Welcome to KCU Connect: Your Credit Union Community

We’ve replaced the By the Way newsletter with KCU Connect, a refreshed format designed to share stories, deliver timely updates, and highlight the news that matters most to Kentucky’s credit unions. With clearer sections, quick links, and a more community-focused approach, KCU Connect will make it easier to stay informed and connected across our movement.

• Advocacy Connect
• Learning Connect
  • Credit Union Lending School
  • 2026 Mortgage Loan Originator (MLO) Regulation Z Training & Hot Topics
  • Board & Committee Leadership Conference
  • 2026 Small CU Symposium
  • 2026 Virtual BSA Training

• Compliance Connect
  • FinCEN permanently ends BOI requirements for small businesses
  • Breakdown of newly finalized NCUA rules
  • Treasury final rule removes ‘disparate impact’ from regulations
  • League System Launches Cybersecurity Awareness Toolkit to Help Credit Unions Protect Members from Growing Digital Threats

• Engagement Connect
  
  • 2026 Lunch Series

• Community Connect
  • Celebrating Our 2026 Award Winners

• From the President's Desk

Have an announcement or news article you would like to submit? Send us an email!

Advocacy in Action

August is always a bit of a confusing month in the advocacy world. The news out of D.C. about the House and Senate being on “Summer Recess” and taking an extended break from Washington always seems to conflict with the reality of summer ending as people send their kids back to school, planning for the fall and winter hits full stride, and we start getting emails about the year to come.

In Kentucky, August Recess also means Annual Meeting & Convention time, which, while meaningful, fun, and impactful in many ways, is certainly not a break. While it may not seem like it at first glance, Vision 2026 was more than our Annual Meeting & Convention. It was an exercise in advocacy, sharpening our message, learning how to better serve our members and communities, and, on the final morning, hearing directly from advocacy leaders.

This year, we heard from Sydney Seral, Senior Manager of State & Local Government Affairs at VISA, about all the great work and collaboration between VISA and Leagues across the country, and from Bailee Allen at Champ Title about the process and resources available to Credit Unions ahead of the impending implementation of Electronic Lien & Titling in Kentucky.

We were also honored to award the inaugural “Champion of Financial Freedom” award to State Senator Greg Elkins (R, SD28). Senator Elkins earned this award by demonstrating his commitment to living out the principles of public service, local decision-making, and allowing Kentucky institutions to compete on a level playing field by sponsoring Senate Bill 87 in the 2026 General Assembly.

What’s Next

To learn more about that effort, or to get more involved in our advocacy efforts, please reach out directly to Kyle Hagerty via email at Khagerty@kentuckyscreditunions.org anytime.

With Hike the Hill taking place in just a few weeks, stay tuned for our next update to hear more about those meetings and how well your colleagues represented Kentucky in our nation’s Capital.

Please reach out with any questions or if we can be of service in any way.

Sincerely,

Kyle Hagerty
SVP & Chief Advocacy Officer

Discover upcoming education and training opportunities. Build skills, grow leadership, and stay current on topics that matter to your credit union.

September 22-23, 2026 | Virtual 

In collaboration with the Wisconsin Credit Union League, level up your lending know-how with specialized consumer loan & underwriter training this fall! This remote lending school consists of two half-day virtual sessions designed to maximize engagement and learning in a remote environment!

This program is intended as a 2-day lending school, but you may take just one day if that aligns better with your available time or education plans.

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September 28 | Online Learning Opportunity

Stay up to date on the latest regulatory, compliance, and industry developments impacting mortgage lending. This fast-paced session will cover recent agency actions, regulatory changes, pending litigation, and other emerging issues affecting mortgage loan originators and credit unions. This course is also designed to help loan originators satisfy their periodic training requirement under Regulation Z while gaining practical insights that they can apply immediately.

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November 6-8 | French Lick Resort | French Lick, IN

Two words: POLAR. EXPRESS.

Join your peers for a conference created specifically for credit union volunteers.

The 2026 Board & Committee Leadership Conference will take place November 6-8, 2026, at the historic French Lick Resort and will feature timely educational sessions, practical insights, and respected speakers covering the issues that matter most to today’s credit union leaders.

Register now to get the early bird Pricing: $699 through October 2nd!

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October 21, 2026 | League Office

 TR Group is hosting a virtual meeting to continue the conversation on the opportunities and challenges facing small credit unions. While designed for credit unions with assets of $100 million or less, all credit unions are welcome to attend. Sessions will cover practical marketing strategies for small credit unions, how small institutions can leverage their unique strengths to thrive, and tips for building a productive relationship with your NCUA examiner.  

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 November 10, 2026 | 2:00 PM ET | Virtual 

Stay up to date and meet your annual BSA training requirements with a practical review of the Bank Secrecy Act and your responsibilities as a credit union employee. This session will cover BSA/AML fundamentals, recognizing and reporting suspicious activity, common red flags, and other key compliance responsibilities employees need to know. 

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Stay up to date on regulatory changes and compliance issues. 

The Financial Crimes Enforcement Network issued a final rule Tuesday that permanently ends the beneficial ownership information (BOI) reporting requirements for small businesses. While the direct impact on credit unions is limited, as credit unions are not considered small businesses in the text of the Corporate Transparency Act, America’s Credit Unions’ Compliance Team examined the impact of the pause in BOI requirements announced in March 2025.

The final rule adopts the exemptions set out in the March interim final rule, making the rollback of beneficial ownership reporting by U.S. companies permanent, and:

• Permanently exempts U.S. persons who have obtained FinCEN IDs from any obligation to update or correct the information they originally provided to FinCEN to obtain their FinCEN IDs;

• Eliminates the requirement for foreign companies to report U.S. person “company applicants” (i.e., the individuals who helped those foreign companies register to do business in the United States);

• Exempts foreign pooled investment vehicles registered in the United States from reporting the beneficial ownership information of a U.S person in control of the investment vehicle; and

• Confirms that FinCEN will delete information about any individuals—company applicants, beneficial owners, or recipients of a FinCEN ID—that FinCEN reasonably believes is a U.S. person (e.g., the information is linked to a U.S. passport or U.S. driver’s license).

It is effective upon publication in the Federal Register, which is expected to take place in the coming days. 

Source: www.americascreditunions.org 

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In the latest action of the NCUA’s Deregulation Project, the agency has finalized 11 rules. Many of the rules make changes by removing outdated requirements or giving credit unions flexibility.

Suretyship and Guaranty; Segregated Deposit and Collateral – 12 CFR 701.20(c)(3) and 701.20(d): This final rule updates the regulation so credit unions no longer need to set aside funds or collateral from the member to cover the risk when they guarantee a member’s obligation.

• America’s Credit Unions supported the initial proposal and asked the NCUA to remove prescriptive requirements that required credit unions to maintain collateral thresholds of 100% or 110% of obligations. The final rule removes the requirement that a federal credit union obtains a segregated deposit sufficient to cover its potential liability and removes provisions that specify collateral requirements when federally insured credit unions act as surety and guarantor in order to provide those credit unions with more flexibility to serve member needs.

Limits on Loans to Other Credit Unions – 12 CFR 701.25(b): This final rule removes the requirement for a federal credit union board of directors to approve loans to other credit unions.

• America’s Credit Unions supported the proposed rule, maintaining that it will help reduce regulatory burden by eliminating an unnecessary requirement.

Notice of Termination of Excess Insurance Coverage – 12 CFR 741.5: This final rule removes the 30-day notice requirement prior to a credit union’s termination of excess share insurance coverage and instead requires federally insured credit unions to notify members some time before the termination of excess coverage.

• America’s Credit Unions supported the proposed amendment because it reduces regulatory and administrative burdens on federally insured credit unions, promotes flexibility so they can best serve their members, helps in meeting contractual obligations with private insurers, and promotes state-law compliance.

Requirements for Insurance – 12 CFR 741.10: This final rule was finalized as proposed and eliminates a notification requirement that federally-insured credit unions were already required to make as part of their agreement for maintaining federal share insurance.

• America’s Credit Unions supported the proposed rule, arguing it will help reduce regulatory burden for credit unions by eliminating an unnecessary regulation.

Purchase, Sale, and Pledge of Eligible Obligations – 12 CFR 701.23: This final rule amends the NCUA regulations to remove the prescriptive list of items that must be included in federal credit union written policies around the purchase, sale, and pledge of eligible obligations. The final rule also strikes the provision regarding conflicts of interest and compensation, which are also covered in credit union bylaws and other NCUA rules.

• America’s Credit Unions supported the amendment to remove prescriptive requirements, providing greater flexibility for federal credit unions to engage in an efficient and principles-based approach around eligible obligations without increasing safety and soundness risks.

Credit Union Service Contracts – 12 CFR 701.26: This final rule removes section 701.26 and amends section 721.3 to formally clarify that credit unions may serve as representatives in shared operational arrangements with other credit unions or organizations, minimizing compliance complexity by removing extraneous requirements.

• America’s Credit Unions supported the proposal and agreed that it was unnecessary for the agency to restate that federal credit unions have the power to enter contractual agreements to perform or engage in activities that are expressly authorized by the Federal Credit Union Act or are incidental in regulatory text.

Third-Party Servicing of Indirect Vehicle Loans – 12 CFR 701.21(h): This final rule removes two sections of regulations that limited a federally insured credit union’s purchases of indirect auto loans serviced by a third party to 50% of its net worth.

• America’s Credit Unions supported the proposed rule, noting that it will assist credit unions by reducing regulatory burden and empowering them to tailor their own policies to proactively respond to changes in the market.

Four of the rules—Chartering and Field of Membership for FCUs IRPS 08-2, Chartering and Field of Membership for FCUs IRPS 10-1, Chartering and Field of Membership for FCUs – IRPS 06-1, and Corporate Credit Unions—were finalized as proposed and rescind various regulations, all of which are already included in the Chartering and Field of Membership Manual. America’s Credit Unions supported these rules, agreeing that removing the redundant guidance would reduce confusion and allow credit unions to rely on one source for current chartering and field of membership requirements.

Source: Breakdown of newly finalized NCUA rules | America's Credit Unions 

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The Treasury Department Monday published a final rule to remove disparate impact from its regulations. The action follows a 2025 executive order directing federal agencies to eliminate the use of disparate impact in all contexts.

Of note, the NCUA previously removed all references to disparate impact liability from its Fair Lending Guide and other materials. Similarly, the CFPB finalized its updates to Regulation B—which implements the Equal Credit Opportunity Act—and the rule goes into effect July 21.

Treasury’s final rule went into effect upon publication in the Federal Register on Aug. 3.

Source: www.americascreditunions.org 

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Complimentary, fully customizable resources equip credit unions to educate members, support staff, and respond to emerging scams.

Cybercrime continues to increase across the country, costing Americans billions of dollars annually and impacting individuals of all ages. In 2024 alone, Americans reported over 850,000 internet crime complaints, with reported losses exceeding $16 billion. Adults over age 60 experienced nearly $5 billion in losses, the highest of any age group. Credit unions are uniquely positioned to help members recognize online threats before they become victims through trusted guidance, education, and practical resources.

To support that effort, the League System today announced the release of its Cybersecurity Awareness Toolkit, a complimentary, fully customizable communications resource designed to help credit unions promote safe online habits, fraud awareness, and digital security. The toolkit is the latest release in the League System's 2026 toolkit series, providing ready-to-use resources that credit unions can align with their unique brand and tailor for their specific communities and member needs.

“The League System is committed to providing practical resources that help credit unions address the issues that matter most to their members,” said Brad Miller, President of the American Association of Credit Union Leagues. “As cybercriminals continue to evolve their tactics, education remains one of the most effective tools we have.”

Miller continued, “By working together to underwrite and develop these resources, Leagues are able to provide customizable, no-cost materials that help credit unions strengthen member awareness and promote safer digital behaviors. In the true spirit of collaboration, this particular toolkit is available to all credit unions through their respective League and AACUL, thanks to the generosity of Envisant, the CUSO of the Illinois Credit Union League.”

The Cybersecurity Awareness Toolkit includes a comprehensive collection of editable resources designed for credit unions of every size. Materials can be incorporated into existing member communications, staff education efforts, community outreach campaigns, and fraud response initiatives. The toolkit is built to help credit unions quickly translate cybersecurity awareness into practical action.

What's Included in the Toolkit:

• Member-facing newsletter, blog, website, and email content
• Social media graphics and captions
• Branch and lobby posters
• Community awareness resources, including scam and red-flag reference sheets
• A customizable press release template
• A ready-to-deploy "Fraud Alert in a Box" with alert notices, graphics, staff talking points, and member handouts
• A Cybersecurity Awareness Month campaign calendar with weekly themes and ready-made outreach content

Credit unions are encouraged to use the toolkit as part of October's Cybersecurity Awareness Month activities and throughout the year. The included campaign calendar provides four weeks of themed content focused on helping members identify scams, protect accounts, prevent identity theft, and shop safely online during the holiday season.

 To access the fully customizable resources, contact your League, or visit aacul.com/cybersecurity. 

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Explore programs and initiatives that strengthen our credit union movement. Get involved in projects like KCU Connect, Ambassador Program, Move Kentucky Forward, and Elevate - Women Leading.

• September 2 - Corbin - REGISTER HERE

• September 23 - Lexington

• October 28 - Louisville

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For those who were unable to join us for Vision 2026, and for those who may not remember everything that happened, the League is excited to announce three new service offerings to all of our credit unions.

Money Forward

Powered by Kentucky's Credit Unions — included in dues.

Money Forward is a member-facing financial education library: blogs, videos, podcasts, quizzes, calculators, live and recorded events, a mobile app, and an "Ask an Educator" feature staffed by certified financial educators. New content is published continuously, so nothing on the site goes stale.

It is built on the Ever Green platform, owned by MSU Federal Credit Union and the same platform behind MSUFCU's Financial 4.0 site. We license the content library through our relationship with Reseda Group and publish it as Money Forward.

Every Kentucky credit union gets the League site at no additional cost. No contract, no implementation, no staff time — link to it from your website, your newsletter, and your social channels. If you want the library carrying your own name, colors, and logo, a co-branded version is available for an annual fee, contracted individually. A credit union that does nothing still gets the League site. Money Forward is part of the Move Kentucky Forward initiative.

Policy+

Powered by Rational Exponent — fee-based through TBS.

Most policy manuals get opened only when something forces the question: an exam finding, a new regulation, a board inquiry. One policy gets fixed. Nothing else gets read. And in a credit union without a dedicated compliance officer, lending owns lending policies, operations owns share policies, and finance owns ALM — so nobody reads across the manual for conflicts, duplication, and gaps.

Our own inventory runs 179 policies: 65 required of every credit union, 93 required if you offer the activity, and 21 recommended where applicable.

Policy+ is a managed review that confirms a manual is complete, correct, and appropriate. We begin with a cutting edge AI tool to read every policy against current federal and Kentucky requirements, and then our compliance experts validate every flag against your charter, asset size, and product set, and you receive prioritized redlines, a plain-language findings summary, and a board-ready memo walked through with management. Policies stay inside a secure, credit-union-only environment and are never used to train a public model.

Please note: InfoSight360 remains a free member benefit and the library of record. Compliance+ handles day-to-day regulatory questions. Policy+ is the independent review that proves the manual.

Pricing. A Visions 2026 launch offer covered any ten policies of your choice, fully reviewed and updated, for $1,000 — a sample of the service, not the whole manual. For ongoing management, a three-year subscription runs $6,000 total: $3,000 in year one for the baseline review, $2,000 in year two to confirm adoption and re-read against the year's changes, and $1,000 in year three for maintenance and board attestation.

Running the Credit Union

From Thoroughbred Business Services — fee-based.

Five live-virtual sessions move a leader from reading the call report to presenting a plan built on their own numbers: Your Financial Scorecard, Score Your Engine, Find Your Real Members, Set the Plan, and a Synthesis Lab capstone that produces a one-page board memo. Every session ends with a tool and homework on the credit union's own data, and a short, recorded walkthrough ships with every assignment.

Participants keep the CEO Strategy Toolkit for good: thirteen working tools — eight interactive calculators, four Excel power tools, and an age-by-income segmentation workbook. Watermarked to the credit union, single-institution license, no annual fees, nothing to renew.

It is built for new and sitting CEOs, CFOs and finance leaders, COOs, and anyone the board has named to fill the chair next. One license covers the CEO and the succession bench together.

Pricing. $1,000 per credit union (up to three attendees). Credit unions that enroll in the first series pay half — $500 — and the first three credit unions to register attend free. Sessions run Tuesday, October 6; Tuesday, October 13; Thursday, October 22; Tuesday, October 27; and Tuesday, November 3. (More sessions to follow in 2027.)

Anyone interested in any of these services can reach out to Eileen Burden, our VP of Support.

Sincerely,

Jim Kasch
League President