Early this morning, the Defense Credit Union Council (DCUC) engaged key Congressional Committees ahead of upcoming hearings to ensure legislation is supportive of senior Americans and veteran entrepreneurs, strengthens rural communities, and advances policies that enable credit unions to better serve America’s military and underserved communities.
Supporting Older Americans in the Workforce and Retirement
DCUC sent a letter to the Senate Special Committee on Aging ahead of its hearing, titled, “Protecting Older Americans: Leveling the Playing Field for Older Workers.”
DCUC’s letter called for legislative priorities to better serve senior and veteran members with financial literacy programs, retirement planning, fraud prevention tools, fee-free accounts (including participation in the Veterans Benefits Banking Program), and competitive savings products.
DCUC’s Chief Advocacy Officer, Jason Stverak, highlighted the need for stronger fraud protections, recommending proactive education, member training, and improved consumer protection policies.
In the letter, Stverak noted the importance of financial inclusion, specifically access to affordable loans, accounts, and personalized financial guidance, and urged the committee to prioritize policies that combat age discrimination, support job retraining, and recognize the contributions of seniors who remain in or re-enter the workforce.
Expanding Broadband and Capital Access for Rural and Veteran-Owned Businesses
DCUC also submitted testimony to the House Small Business Committee’s September 3, 2025, hearing, “Wired for Growth: How Expanding Broadband Can Revitalize Rural Small Businesses.”
In its letter, DCUC urges Congress to:
· Advance the Veterans Member Business Loan Act (H.R. 4867/S. 539) to eliminate barriers to credit for veteran-owned small businesses.
· Expand rural access to capital by enabling greater credit union participation in SBA and USDA lending programs and modernizing field of membership rules.
· Invest in rural broadband and technical assistance so small businesses—particularly veteran entrepreneurs—can better leverage e-commerce, digital marketing, and growth.
“Broadband access and fair financing are lifelines for rural and veteran-owned small businesses,” said Stverak. “These investments drive local economies and honor veterans with real opportunities to succeed.”
Ensuring Credit Union Strength Through Appropriations
DCUC wrote to the House Appropriations Committee regarding the Fiscal Year 2026 Financial Services and General Government (FSGG) Appropriations bill.
In the letter, DCUC recommended the Committee:
· Fully restore CDFI Fund appropriations at $324 million to support community development credit unions.
· Maintain funding for NCUA’s Community Development Revolving Loan Fund at $4 million.
· Support SBA lending programs to strengthen small business and disaster recovery financing.
· Uphold the prohibition on an unauthorized U.S. central bank digital currency (CBDC).
“These funding priorities are essential for credit unions to continue serving military members, veterans, and communities across the country,” says Stverak.
The DCUC also has sent a letter to the Senate Committee on Banking, Housing, and Urban Affairs in advance of the September 4 hearing on the nomination of Stephen Miran to the Federal Reserve Board.
In its letter, DCUC stressed the importance of ensuring that future Federal Reserve policies support the ability of credit unions to provide affordable, secure financial services to America’s communities.
Key Issues Raised by DCUC
Regulation II (Interchange Fees): DCUC urged caution on proposals to expand interchange fee caps or routing mandates, noting past interventions have reduced free services and increased costs for consumers. With recent court rulings complicating the Fed’s interchange standards, DCUC warned that further changes could harm community-based lenders and the military families they serve.
FedNow Real-Time Payments: DCUC applauded the launch of FedNow and encouraged the Fed to ensure the service remains accessible, secure, and affordable for credit unions of all sizes. Real-time payments, DCUC noted, are especially valuable for deployed servicemembers and veteran entrepreneurs.
Emergency Liquidity Facilities: DCUC called for restoring and permanently authorizing broader access to the Central Liquidity Facility (CLF), particularly by allowing corporate credit unions to act as agents for smaller institutions, as was temporarily authorized during the COVID-19 pandemic.
Central Bank Digital Currency (CBDC): DCUC expressed strong concerns over a retail-oriented U.S. CBDC, warning it could siphon deposits from community lenders, reduce credit availability, and create serious privacy and cybersecurity risks. DCUC urged that any CBDC proposal require explicit Congressional authorization.
Fair Access and Inclusion: DCUC called for regulatory approaches that avoid “debanking” vulnerable populations; credit unions continue to serve a critical role in financial inclusion for military families, low-income households, and underserved communities.
Federal Reserve Transparency and Independence: DCUC encouraged the Committee to examine the nominee’s views on increasing transparency in regulatory decisions and emergency lending while preserving the Fed’s independence in monetary policy.
Suggested Questions for the Nominee
DCUC recommended that the Committee press the nominee in evaluating:
· approach to balancing merchant and consumer interests in interchange fee policy;
· how he would expand and secure FedNow participation;
· his support for restoring broader CLF access for small credit unions;
· his position on a U.S. retail CBDC and related risks;
· his proposed strategies for promoting fair access to financial services;
· his stance on Fed transparency and governance reforms.
“Defense credit unions are on the front lines of promoting financial readiness for our servicemembers, veterans, and their families,” Stverak adds. “We urge the Committee to ensure that the Federal Reserve’s leadership remains committed to protecting community-based financial institutions and the consumers they serve.”
Additionally, the DCUC has called on the House and Senate Armed Services Committees to reject efforts to include interchange fee provisions in the Fiscal Year 2026 National Defense Authorization Act (NDAA).
In letters sent to Chairman Rogers, Ranking Member Smith, Chairman Wicker, and Ranking Member Reed, DCUC strongly opposed the inclusion of the Durbin-Marshall interchange proposal (Credit Card Competition Act) and a related commissary interchange fee study, warning that these measures are unrelated to national defense and would have severe unintended consequences for consumers, small financial institutions, and military families.
“The NDAA must remain focused on national security and troop readiness—not serve as a vehicle for unrelated financial regulations that primarily benefit large retail corporations at the expense of those who serve,” says Anthony Hernandez, DCUC President/CEO.
Key Concerns
· Harm to Consumers: The proposed credit card routing mandate would undermine secure payment systems, increase fraud risks, and reduce popular consumer benefits like rewards, cash-back programs, and zero-liability fraud protection. History has shown that past interchange caps failed to lower costs for consumers, while financial institutions were forced to cut back on services.
· Damage to Community Financial Institutions: The Durbin-Marshall provisions would disproportionately hurt community lenders, forcing higher fees, reduced access to credit, and fewer consumer options—all while enriching the largest retail chains.
· Risks to Military Members and Families: Credit unions have historically been known to offer unique programs tailored to servicemembers, such as deployment loans, emergency assistance, and low-rate credit cards. The current interchange proposals would weaken financial protections, reduce access to affordable credit, and undermine DoD’s emphasis on financial readiness—a recognized pillar of military readiness.
· Misguided Commissary Fee Study: The proposed study of interchange fees at commissaries is misleading. Current law ensures veterans and military families are not directly charged these fees, with costs already reimbursed by the federal government. DCUC warns that pursuing such a study would needlessly compromise military families’ privacy and open the door to misguided proposals such as government-run credit cards, which could expose servicemembers to reduced consumer protections and harsher debt collection practices.
Keeping the NDAA Focused on National Defense
DCUC stressed that these provisions are divisive, non-germane banking policies that should be debated through regular order, not attached to must-pass defense legislation.
“Our servicemembers, veterans, and their families should never become collateral damage in a retailer-led lobbying fight over interchange fees,” says Jason Stverak, DCUC Chief Advocacy Officer. “We urge Armed Services Committee leaders to reject these harmful amendments and keep the NDAA centered on its true mission—protecting our national security and supporting our troops.”
For more information, please contact Jason Stverak at jstverak@dcuc.org and visit dcuc.org/advocacy.