On October 20, 2026, the NCUA announced the thirteenth round of proposed regulatory changes associated with its Deregulation Project. The NCUA is requesting comments on three proposals that would eliminate obsolete, unduly burdensome, and duplicative requirements in the Code of Federal Regulations.
These proposals include:
Nonconforming Investment Special Reserve [12 CFR 741.3(a)]. The NCUA proposes to remove the requirement that federally insured, state-chartered credit unions (FISCUs) maintain a special reserve for certain nonconforming investments. The proposal would also remove related references to the reserve requirement in NCUA’s capital, investment, and regulations on requirements for insurance.
Conversion to a State-Chartered Credit Union [12 CFR Part 741.7]. The Board proposes to remove 12 CFR 741.7, which addresses the process for maintaining federal share insurance following the conversion of a federal credit union (FCU) to a state charter. The Board states that the provision is outdated and duplicates requirements already addressed in NCUA's Chartering and Field of Membership Manual.
Notification to Members/Shareholders [12 CFR 745.13]. The Board proposes to revise its share insurance regulation to simplify how FICUs notify members about NCUA share insurance coverage. Under the proposal, FICUs would continue to provide notice to members but would have greater flexibility in how they do so.
The NCUA’s press release can be found here.