Waukesha Times

Congressman Scott Fitzgerald has introduced the Expanding Access to Lending Options Act. This proposed legislation aims to grant the National Credit Union Administration Board the authority to extend the federal credit union loan maturity cap to 20 years or more, contingent on regulatory approval by the Board. Additionally, it seeks to allow loan maturities for principal and non-principal residences of 1–4 units to be extended up to 30 years.

Congressman Fitzgerald stated, "As the cost of living continues to rise, families and small businesses need more flexible, affordable lending options. This bill gives credit unions the ability to offer longer-term loans, helping borrowers plan for the future and stay on top of their financial obligations without being locked into high monthly payments."

Jim Nussle, President/CEO of America’s Credit Unions, expressed support for the legislation: "Economic uncertainty makes managing finances difficult. With the introduction of legislation to provide credit unions with loan maturity flexibility, Reps. Fitzgerald, Fitzpatrick, Sherman, Meuser, Kim, Vargas, and Timmons are giving 142 million Americans much-needed financial relief. This bill enhances credit unions' ability to offer loans at rates and terms that fit their members’ needs. Credit unions are a safe haven for Americans trying to make ends meet and invest in their future. We thank the lawmakers for introducing this bipartisan legislation, and we urge the House to quickly advance it."

Sarah Wainscott, President & CEO of The Wisconsin Credit Union League also commented on the proposal: "Wisconsin's cooperative not-for-profit credit unions have evolved to meet the needs of their 3.9 million members and the communities they live and work in, serving as a lifeline and trusted financial partner for over 100 years. This bill delivers impactful regulatory evolution to increase loan maturity limits and remove red tape, allowing credit unions to better invest in what they do best - working toward the financial well-being for all. Wisconsin credit unions applaud and deeply appreciate the leadership of Congressman Fitzgerald and his colleagues for believing in credit unions and investing in policy that gives consumers greater opportunity for financial health and freedom."

Currently, credit unions face restrictions from offering loans beyond a 15-year term with limited exceptions. The proposed changes aim to address rising costs by providing larger loan limits with extended terms which could make repayments more manageable while fostering competition among lending products like small business, student, and agricultural loans.

The initiative is supported by America’s Credit Unions along with The Wisconsin Credit Union League.