RBSF-CU appendix E: Quality assurance and reconsideration process

Purpose of consultation: 

RBSF-CU Appendix E: Quality Assurance and Reconsideration Process aims to:

  • Bring greater transparency to FSRA’s Risk-based Supervisory Framework for Credit Unions (RBSF-CU) by describing FSRA’s quality assurance process in determining a credit union’s overall risk rating (ORR) and intervention level (IL) as well as a process that a credit union may follow to request a reconsideration if it can illustrate that a material element was not included in the assessment process.
  • These processes will help ensure that FSRA’s assessments are accurate and consistent, promoting trust, confidence and stability in the credit union sector while protecting member deposits.

The Quality Assurance and Reconsideration Process will be a new appendix (Appendix E) to the RBSF-CU. The RBSF-CU sets out FSRA’s approach for supervision and assessment of Ontario Credit Unions and Caisses Populaires (“CUs”). FSRA’s supervisory approach focuses on the assessment of significant activities, the associated inherent risks, and respective quality of controls and oversight functions to arrive at residual risks. This is followed by the assessment of capital (including earnings), liquidity, and resilience to arrive at the ORR and IL.

FSRA’s determination of a CU’s ORR and IL may include up to five levels of quality assurance. The first three levels apply to all credit unions irrespective of their size, complexity and risk profile. The last two levels apply to larger or more complex CUs and other credit unions on a case-by-case basis.

The Reconsideration Process will provide transparency on FSRA’s process for reconsidering its assessment of a CU under certain circumstances.

Appendix E will be effective upon publication.

Outcome of consultation:

No changes have been made to Appendix E as a result of the consultation.

Feedback from the sector:

FSRA received one submission with feedback on Appendix E: Quality Assurance and Reconsideration Process during the consultation period, December 11 2023 to February 8, 2024. The submission and comments are also available on FSRA’s website.

FSRA thanks the commenters. FSRA carefully considered all comments before finalizing and issuing the Guidance.


The following stakeholders took the time to share their perspectives with FSRA:





Canadian Credit Union Association – CCUA

Brent Furtney

Feedback summary and FSRA’s responses: