|
|
Article: Credit unions fear tax review
- Article from:
- Sunday Star-Times
- Article date:
- October 7, 2007
- Author:
CopyrightCopyright 2007 Sunday Star-Times. Provided by ProQuest LLC. (Hide copyright information)
|
FEARS ARE rising among credit unions that they could lose their
tax-free status in the pursuit of the freedom to compete more
effectively with the banks.
Over the last 10 years the credit union sector, made up of
mutually-owned lenders often based on employee groups, has shrunk in
comparison to banking rivals. According to figures from the Reserve
Bank, there are now just 52 credit unions, compared to 160 a decade
or so ago, though assets have grown to around $730 million and
membership remains around 200,000.
Doug McLaren, chief executive of the 39-member Association of
Credit Unions, said growth had been stalled by outdated laws which
prevent credit unions raising capital through share ...