Member Deposits Remain Protected to $250,000 by the Share Insurance Fund
ALEXANDRIA, Va. (Sept. 6, 2013) – The Michigan Department of Insurance and Financial Services today liquidated Craftsman Credit Union of Detroit and appointed the National Credit Union Administration (NCUA) as liquidating agent.
Security Credit Union of Flint, Mich., immediately assumed Craftsman’s members and deposits, as well as some loans. Security Credit Union is a federally insured, state-chartered credit union. The credit union serves 49,277 members and has assets of $367 million, according to its most recent Call Report.
The new Security Credit Union members will experience no interruption in services, and their accounts remain federally insured by the National Credit Union Share Insurance Fund up to $250,000. Administered by NCUA, the fund has the backing of the full faith and credit of the U.S. Government.
The Michigan Department of Insurance and Financial Services made the decision to liquidate Craftsman Credit Union and discontinue its operations after determining the state-chartered credit union was insolvent and had no prospect for restoring viable operations.
At the time of liquidation and subsequent purchase and assumption by Security Credit Union, Craftsman Credit Union served 6,403 members and had assets of $24.1 million, according to its most recent Call Report. Chartered in 1947, Craftsman Credit Union served a number of select groups centered primarily on the General Motors Corporation plants in Detroit.
Craftsman Credit Union is the twelfth federally insured credit union liquidated in 2013.
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.