Begins.’ I got that poster after Pat died many years ago, and I still have it.”

Coming Out

Harper discussed his personal experience of not feeling accepted at the beginning of his career.

“I hid who I was,” Harper said. “After all, people lost their jobs simply for being gay. Fortunately, over time, I became more comfortable in my own skin. In doing so, I came out on my own terms and made friends who accepted me for who I am.”

Harper noted his own experience illustrates the importance of employee resource groups. These employee-led groups can be a valuable resource for employees and employers because they help foster a diverse, inclusive workplace aligned with an organization’s objectives.

The NCUA has seven employee resource groups. They help the agency create an environment that recognizes and encourages the use of the diverse talents and perspectives of all employees to achieve the NCUA’s mission.

“Employee resource groups are making the NCUA a stronger agency and a better place to work, and that’s good for everyone in the credit union system,” Harper said.

Five Steps to Commit to Diversity

Harper listed five steps people in the credit union system can take to make an investment in greater diversity, equity and inclusion:

• Complete the NCUA’s annual Voluntary Credit Union Diversity Self-Assessment (opens new window), which helps credit unions evaluate their diversity policies and practices;
• Encourage others in the industry to take the assessment;
• Practice inclusion every day, beginning with talking with coworkers about their priorities;
• Create employee resource groups or individually mentor a woman, a person of color, or someone in need of a mentor; and
• If the credit union is large enough, create a supplier diversity program.

“If you don’t deliberately include, you will unintentionally exclude,” Harper said. “Diversity, equity and inclusion are everyone’s responsibility. By taking these five steps, you and your credit union can become diversity champions.”