The Defense Credit Union Council just made a double play that’s worth paying attention to. First, they threw their weight behind a major regulatory reform bill. Then, they walked into a Congressional hearing on financial crimes and basically said, “We need better tools to protect the people protecting us.”
Let’s break down what’s happening and why it matters—especially if you care about credit unions, military families, or just common-sense financial regulation.
The Main Street Capital Access Act Gets a Thumbs Up (With a But…)
DCUC announced support for H.R. 6955, also known as the Main Street Capital Access Act. In a letter to House Financial Services Committee leaders Chairman French Hill and Ranking Member Maxine Waters, the organization praised the bill for taking real steps toward regulatory reform—but also pointed out there’s more work to do.
Think of this bill as a decent foundation. It includes practical stuff like requiring regulators to actually consider an institution’s risk profile before slapping them with one-size-fits-all rules. It would make examination standards clearer, improve timeliness (because nobody likes waiting around for regulatory decisions), and clarify that guidance from agencies isn’t legally binding. That last part is bigger than it sounds—it means regulators can’t treat suggestions like laws.
“The Main Street Capital Access Act represents real progress for community financial institutions and deserves our support,” said Jason Stverak, DCUC’s Chief Advocacy Officer. “Its risk-based regulatory standards, examination reforms, and greater supervisory accountability will help credit unions operate more efficiently and devote more resources to serving their members.”
Section 303 is particularly interesting for credit unions. It would let well-managed institutions with less than $6 billion in assets alternate between full examinations and limited-scope ones, plus combine certain safety, IT, cybersecurity, and consumer compliance exams. Translation: less duplicative paperwork, same strong oversight.
But Here’s the Thing—Credit Unions Need Their Own Playbook
Here’s where DCUC’s message gets strategic. While supporting the bill, they’re also encouraging Congress to develop a separate legislative package specifically for credit unions. Why? Because much of H.R. 6955 addresses banking structures, and credit unions are fundamentally different animals—they’re member-owned, not-for-profit cooperatives, not traditional banks.
“Nearly 146 million Americans are members of federally insured credit unions, and they deserve a modern legislative framework that recognizes the institutions they own and rely upon,” said Anthony Hernandez, DCUC President and CEO. That’s not a small constituency. As of Q1 2026, federally insured credit unions reported 145.8 million members.
DCUC laid out several areas that could form the backbone of future credit union legislation:
- Support for new (de novo) credit unions that actually makes sense for their charter structure
- Permanent modernization of the Central Liquidity Facility—basically the credit union emergency funding mechanism
- Expanded lending opportunities for veteran-owned small businesses
- Responsible fintech partnerships and credit union service organization updates
- More predictable timelines for applications and merger reviews
The bill does include a requirement for the NCUA to study partnerships between credit unions and fintech companies, which DCUC sees as a useful starting point for future legislation. In a financial world that’s changing faster than regulations can keep up, that kind of forward-thinking matters.
Meanwhile, on the Financial Crime Front…
In a separate but related move, DCUC submitted comments to the House Financial Services Subcommittee on National Security, Illicit Finance, and International Financial Institutions ahead of a July 21 hearing on the Financial Crimes Enforcement Network (FinCEN).
The message? Credit unions serving military communities are dealing with increasingly sophisticated criminal schemes, and they need better tools—not just more paperwork.
“Financial readiness is military readiness,” Stverak explained. “When a servicemember or military family becomes the victim of fraud, the consequences can extend far beyond the financial loss. Fraud can disrupt deployments, damage credit, affect security clearances, and undermine family stability.”
That’s not hyperbole. Military families are frequent targets for organized fraud because they have predictable pay schedules, relocate often, may be stationed overseas, and rely heavily on digital banking. The scams range from identity theft and money laundering to synthetic identity fraud and romance scams—basically, if there’s a way to separate someone from their money, criminals are trying it.
What DCUC Wants Congress to Do About It
DCUC’s recommendations are refreshingly practical. They’re asking Congress to:
- Modernize the Bank Secrecy Act to focus on intelligence-driven supervision rather than box-checking
- Strengthen information sharing between government, law enforcement, and financial institutions (right now, it’s harder than it should be)
- Support responsible use of artificial intelligence to detect fraud and suspicious activity
- Tailor regulatory expectations based on institutional size and risk—because a $50 million credit union shouldn’t face the same requirements as a mega-bank
- Coordinate efforts specifically to combat scams targeting military and veteran communities
- Reduce duplicative regulatory burdens that eat up resources without adding security
- Expand public-private partnerships to actually strengthen defenses against financial crime
“Protecting military families from financial crime requires more than enforcement—it demands collaboration, innovation, and a regulatory framework that keeps pace with today’s evolving threats,” said Hernandez, a retired U.S. Air Force Colonel who knows a thing or two about military families.
The Bigger Picture
What makes both of these efforts noteworthy is the strategic positioning. DCUC isn’t opposing the Main Street Capital Access Act or criticizing FinCEN’s mission. Instead, they’re saying, “Yes, and here’s what else needs to happen.”
It’s a collaborative approach that acknowledges progress while pushing for more. Pass the current bill, then build on that momentum with credit-union-specific legislation. Support FinCEN’s work, but modernize the framework so institutions can focus resources on actual threats instead of outdated compliance exercises.
“H.R. 6955 should be treated as a milestone rather than the conclusion of Congress’s work on community financial-services modernization,” Stverak noted. “DCUC supports the bill, urges its passage, and welcomes the opportunity to help Congress take the next step by developing thoughtful, bipartisan legislation for credit unions and the members they serve.”
DCUC represents more than 200 defense-affiliated credit unions serving over 40 million members worldwide—active-duty servicemembers, National Guard and Reserve members, veterans, Department of Defense civilians, military retirees, and military families. When they say “for defense credit unions and the military communities they serve, financial readiness is mission readiness,” they’re speaking from experience.
Now it’s up to Congress to decide whether to take them up on their offer to help craft that next phase of legislation. Given the bipartisan support both issues tend to generate—who’s against helping military families or reducing unnecessary red tape?—there’s reason to be cautiously optimistic.
We’ll be watching to see if lawmakers treat this as the beginning of a conversation or just another set of comments to file away.