Let’s face it. Banks have never liked the fact that credit unions can operate in a lot of the same ways they can yet escape some of the taxation that credit unions’ non-profit, cooperative status affords them.
So it shouldn’t come as a surprise that powerful banking lobbies — i.e., the American Bankers Association and the Independent Community Bankers of America — are trying to thwart legislation in the Senate that would raise credit unions’ lending cap to businesses.
Whether the bankers are successful is not the point. What is the point is that as long as there are credit unions and banks, there always will be tension. Unless, of course, credit unions lose their tax advantage.