Credit Unions are fighting to show how pivotal Fannie Mae and Freddie Mac are to their ongoing existence. Credit Unions suggest a complete elimination of the GSEs will impair the firms' ability to provide mortgages. Per the National Association of Federal Credit Unions:
“GSEs are a critical part of the business models of many credit unions, and their presence helps to limit the exposure of a number of risks,” according to the NAFCU’s latest Monitor survey. “Due to regulatory restrictions that hamstring the ability for credit unions to hedge against interest rate risk, their access to the secondary market has large implications for the safety and soundness of the industry.”
