NCUA proposes to eliminate MBL waiver process

first_img ShareShareSharePrintMailGooglePinterestDiggRedditStumbleuponDeliciousBufferTumblr by: Brandy BruyereDuring its Thursday, June 18th meeting, the NCUA Board issued a proposal to amend the Member Business Loan (MBL) rule which aims to provide regulatory relief from some of the more prescriptive underwriting requirements in the rule. This marks the first time in twelve years that NCUA is considering comprehensive changes to this rule, and could have a significant impact on credit unions’ ability to make MBLs. Today I’ll just provide a high-level overview of the proposal, and NAFCU’s Regulatory Affairs team will blog on some of the finer details of this proposal in a series of blogs once the proposal is formally published in the Federal Register.Just as a brief reminder, the MBL rule (Part 723) contains specific requirements and is not nearly as flexible as NCUA’s general lending rule (section 701.21) in terms of underwriting standards. Here are a few of the current MBL requirements:Collateral and security requirements including limits on the loan-to-value ratio, a general requirement that the business’ principals provide a personal guarantee, and limits on unsecured business loans continue reading »last_img read more

Airlines start to recover with more growth in China, Hong Kong

first_img“China’s domestic capacity stands at 75% of January’s level, the United States at 27% and Russia at 49% of pre COVID-19 levels,” he said. “For anyone interested the UK level is now some 4%!”Some markets are still on a downtrend as travel restrictions are kept in place to contain the coronavirus, which has infected more than 4 million people and killed nearly 290,000. Seat capacity on South Asian airlines dropped 14% this week and is 72% lower than in January, but it could bounce back as India considers restarting flights following a nationwide lockdown, Grant said. Airlines added more seats back to their flight schedules this week, led by China and even increases in Hong Kong, suggesting the industry is starting to recover from the devastating impact of the coronavirus pandemic, according to OAG Aviation Worldwide.Airlines globally added a net 600,000 seats to reach a total of almost 30 million, up about 2% from the previous week, OAG senior analyst John Grant wrote in a report. That’s still a long way off the weekly capacity of about 110 million seats this time last year, but it is an encouraging sign nonetheless.Northeast Asia is a bright spot. China added 1 million seats to schedules this week, including 800,000 on domestic routes, and is now operating twice as many seats as the US. Meanwhile, Hong Kong’s Cathay Pacific Airways Ltd. added 40,000 seats and increased frequency by some 120 flights, Grant said. Topics :last_img read more