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					                      Credit Union Member Business Lending Reform
                     Sample Letter to Senators Lautenberg & Menendez

Separate, Individualized letters to each are recommended

The Honorable Frank Lautenberg
United States Senator
Washington, DC 20510-3002             (fax number: 202-228-4054)

The Honorable Robert Menendez
United States Senator
Washington, DC 20510-3001             (fax number: 202-228-2197)

       Re: S. 2231, Credit Union Small Business Jobs Act

Dear Senator (insert Lautenberg or Menendez):

I am writing to urge you to vote yes when Senator Udall's (D-CO) Credit Union Small Business
Jobs Act (S. 2231) comes up for a vote. Small businesses in our state need access to capital
and credit unions are ready and willing to lend.

America’s small businesses are a driving force of employment and economic recovery yet in a
recent survey, 90% reported the availability of credit is a problem. In fact, 61% of these same
small businesses said it’s harder to get loans today than it was a few years ago.

One of the easiest ways to help these small businesses gain access to the credit they need and
start hiring is to increase the credit union member business lending cap.

Before 1998 there was no limit to the amount credit unions could lend to member businesses. It
was not until Congress passed the Credit Union Membership Access Act of 1998 that credit
unions were subjected to an arbitrary cap of 12.25% of total assets.

Today, credit unions with valuable experience and a proven track record in business lending are
approaching their legal capacity to lend to small businesses. At the same time, small
businesses are finding it increasingly difficult to obtain credit from other financial institutions.
These small businesses are uniquely positioned to create new jobs and are essential to our
economic recovery.

Senator Udall’s bill would increase to 27.5% of assets the business lending limit for well-
capitalized credit unions. This common sense proposal, which is supported by the Obama
Administration, could help credit unions provide up to $13 billion of stimulus to America's small
businesses in the first year alone and create over 140,000 new jobs at no cost to taxpayers.

Credit unions take a conservative approach to lending and this has helped credit unions largely
avoid the economic crisis. Credit unions are well-regulated and credit union business loans are
safe, sound and desperately needed by small businesses across the country.

New Jersey’s 1.2 million credit union members are ready to help put Americans back to work.
I urge you to give credit unions the opportunity to help small businesses by voting YES when
Senator Udall's (D-CO) Credit Union Small Business Jobs Act (S. 2231) comes up for a vote.

Thank you for your consideration.


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