Agency Works to Ensure Access to Needed Financial Services for Credit Union Members; Share Deposits Remain Protected up to $250,000
ALEXANDRIA, Va. (May 28, 2015) – The National Credit Union Administration is working with federally insured credit unions in areas of Texas and Oklahoma affected by recent flooding to help protect consumers and ensure the continuity of credit union services.
Federally insured credit unions in the areas affected by the flooding are currently operating normally, and NCUA examiners remain in contact with the credit unions. Credit union members in these areas should contact their credit unions or check their credit union’s website for the latest information.
Member deposits at federally insured credit unions remain protected by the National Credit Union Share Insurance Fund. Administered by NCUA, the Share Insurance Fund insures individual accounts up to $250,000, and a member’s interest in all joint accounts combined is insured up to $250,000. The Share Insurance Fund separately protects IRA and KEOGH retirement accounts up to $250,000. The Share Insurance Fund has the backing of the full faith and credit of the United States.
During natural disasters, NCUA works with state regulators and state league organizations to ensure all federally insured credit unions know about NCUA’s available assistance. Under the agency’s disaster relief policy NCUA will, where necessary:
- Encourage credit unions to make prudent loans with special terms and reduced documentation to affected members;
- Reschedule routine examinations of affected credit unions, if necessary;
- Guarantee lines of credit for credit unions through the Share Insurance Fund; and
- Make loans to meet the liquidity needs of member credit unions through the Central Liquidity Facility.
Low-income designated credit unions affected by flooding can apply for up to $7,500 in Urgent Needs grant assistance to repair damage or restore services to members. Information about Urgent Needs grants is available here.
Credit unions in need of NCUA assistance dealing with members affected by the flooding should contact their primary supervisory official.
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 account holders in all federal credit unions and the overwhelming majority of
state-chartered credit unions. At MyCreditUnion.gov, NCUA also educates the public on consumer protection and financial literacy issues.