Community bank, credit union groups battle over potential TAG extension

The potential extension of Dodd-Frank’s transaction account guarantee provisions sparked a heated debate between advocacy groups representing the banking and credit union industries. The American Bankers Association and Independent Community Bankers of America called on Senate lawmakers to extend the Federal Deposit Insurance Corp’s. unlimited coverage for certain noninterest-bearing accounts for an additional two years. However, a credit union group said Dodd-Frank’s TAG provisions are no longer necessary and should be permitted to expire. The group also argued Congress should raise a statutory cap on credit union business lending.