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Financial Institutions: Stronger Supervision of Credit Unions Needed

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Report Type Reports and Testimonies
Report Date Oct. 6, 1982
Report No. GGD-83-12
Subject
Summary:

GAO reported on National Credit Union Administration (NCUA) efforts to supervise both federal credit unions and, in shared responsibility with the states, federally insured state credit unions.

GAO found that NCUA has used examination reports prepared by state regulatory agencies to assess the initial and continued insurability of federally insured state credit unions and, until recently, has conducted few direct examinations of state credit unions. Although NCUA has placed considerable reliance on these reports, the absence of criteria has hampered a consistent evaluation of state programs. NCUA insurance analysts review and monitor the condition of federally insured state credit unions. Because the analysts have little guidance to help them to determine the appropriate course of action to be followed in dealing with both the state agencies and state credit unions, GAO found that different approaches are used in dealing with problem cases within each region and from state to state.

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