Federal brief
Limits on Loans to Other Credit Unions
NCUA final rule, effective September 8, 2026, removes the regulation on federal credit unions lending to other credit unions. The 25% statutory cap still applies. FR 2026-16035.
A rule about credit unions lending money to other credit unions is off the books. The NCUA Board’s final rule took effect September 8, 2026.
What was removed: section 701.25 of NCUA’s rules. It set approval steps and policies for a federal credit union making loans — including investments in subordinated debt — to other credit unions, along with limits for a single borrower. The Board acted after a December 29, 2025, proposal and the public comments on it.
What did not change is the law itself. Under the Federal Credit Union Act, a federal credit union’s total loans to other credit unions still cannot go over 25 percent of its paid-in and unimpaired capital and surplus. Federally insured, state-chartered credit unions still have to follow any other NCUA or state rules that apply.
For everyday members, nothing changes at the teller window. This one matters most to credit union finance chiefs, boards and examiners.
Federal Register filing: https://www.federalregister.gov/documents/2026/08/06/2026-16035/limits-on-loans-to-other-credit-unions
This is a Notice Nearby publisher-desk Federal brief — a short in-house summary of a public federal filing. It is not official agency minutes, not a newspaper story, and not Legal Publication. It does not satisfy a statutory notice requirement.
Source: the official public federal record 2026-16035 · Federal Register · 2026-16035 · 2026-16035.
This is a Notice Nearby publisher-desk Federal brief — a short in-house summary of a public federal filing. It is not official agency minutes, not a newspaper story, and not Legal Publication. It does not satisfy a statutory notice requirement.