CEBA Grassroots Advocacy Campaign
As you may know, CCUA has been a strong advocate for credit unions as the government rolled out its COVID-19 relief programs. Our advocacy ensured that provincial credit unions could access the CEBA loan program and we have continued to advocate for timely rollouts of updates to the program on behalf of the sector.
CCUA has heard from many credit unions, especially smaller institutions, that the 40 basis-point reimbursement paid to financial institutions for administering the loans is in many cases, unsustainable. Particularly for smaller credit unions and lenders, this fee has often not been enough to cover costs associated with the program. CCUA has been actively advocating for a retroactive higher fee for small and medium financial institutions as part of the review of the program and is beginning to see some traction as a result of our efforts.
As a result of our advocacy, the government has announced its intention to proceed with a third-party review of the CEBA fee structure. In the interim, they have also implemented a $2500 floor to ensure all credit unions are at least compensated this basic amount for administering the program. While CCUA recognizes this will not be of much assistance to most credit unions, it is an important acknowledgment that the current fee structure is unsustainable for smaller institutions and CCUA will continue to advocate for a retroactive increase to the 40 basis point fee structure.
In order to reinforce CCUA’s message, the government needs to hear from credit unions themselves. We have created an easy to use tool below to send a customizable letter to your Member of Parliament to push for a fee increase for smaller lenders. The tool is available in both English and French below.
Send Your Letter in English
Send Your Letter in French
Thank you very much for your continued support in delivering this key program to our small business members!