New Government Proposals

Today the BC Ministry of Finance issued its consultation paper on changes to the Financial Institutions Act and the Credit Union Incorporation Act.  The first 43 of the 68 recommendations relate to general issues and credit unions; the remainder being related to insurance and trusts. As a package, the government has responded well to BC […]

Continue reading


Court Action Challenges Coast Capital Decision

A member of Coast Capital Savings is seeking a BC Supreme Court judicial review of Coast’s application to become a bank, specifically the provincial regulatory approval.  Coast is pursuing plans to convert to a ‘federal credit union’ under the Bank Act (Canada), which is defined as a bank that is cooperatively owned.  But to do […]

Continue reading


OSFI puts it to Provinces?

The recently announced B-20 Guideline from the Office of the Superintendent of Financial Institutions (OSFI) places new income qualifications on borrowers when obtaining a conventional mortgage at federally-regulated financial institutions (FRFI), mostly banks.  Borrowers will have to prove they can afford a loan at @200bp above the quoted rate. The tougher debt servicing test is […]

Continue reading


Debt and Housing Bubbles

More commentary has come out on the exceptional levels of household debt in Canada.  These sometimes speak directly to the issue, such as described in the Borrowing Binge in the Vancouver Sun, or as a negative outlook provided by Moody’s when assessing the exposure of Canada’s banks.  The latter makes explicit references the level of […]

Continue reading


Trimming Excessive Home Ownership Subsidies

While the cost of housing has prompted much debate, too little attention is on the heavy subsidies granted to residential real estate investment and the way in which these subsidies have caused price inflation. Fortunately, the Government of Canada mortgage insurance program is being scaled back.  The restrictions introduced late in 2016 are ‘cooling the […]

Continue reading


Are Real Credit Unions FCU*d?

Real credit unions may have to reconsider their strategic options. History was made with the FICOM approval of the Coast Capital Saving application to be ‘continued’ as a Federal Credit Union (FCU). This action has the potential to totally restructure the BC credit union system.  While the commission did say that would consider the impact […]

Continue reading


New Government Decisions

As the new Minister of Finance, Carole James, has several issues on her plate.  The two simplest are getting attention, because they are listed in the direction given to her by the new premier.   One is taxation, reversing the scheduled increase that faces large credit unions that no longer qualify as ‘small business’.  And second, […]

Continue reading


Cashless, the political counter argument

Communications professionals know that you can sell something if you give it a good ‘modern’ or ‘contemporary’ brand identity.  This is the spin we hear all the time regarding a ‘cashless society’.  Apparently convenience means more than anything else.  But there is a darker side to this proposition; the expanded role of large intermediaries (e.g. […]

Continue reading