CUNA joined other trade association in sending a letter to House leaders urging the adoption of Rep. Patrick McHenry’s (R-N.C.) amendment to the Financial Services and General Government (FSGG) appropriations bill to prohibit the U.S. Postal Service from providing banking services.
Joining CUNA in the letter addressed to House Speaker Paul Ryan (R-Wis.) and Minority Leader Nancy Pelosi (D-Calif.) were the American Bankers Association, the Independent Community Bankers of America, and the National Association of Federally Insured Credit Unions.
“Although there have been a number of proposals over the past few years to turn the U.S. Postal Service into the world’s largest shadow banking system, we are very concerned that allowing the U.S. Postal Service to provide banking services will be beyond the Postal Service’s core competencies, will raise a number of serious regulatory and consumer protection questions, and will present significant competitive issues for private sector entities,” the letter reads. “Congress should encourage the Postal Service to focus on its core business of physical mail delivery, and not be distracted by expanding the mission to businesses outside of the Postal Service’s area of expertise.”
The letter went on to encourage Congress to enact legislation that would reduce costs and increase efficiencies to put the U.S. Postal Service on a sound and sustainable financial path over the long run.
Source: CUNA News