John Kerry: “I thank Senator Boxer and I share her concern that the Supreme Court ruling could require some credit unions to remove…”

“I thank Senator Boxer and I share her concern that the Supreme Court ruling could require some credit unions to remove some individuals from credit union membership. The credit unions operated in good faith when they extended membership to members of unrelated groups. However, the Supreme Court found that such actions have gone beyond the bounds of the Federal Credit Union Act. The U.S. District Court, to which the Supreme Court returned the case, can choose from a number of alternatives to provide the required relief in National Credit Union Administration v. First National Bank & Trust et al. The Court could choose to expel current credit union members who are not affiliated with the original occupational group, grandfather all current members of credit unions but prevent credit unions from adding any new members who are not affiliated with the original group or allow credit unions to add new members from any employer groups represented by current credit union members but preclude adding members from other unrelated occupation groups. I believe the members of all current multiple-group credit unions should be allowed to continue in the credit unions they have chosen. Dislocating approximately 10 million credit union members not affiliated with their credit union's original occupation group could potentially have serious effects on the safety and soundness of the credit unions in Massachusetts and across the nation.”