New credit union rules strengthen the sector and further protect depositors
The Financial Services Regulatory Authority of Ontario (FSRA) is pleased the Government of Ontario announced the new Credit Unions and Caisses Populaires Act, 2020 (CUCPA 2020) came into force.
With this announcement, the three new credit union Rules that FSRA developed – Sound Business and Financial Practices Rule, Capital Adequacy Requirements Rule and Liquidity Adequacy Requirements Rule – came into force.
“FSRA is proud to be building a stronger regulatory framework so credit unions can expand their business activities prudently and safely,” said FSRA EVP of Credit Union and Insurance Prudential, Mehrdad Rastan. “The Rules bring credit unions in line with current industry standards across multiple jurisdictions and enhance protection for depositors.”
The Rules are informed by best practices and standards in other sectors and jurisdictions. The Rules modernize and strengthen the credit union framework by setting new requirements for credit union governance, risk management and other operations, which align more closely to international standards.
FSRA thanks stakeholders and the public for their active participation in the committees and for their valuable input during the consultations.
The Rules are available on FSRA’s website:
- Sound Business and Financial Practices Rule
- Capital Adequacy Requirements Rule
- Liquidity Adequacy Requirements Rule
FSRA continues to work on behalf of all stakeholders, including consumers, to ensure financial safety, fairness, and choice for everyone.
Learn more at www.fsrao.ca.
For media inquiries:
Senior Media Relations and Digital Officer
Financial Services Regulatory Authority
Email: [email protected]