NCUA Regulation Part 701.4 states that federal credit union (FCU) board members need to…
"have at least a working familiarity with basic finance and accounting practices, including the ability to read and understand the federal credit union’s balance sheet and income statement and to ask, as appropriate, substantive questions of management and the internal and external auditors....”
Any director serving on a federal credit union board on or before January 27, 2011 needed to comply with the financial literacy requirements before July 27, 2011. Directors elected or appointed later have to satisfy the financial literacy requirements within six months of being seated.
The rule doesn't specifically apply to state-chartered credit unions or to supervisory committee members, but training for those volunteers is still recommended as a best practice. All credit unions should have financially literate boards, and the options for training and learning are expanding daily.
The details of what is expected are discussed in NCUA Letter 11-FCU-02 and the attachment.