FSA tightens credit union rules

The Financial Services Authority is planning to tighten rules for credit unions, increasing capital and liquidity requirements to offer better protection for customers and avoid failures and defaults. <br /><br />The new rules will complement the government&rsquo;s own planned reforms, which are due to come into effect next spring. The plans will make it easier for unions to admit corporate members, to issue interest-bearing shares, and for troubled groups to merge.