Credit Union Relocates, Stays Open and Operating with Normal Member Services; Member Deposits Remain Federally Insured up to $250,000
Alexandria, Va. (May 4, 2011) – The National Credit Union Administration (NCUA) placed Hmong American Federal Credit Union of St. Paul, Minnesota, into conservatorship today. The credit union remains open and operating, although service have moved to a new location. While continuing normal member services, NCUA will work to resolve issues affecting the institution’s safety and soundness.
Deposits at Hmong American Federal Credit Union remain protected. Administered by NCUA, the National Credit Union Share Insurance Fund (NCUSIF) continues to insure individual accounts at Hmong American Federal 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.
Hmong American Federal Credit Union’s new location is 56 East 6th Street, Suite 314, St. Paul, MN 55101. Credit union members may continue to reach the credit union at (651) 228-0455.
A full service credit union, Hmong American Federal Credit Union currently has 716 members and assets of $2.7 million. The credit union provides financial services to members of the Lao Family Community of Minnesota, Inc.
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. Hmong American Federal Credit Union is the fifth federally insured credit union placed into conservatorship during 2011.
Members of Hmong American Federal Credit Union who have questions about the conservatorship may review the Hmong American Federal 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 more than
98 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.