For a long time now, credit unions have provided a cheaper alternative to major banks for credit cards, mortgages and share accounts in the country. They have also posted scenes from "It's a Wonderful Life" just as to promote their nature and increased unclear capacities as seen in one industry advocacy in a certain website. This gave major banking establishments and companies concern as to their profits. These companies have claimed that the loose rules and regulations on credit unions have posed a possible threat on their recently and finally stabilizing profits after the government have imposed a new set of rules that gripped these banks right on their necks.
New York Times have recently reported that on a trade association website that there are community bankers who have investigated and tracked down occasions where credit unions have gone out of their supposed limit by looking for new members from outside of their agreement. Based on government rules, credit unions require to have members who impart in a general connection. Bankers have stated that these rules of bonds get unclear when credit unions pull in prospect members to join organizations which would be eligible for share accounts, credit card accounts and mortgages.
An example, given by community banks who have tracked down different cases in which credit unions have gone out of their boundaries, is the Pentagon Federal Credit Union's popular credit card accounts and share accounts benefits. In here, the credit union requires their members to be a military personnel or a family related to a military personnel before they could acquire the benefits of the said credit union. However, based on reports, this credit union would allow other people without military ties to join the National Military Family Association as long as they pay $20. With this payment they would instantly gain full credit union membership and they could avail of the credit union's benefits.
New York Times have also uncovered associations which provide money management seminars and a regional bird-watching society. Major bankers and other small time banking companies as well as industries have said that they would cover any financial needs as long as lawmakers would review vague connections between credit unions and membership organizations. Bankers have also requested more suitable and clearer laws about the capacities and boundaries of credit unions so that they will not be very much concerned about having a faltering profit in the future.