Late or inaccurate filing of the Call Report can expose the credit union to various risks. The nature and extent of these risks depend on the extent of misreporting or delay in reporting. Late filing or inaccurate filing impacts NCUA’s ability to conduct effective off-site supervision and delays the release of quarterly industry data to the general public.
Direct risks associated with filing the Call Report generally fall into the following risk categories:
Compliance Risk
The compliance risk involved with the Call Report is related to regulatory reporting requirements. Credit unions are required to submit their Call Report and Profile by the final Sunday of the month following quarter end. Failure to meet the quarterly filing deadlines could result in civil money penalties per NCUA Letter to Credit Unions 14-CU-03, Civil Money Penalties to be Assessed for Late Call Report and Profile Submissions in 2014.
The amount of the civil money penalty varies depending on:
- A credit union's financial resources and good faith
- Gravity of the violation
- History of previous violations
- Other matters as justice may require regarding the circumstances of late or false/misleading submissions
Reputation Risk
Inaccurate or false Call Report information can misrepresent the financial condition of the credit union to its members. This can adversely impact their confidence in the credit union’s operations and integrity of the institution.
Last updated October 21, 2020
