NCUA’sLow Income DesignationBenefits, Definition, and

Application Process

1NCUA's Office of Small Credit Union Inititatives

Table of ContentsI. Benefits of the LICU DesignationII. Definition of Low-Income Members III. Application Process, Grandfather

Provisions and Appeal ProceduresIV. Resource Information and Contact

information

2NCUA's Office of Small Credit Union Inititatives

3NCUA's Office of Small Credit Union Inititatives

Benefits of NCUA’s Low Income

Designation

4NCUA's Office of Small Credit Union Inititatives

LICU Benefits: Community Development Revolving Loan

Fund (CDRLF)

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LICU Benefits: CDRLF Loans

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LICU Benefits: CDRLF Loan Uses

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LICU Benefits: CDRLF Loan Application

CDRLF Loan Applications are available on the NCUA’s website:http://www.ncua.gov/Resources/CreditUnionDevelopment/Finance.aspx

Credit unions without internet access may call (703) 518-6610 and ask that an application be faxed or mailed.

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LICU Benefits: CDRLF Technical Assistance Grants

(TAG)

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Adding new services;Providing financial education for

members and the community;Training staff;Exposing student interns to credit

unions operations and management;Improving operations; andOperating VITA sites.

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LICU Benefits: CDRLF TAG Uses

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LICU Benefits: CDRLF TAG Initiatives

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LICU Benefits: CDRLF TAG Initiatives

LICU Benefits: CDRLF TAG Applications

CDRLF TAG Applications are available on the NCUA’s website:

http://www.ncua.gov/Resources/CreditUnionDevelopment/Finance.aspx

Credit unions without internet access may call (703) 518-6610 and ask that an application be faxed or mailed.

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LICU Benefits: Nonmember Deposits

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LICU Benefits: Secondary Capital

LICU Benefits: Secondary Capital

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LICU Benefits: MemberBusiness Loan Rule

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Number of LICU’s Since 1990

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Low Income Definition

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Low Income DefinitionTo Qualify:

Majority of members (50.01%) must meet the definition of a low-income member

Based on address information (AIRES)Income estimates are derived by linking address information to U.S. Census Bureau data

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Low Income Determination

Low Income Determination

http://factfinder.census.gov/home/saff/main.html? lang-en

NCUA will use Decennial Data or data collected through the American Community Survey, whichever is most beneficial to an FCU, when determining whether it qualifies for a LICU designation.

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Census Bureau Data can be located on the census website:

Alternative Assessment MethodsAn FCU may be able to demonstrate the actual income of its members based on member income data from loan applications or member surveys. (Statistical Sampling OK)

Full or part-time students in a college, university, high school, or vocational school also qualify as low-income.

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Low Income Definition

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LICU Designation Process

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LICU Designation Grandfather Provisions

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NCUA Agency Contacts

REGION III - ATLANTA 7000 Central Parkway, Suite 1600

Atlanta, GA 30328 Elliot Weiss

Phone (678) 443-3022eweiss@ncua.gov

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NCUA Agency Contacts

To e-mail your AIRES share download, please send it securely through our encrypted

ZixMail email option using the following URL: https://web1.zixmail.net/s/login?b=ncua

eweiss@ncua.gov

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NCUA Agency Contacts

April 24, 2011 Low Income Designation processing

will be transferred from Region III DOI to

Office of Consumer ProtectionDivision of Consumer Access

703-518-6687

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NCUA Agency Contacts

Facsimile E-Mail

CDRLF Loans and Grants 703-519-4088 OSCUIApps@ncua.gov

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Office of Small Credit Union Initiatives1775 Duke Street

Alexandria, Virginia 22314Phone: 703-518-6610

http://www.ncua.gov/Resources/CreditUnionDevelopment/

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