NCUA FOM – We want to take advantage of this new option. What exactly do we need to submit? Is there a form or list of letter requirements on your website?

Compliance > NCUA
Q:  We want to take advantage of this new option.  What exactly do we need to submit?  Is there a form or list of letter requirements on your website?    
A:  In order for a multiple common bond charter to add an underserved area, the following five underserved area requirements must be met:
  1. Community:  the requested area is either a well-defined loan community or a rural district.
  2. Investment Area:  the requested area qualifies as an “investment area” per the Community Development Financial Institution Fund, also known as CDFI Fund.
  3. Other Depository Institutions:  The requested area has to meet one of the below:
    • Concentration of Facilities Ratio (or Depository Institution Test) is met, or
    • Falls within a CFPB “underserved county,” or
    • Alternative method supports the requested area is underserved by other financial institutions and the analysis relies on NCUA or another federal banking agency’s data.
  4. Service Facility:  a service facility must either be located within the requested area, or the credit union’s business plans outline a service facility will be established within two years of the underserved area being approved.A service facility for an underserved area is defined as a place where shares are accepted for members’ accounts, loans applications are accepted and loans are disbursed.
  5. Significant Unmet Needs Analysis:  a one-page narrative indicating a pattern of unmet needs in the proposed area for loans or one or more credit union services.
    Also, a complete two-year business and marketing plan with financial projections needs to be submitted.  You can email or call 703-518-1150 if you have questions on this process.
This information was obtained from the NCUA’s website, Chartering and Field of Membership Resources page -

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