The Department of Defense (DOD) will release guidance in the coming weeks on changes to the Military Lending Act (MLA) that will become effective Oct. 3. CUNA, at the DOD’s request, sent potential revisions on the MLA changes, and has continued its push for guidance before the October compliance deadline.The DOD finalized changes to the MLA last year, adding new requirements to loans extended to covered military servicemembers. Covered loans to borrowers cannot exceed a 36% military annual percentage rate (MAPR), which will be calculated under new requirements outlined in the rule.CUNA is concerned that, with the implementation period for the rule 2 months away, credit unions have not been provided clarifications needed to assure they can continue to serve the military in a consumer-friendly way.CUNA has asked the DOD for months to provide compliance guidance for the changes, and asked for several substantive changes to the rule. continue reading » 1SHARESShareShareSharePrintMailGooglePinterestDiggRedditStumbleuponDeliciousBufferTumblr
David Blake, director of the Pensions Institute, said: “The difference between the potential value of negotiated benefits and PPF benefits represents a significant loss to members, sponsor organisations, PPF levy payers, and society as a whole. Instead, seeking ‘the greatest good for the greatest number’ would prevent the destruction of billions of pounds in economic value. It would also produce a more equitable distribution of benefits for younger members who stand to lose much more on insolvency because of the way PPF benefits are calculated. But fortunately, we find that most companies can afford to make their pension contributions.”The institute’s report agreed with the government’s assertion that there was no affordability crisis across the DB sector in the UK, as stated in the Department for Work and Pensions’ green paper earlier this year.However, it argued that the government “should establish a statutory minimum contribution rate for all sponsors with schemes in PPF deficit”, except where this would threaten a company’s solvency. It also called for a streamlined process for the regulated apportionment arrangments that have been used in recent cases involving stressed schemes and sponsors. The full report is available here.Government shelves pension reformsIt appears the government has pushed reviews of pension policy off its immediate agenda.Yesterday morning saw Queen Elizabeth II give her traditional speech to the UK parliament, which is written by the government and outlines its policy agenda. Despite manifesto promises from the Conservative Party, there was no mention of changes to the state pension or of measures designed to follow through on any of the areas covered by the government’s DB green paper.Jeremy May, PwC’s UK pensions leader, said: “This suggests that at least the initial evolution of the next stage of pensions regulation will be based within the existing legislative framework.”Regulator rules on DB transfersThe Financial Conduct Authority (FCA) has set out new rules for advice on transferring out of a DB scheme.The number of people requesting “transfer values” and exiting DB schemes to move to defined contribution (DC) schemes has risen sharply in the past two years due to the “pension freedoms” introduced by former UK chancellor George Osborne. These allow DC scheme members to choose what to do with their pension savings at retirement, rather than being forced to buy an annuity.In addition, offering “enhanced transfer values” has been seen as a viable part of a wider derisking strategy, as it allows funds to offload liabilities as well as assets.The FCA yesterday proposed rules requiring transfer advice to be provided as “a personal recommendation”. The regulator also wants providers to give members a clear picture of their transfer value and what it would mean to gove up a DB guaranteed.Christopher Woolard, executive director of strategy and competition at the FCA, said: “Defined benefit pensions, and other safeguarded benefits such as guarantees, are valuable so most consumers will be best advised to keep them. However, we recognise that the environment has changed significantly, so we want to ensure that financial advice considers the customer’s circumstances in full and recognises the various options now available to them.James Walsh, EU and international policy lead at the PLSA, said providing a clear picture was key to the project’s success. “Defined benefit pensions provide scheme members with a guaranteed income for life – irrespective of how long their retirement might be. Therefore, it is essential that this guarantee is not given up without serious consideration and that appropriate financial advice is taken before any decisions are made,” Walsh said. Many UK workers will not receive their full defined benefit (DB) pension in full as their employer will go bankrupt before their scheme reaches full funding, according to a new report from the Pensions Institute.The institute – part of the Cass Business School in London – said the government needs to recognise this danger and shift pension policy accordingly.“As highlighted by the BHS and Tata Steel cases, many DB pension scheme sponsors could collapse under the current policy which obliges scheme sponsors to adhere to the binary outcomes of either ensuring schemes can pay benefits in full or risk leaving the scheme underfunded if the sponsoring company goes bust,” the institute said.It called for a policy of “second best outcomes” to provide more scope for DB schemes to pay benefits at a lower level than originally promised, but higher than privided by the Pension Protection Fund (PPF).
Walters took the top spot and Ty Williams was next to challenge Sundquist for second place. A rim-riding Williams and Walters battled for the lead until lap 15 when Williams claimed the top spot. Shane Sundquist and J.D. Johnson lined up on the front row of the 25-lap IMCA RaceSaver Sprint Car feature. Shane Sundquist took off with the early lead, but not without Koby Walters eager to grab the top position. Walters hung on to the second position until the last lap when hard-charger Jason Martin nipped him at the line to take the runner-up position with Walters settling for third. Ty Williams was the night one Wheatshocker Nationals IMCA RaceSaver Sprint Car winner at RPM Speedway. (Photo by Carl Larson) HAYS, Kan. (July 11) – The United Rebel Sprint Series Presented by Mel Hambelton Ford Racing took on night one of the Wheatshocker Nationals at RPM Speedway Saturday night. A stacked 20-car field was in attendance and Ty Williams was the front-runner. Feature results – 1. Ty Williams; 2. Jason Martin; 3. Koby Walters; 4. Shane Sundquist; 5. Jeremy Huish; 6. Taylor Velasquez; 7. Todd Plemons; 8. Nate Berry; 9. Zach Blurton; 10. Kyler Johnson; 11. J.D. Johnson; 12. Darren Berry; 13. Brian Herbert; 14. Willie Wynn; 15. Jed Werner; 16. Chad Salem; 17. Jody Reeves; 18. Cale Cozad; 19. Howard Van Dyke; 20. Steven Richardson.