NCUA to end credit unions’ reporting of overdraft/NSF fee income via call report

Credit unions’ federal regulator is ending its one-year-old requirement that credit unions with more than $1 billion in assets report their year-to-date overdraft and non-sufficient fund (NSF) fee income, the agency says.

The National Credit Union Administration (NCUA) just began collecting the data last year. Beginning with the first-quarter 2024 call reports, federally insured credit unions with more than $1 billion in assets were required to submit their year-to-date revenues from overdraft and NSF fees.

This January, the NCUA released information showing that among the 444 credit unions that reported this data through third-quarter 2024, a majority generated roughly 2% to 5% of total revenues through such fees. However, it said some institutions “deviate significantly from this range.”

NCUA Board Chairman Kyle Hauptman, who reportedly discussed the change at a credit union conference Monday in Washington, was quoted by the agency as describing the appropriateness of overdrafts and NSF fees as a matter between a credit union and its member-owners. He was also quoted saying the above-noted data collection “incentivized credit unions to avoid serving the needs of low-income and underserved communities.” He said, the agency stated, that the NCUA will continue to collect the overdraft and NSF fee information during supervisory exams. The agency’s website shows, however, there will be no more call reporting of such data.

The change wasn’t in last year’s publication of proposed call report changes, but the agency’s own website points to the Jan. 20 “Regulatory Freeze Pending Review” presidential memorandum from President Donald Trump (R ). It notes the specific changes effective with the March cycle  as follows:

• The account for reporting overdraft fee income (IS0048) is being retired.
• The account for reporting non-sufficient funds fee income (IS0049) is being retired.

In its release on Hauptman’s conference appearance Monday, the NCUA said under its new policy, effective with the March 31, 2025, call report cycle, the NCUA will collect overdraft and NSF fee data as part of the examination process. It said it will continue to publish overdraft and NSF fee income data in the aggregate “once updates to its examination system are complete.”

Hauptman Announces Changes to NCUA’s Overdraft/NSF Fee Collection

Info on March 2025 call report changes

NCUA research note on overdraft/NSF fee data