Credit Union Stays Open and Operating with Normal Member Services; Member Deposits Also Remain Federally Insured up to $250,000
ALEXANDRIA, Va. (April 15, 2011) -- The National Credit Union Administration (NCUA) today placed Texans Credit Union of Richardson, Texas, into conservatorship. Texans Credit Union remains open and operating. While continuing normal member services, NCUA will work to resolve issues affecting the Texans Credit Union’s safety and soundness.
Deposits at Texans Credit Union also remain protected. Administered by NCUA, the National Credit Union Share Insurance Fund (NCUSIF) continues to insure individual accounts at Texans Credit Union up to $250,000. The NCUSIF, like the FDIC’s Deposit Insurance Fund, has the backing of the full faith and credit of the U.S. Government.
A full service credit union, Texans Credit Union currently has 133,000 members and assets of $1.6 billion. The credit union provides financial services to people residing in the Texas counties of Collin, Dallas, Rockwall, Travis, and Williamson, as well as parts of Denton County.
The decision to conserve a credit union enables the institution to continue regular operations with expert management in place correcting previous service and operational weaknesses. During conservatorship, members may therefore continue to conduct business at the credit union.
The Federal Credit Union Act authorizes the NCUA Board to appoint itself conservator when necessary to conserve the assets of a federally insured credit union, protect members’ interests, or protect the NCUSIF. Texans Credit Union is the third federally insured credit union placed into conservatorship during 2011.
Members of Texans Credit Union who have questions about the conservatorship may review the Texans Credit Union Frequently Asked Questions document posted on the NCUA website.
NCUA is the independent federal agency created by
the U.S. Congress to regulate, charter and supervise
federal credit unions. With the backing of the full
faith and credit of the United States, NCUA operates
and manages the National Credit Union Share
Insurance Fund, insuring the deposits of nearly 100
million account holders in all federal credit
unions and the overwhelming majority of
state-chartered credit unions. At
Pocket Cents, NCUA also educates the public on consumer protection and financial literacy issues.