cuasterisk.com

CU*Answers, known for providing its flagship core data processing system CU*BASE, proves that during turbulent times, it pays to partner with a data processor owned by its users. As credit unions are beginning to understand the impact of the Credit CARD Act of 2009, and the effects on their membership, they are also recognizing the importance of a CUSO partnership as they are offering nofee support to credit unions as they work to comply with the new requirements.

On July 23rd, CU*Answers sent the first in a series of communications related to the Credit Card Accountability, Responsibility, and Disclosure (CARD) Act and its affect on credit unions using CU*BASE. Of specific interest is the 21-day notification rule, which helps to constitute a periodic statement and requires creditors to send credit card statements at least 21 days before the due date. This regulation, which is designed to help some people avoid late payments, is putting strain on credit unions as they determine whether or not they need to adjust payment due dates on loan products so that normal statement processing timelines provide the required 21-day notification, as well as whether statements are set up properly to report the right information to members every month.

Rather than intending to provide an interpretation or an explanation of the Act itself, the CUSO has offered discussion on various tools, automated solutions, and services they can offer to credit unions as they work to comply with the new and evolving regulations. These offerings include custom programming options for flooding new due dates on member loans, evaluation of collections and delinquency fine settings, review of statement configuration, and assisting with review of disclosures that may need to be changed to ensure compliance. And its all being provided free to their credit union clients.

Download Press Release