Off the Record, On the Issues with John

Three federal updates are shaping what’s ahead for Dakota credit unions.

By John Alexander, DakCU Director of Legislative & Regulatory Affairs

Three federal issues moved this week that Dakota credit unions should have on their radar:

1. New fourth quarter 2025 data from the National Credit Union Administration (NCUA)
2. A new round of NCUA deregulation proposals, with comment deadlines on March 30 and April 13, 2026
3. The White House’s March 13, 2026 executive order on mortgage credit, along with a follow-up push from America’s Credit Unions to ensure credit unions receive the same relief as other community lenders

 
NCUA Releases New Data on Credit Union Performance
The latest NCUA data shows the credit union system remained in solid shape through the end of 2025.

• Total assets rose by $126 billion (5.4%) to $2.43 trillion
• Loans increased by $76 billion (4.6%) to $1.72 trillion
• Membership reached 144.7 million
• Net income totaled $18.8 billion for 2025

 
In its state-level report released March 18, 2026, the NCUA also noted that 88% of federally insured credit unions reported positive year-to-date net income in the fourth quarter of 2025. For Dakota credit unions, this is encouraging. The system continues to grow, earnings have improved, and members are still relying on credit unions.
 
At the same time, the data highlights a widening gap between larger and smaller institutions. Larger credit unions often have more capacity to absorb compliance costs, update systems, and expand staffing. Smaller credit unions do not have that same flexibility.
 
That’s why your Association continues to advocate for rules that are practical, clear, and workable for credit unions of all sizes.
 
NCUA Comment Deadlines Approaching
The NCUA’s Deregulation Project continues to move forward, with two key deadlines:

• March 30, 2026
• April 13, 2026 (including the seventh-round proposal on record retention)

 
The agency has stated these proposals are intended to remove outdated, redundant, or overly burdensome requirements while providing greater flexibility.
 
Your Association supports meaningful regulatory relief. If a rule is outdated, unclear, or no longer useful, it should be addressed. However, relief must come with clarity. If requirements are removed without clear expectations, credit unions are left guessing how examiners will interpret compliance. That is not relief. It creates a different kind of burden.
 
Your Association will continue advocating for changes that reduce unnecessary requirements without increasing uncertainty for credit unions across the Dakotas.
 
Mortgage Relief Discussion Expands to Credit Unions
On March 13, 2026, the White House issued an executive order aimed at promoting access to mortgage credit.
 
Following the announcement, America’s Credit Unions emphasized that the order:

• Signals long-awaited mortgage regulatory relief
• Directs the NCUA to take action
• Highlights potential changes tied to the Home Mortgage Disclosure Act (HMDA) and other requirements viewed as costly and overly rigid for community lenders

 
This issue is especially important in the Dakotas, where rural lending presents unique challenges. Mortgage lending in these communities does not benefit from additional regulatory burden. Credit unions already operate close to their members and understand local needs.
 
If regulators are serious about improving access to mortgage credit, credit unions must be included from the outset. Your Association supports ensuring any relief stemming from this order is applied to credit unions in a meaningful, practical way, not just in theory.
 
Where Your Association Stands
DakCU will continue monitoring all three of these developments closely.

• The NCUA data provides a snapshot of the industry’s current position
• The deregulation proposals signal where policy may be headed
• The mortgage executive order could shape future regulatory direction

Our role is to ensure Dakota credit unions are not left reacting after the fact. We will continue advocating for policies that are clear, fair, and workable for the credit unions we represent.
 
Stay Connected
For more information or to share your perspectives, feel free to contact me.  ​ ​