Member Deposits Remain Protected to $250,000; Services Uninterrupted
ALEXANDRIA, Va. (Nov. 9, 2016) – The Director of the Michigan Department of Insurance and Financial Services today appointed the National Credit Union Administration conservator of Valley State Credit Union, of Saginaw.
Valley State members should experience no interruption in normal services. Deposits at Valley State Credit Union 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.
The Michigan Department of Insurance and Financial Services placed Valley State Credit Union into conservatorship on Aug. 17, 2016 because of unsafe and unsound practices at the credit union. While continuing normal member services, NCUA will work to resolve issues affecting the credit union’s operations. Members can continue business as usual, conducting financial transactions, accessing share deposits and loan services, and using web-based account inquiries and bill payment.
Valley State Credit Union is a federally insured, state-chartered credit union with 2,925 members and assets of $22.3 million, according to the credit union’s most recent Call Report. Chartered in 1955, Valley State Credit Union serves employees, members or retirees of the government of the state of Michigan who live or work in the Michigan counties of Arenac, Bay, Genesee, Huron, Midland, Saginaw, Sanilac or Tuscola; organizations that contract with agencies of the state of Michigan to provide janitorial services to those offices located in the above counties; Saginaw Valley State College, including employees, students and alumni; members of the immediate families of the foregoing; and any legal entity that is comprised for the most part of the same general group as the membership of the credit union.
Members who have questions about the conservatorship should contact Valley State Credit Union at 989.793.5943. Members also should review the Valley State Credit Union Frequently Asked Questions document attached to this release and available online here.