ALEXANDRIA, Va.–NCUA has sent Letter to Federal Credit Unions (24-FCU-02) reminding that the board voted in July to continue the temporary 18% interest rate ceiling for loans made by federal credit unions.
The agency noted that the Federal Credit Union Act generally limits federal credit unions to a 15% interest rate ceiling on loans.
“However, the NCUA board may establish a temporary, higher rate for up to 18 months after considering certain statutory criteria,” said the agency.
The previously approved 18% interest rate ceiling had been set to expire on Sept. 10, 2024.
The July NCUA board action extends the temporary 18% interest rate ceiling through March 10, 2026.
Read the Letter to Federal Credit Unions