On January 27, 2026, the NCUA announced its fourth round of proposed regulatory changes as part of its Deregulation Project. The Agency is requesting comments on four proposals that would clarify agency guidance or eliminate unduly burdensome or duplicative requirements in the Code of Federal Regulations.
The four proposals include:
Changes for Public Unit and Non-Member Shares [12 CFR 701.32(b)(2)]. The Board proposes to remove the provision requiring a credit union board to develop a written plan on the intended use of public unit and nonmember shares if those funds, along with any borrowings, would exceed 70 percent of paid-in unimpaired capital and surplus.
Notice of Termination of Excess Insurance Coverage [12 CFR 741.5]. The Board proposes to eliminate 12 CFR 741.5 which requires a FICU with share insurance coverage that supplements the coverage provided by the National Credit Union Share Insurance fund to give its members a 30-day notification if it plans to end its supplemental coverage.
Maximum Borrowing Authority [12 CFR 741.2]. The Board proposes to remove the maximum borrowing authority from the NCUA’s regulations that establish the requirements for obtaining and maintaining federal share insurance with the Share Insurance Fund. This provision applies to all FICUs.
Disclosure of Share Insurance [12 CFR 741.10]. The Board proposes to eliminate 12 CFR 741.10, which permits all FISCUs to accept non-member shares or deposits must identify such accounts on all required reports and notify all non-member account holders in writing that their accounts are not insured by the Share Insurance Fund. The Board is proposing to remove this section because duplicative of the disclosures FISCUs are already required to make as part of their agreement for maintaining federal share insurance.
Read the NCUA’s announcement here.
