Presentation Focused on Emerging and Ongoing Risks to Credit Unions
PBMares Risk Advisory Partner JJ Edmunds recently led a presentation to the Association of Credit Union Audit and Risk Professionals (ACUARP). His topic, National Credit Union Administration (NCUA) Supervisory Priorities, helped ACUARP’s credit union members understand the most prevalent emerging and ongoing risks affecting the credit union industry. ACUARP’s membership includes credit union internal auditors, risk managers, compliance officers and audit/supervisory committee members.
An NCUA supervisory priority is an area of potential risk that credit unions must monitor and mitigate. JJ’s presentation covered the four priorities for 2025: Credit Risk, Balance Sheet Management and Risk to Earnings and Net Worth, Cybersecurity, and Consumer Financial Protection. He discussed the details of each area, including new focus points – such as third-party vendor management and business continuity and disaster recovery under Cybersecurity – continued focus points, like overdraft protection and fair lending, as well as topics that were removed for 2025.
From the NCUA Letter to Credit Unions:
“There continued to be signs of financial stress on credit union balance sheets during 2024. Aggregate loan performance began to deteriorate in 2022, and the trend has continued through 2024. … Additionally, the return on average assets continues to experience pressure from the interest rate environment and provision for loan and lease loss expense. Even considering these trends, the credit union system remains stable and relatively resilient against economic disruptions.”
JJ, a licensed CPA with credentials as a Certified Internal Auditor (CIA), Certified Information System Auditor (CISA), COSO Internal Controls, is a long-time speaker at various ACUARP webinars and conferences. He specializes in providing co-sourced or outsourced internal auditing to credit unions with assets ranging from $10 million to $7 billion. JJ is a member of the American Institute of Certified Public Accountants, Virginia Society of Certified Public Accountants, Institute of Internal Audits, Association of Credit Union Internal Auditors, and his local Chamber in Richmond, Virginia.
Learn more about PBMares’ Risk Advisory practice.
About PBMares, LLP
PBMares is a Certified Public Accounting and consulting firm focused on serving the audit, tax, accounting and consulting needs of companies and individuals. Founded in 1963, PBMares serves clients across the United States from 13 offices located in Virginia, Northern Virginia, Maryland, and North Carolina. PBMares represents companies ranging from closely held private businesses to leading non-profits and Fortune 500 multinationals. The Firm has industry practices specializing in construction, real estate, financial institutions, government contracting, healthcare, hospitality, insurance, manufacturing, not-for-profit, restaurant, retail, state and local government, and technology. Services include cybersecurity, cloud accounting, wealth management, and more.
PBMares has been perennially ranked among the top 100 firms across the country by Accounting Today, Inside Public Accounting, and Forbes.
