STATEMENT from America's Credit Unions President/CEO Jim Nussle

Jim Nussle

America's Credit Unions President/CEO Jim Nussle released the below statement on ICBA's new policy on only taxing credit unions with over $1 billion in assets:

“It seems like every day the credit union industry faces a new attack from the bank lobby, but this time, they’ve really shown their cards. Shifting their target away from all credit unions to now just the largest in the industry, shows they know their message is weak with lawmakers and consumers alike. This isn’t about the millions of Americans who will suffer without access to a credit union, this is about credit union competition chipping away at the banks’ own bottom lines. For decades, banks have taken advantage of taxpayers for their own profit: they enjoy Subchapter S subsidies, make risky decisions that consequentially rip away people's American dreams, abandon communities, and get bailed out by the government when they overstep. Over 140 million American consumers have chosen credit unions as their financial partner because the industry has proven it is safe, and we care about people, and we will step up – in good times and bad. Credit unions have remained a vital part of the financial services marketplace for a reason.”

​– Jim Nussle, America’s Credit Unions President/CEO
 
Background:

• A tax on credit unions with more than $1B in assets would represent a tax increase on many members who rely on their credit union.
• Example: There are 74 military-focused credit unions that serve more than 35 million servicemembers, veterans, and military families. The banks’ proposal would raise taxes on all of them in the name of “fairness.”
• Regardless of asset size, all credit unions share a mission to provide safe and affordable financial services to members and communities the banks have left behind.
• Not a single bank has been forced to sell to a credit union.
• 84% of bank to credit union asset sales involved low-income designated credit unions.
• Half of all bank CEOs cite keeping local branches open and preserving a community focus as their reason for selling to a credit union
• Every bank sale to a credit union averages a 25% tax on the purchase price.
• Bank sales to credit unions are rare when viewed against the backdrop of overall bank sales.
• Since 2022, roughly 4% of total assets in bank sales transactions involved a credit union.
• Since 2012, less than 1% of total assets in bank sales transactions involved a credit union. 
• Over a 10 year period, $234.6 billion – or more than $23 billion per year – in total benefits went to U.S. consumers from the significant presence of credit unions in financial markets.

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