Tuesday, October 12, 2010 4:29:01 PM
CUNA CEO Bill Cheney appeared on CNBC's program Squawk Box on Monday, October 11 to talk about credit unions and whether NCUA's plan for dealing with the corporates constitutes a credit union bailout. Cheney was interviewed by co-anchor Joe Kernen and also was asked a question from guest host Steve Forbes.
Cheney used the opportunity to set the record straight on the bailout question. He emphasizes that "this is not a bailout in any way, shape or form" and that NCUA's action "won't cost the taxpayers a dime." Asked about a "worst case" scenario, he said even if the costs reached the high-end estimates of $15 billion, credit unions have the capacity to pay that off over 11 years.
He further explains the difference between corporates and regular natural person credit unions, stating "these are large institutions that serve other credit unions." He stresses that "the credit unions that consumers deal with will continue to do a great job, as they always have, of serving consumers."
To view the segment, visit http://www.cnbc.com/id/15840232?video=1612539056&play=1.