Policy exceptions checklist: How credit unions can limit the noise to identify credit risk
Credit unions must identify, report, and monitor policy exceptions as part of strong risk management. Yet many institutions track too many “exceptions,” creating noise that hides real credit risk.
This checklist helps credit unions refine their approach by defining what truly qualifies as an exception—and how to manage it effectively. It outlines five practical steps to improve clarity, accountability, and compliance across commercial and member business lending.
Learn how to:
- Define and categorize exceptions for clear oversight
- Create a focused policy that sets accountability and resolution paths
- Review exceptions regularly and report findings to leadership
- Train staff and communicate updates clearly to maintain consistency
