WASHINGTON, D.C. – U.S. Senators Rand Paul (R-KY) and Sheldon Whitehouse (D-RI) today introduced the Small Business Lending Enhancement Act. This bipartisan legislation, which seeks to cut through red tape and encourage small business growth, would increase the credit union member business-lending cap for well-capitalized credit unions from 12.25% of assets to 27.5%.
The Credit Union National Association estimates the Small Business Lending Enhancement Act would allow credit unions to lend an additional $13 billion to small business therefore assisting with the creation of more than 140,000 jobs nationwide.
“The Obama administration’s onerous regulations have hurt our small businesses, credit unions, and banks. The Small Business Lending Enhancement Act will encourage small business growth and facilitate job creation for Americans across the country,” Sen. Paul said.
“Credit unions serve our communities well, often by focusing on lending to local small businesses,” said Sen. Whitehouse. “I’m pleased to join Senator Paul in introducing legislation to allow credit unions to expand their lending to help grow businesses and jobs.”
Supporters of the Small Business Lending Enhancement Act include: Credit Union National Association, National Association of Federal Credit Unions, Competitive Enterprise Institute, R Street, Americans For Tax Reform, American Consumer Institute, The Realtor’s, and Progressive Policy Institute.
“This common sense legislation would allow small businesses to grow, create jobs and boost our economy. Credit unions around the country are dedicated to helping small businesses access the capital they need to succeed, and I thank Senator Paul for his strong leadership on this issue,” said Jim Nussle, President and CEO, Credit Union National Association.
“Raising the arbitrary credit union member business lending cap is a win-win-win for small businesses, credit unions, and consumers. NAFCU applauds Senators Paul and Whitehouse for their bipartisan leadership in introducing this important legislation that would unleash additional capital and create jobs without burdening American taxpayers,” said Dan Berger, President and CEO, National Association of Federal Credit Unions.
Click HERE to read the legislation in its entirety.