Credit unions no longer need a board member on their risk committee

US credit union regulators want to remove a rule that requires a board member to sit on the committee that manages financial risk. They also want to stop requiring credit unions to file certain reports from their independent accountants. This means credit unions will have more flexibility in how they manage their finances and less paperwork to file with the government.

For years, regulators have required a board member to be on the risk committee to ensure oversight and accountability. Removing this rule means that credit unions can now separate governance from day-to-day risk management, potentially making decisions faster. It also means less transparency for regulators, as they will no longer automatically receive independent audit letters.