Conservatorships and Liquidations

Conservatorships: From time to time, the National Credit Union Administration places a credit union into conservatorship in order to resolve operational problems that could affect that credit union’s safety and soundness. Conservatorship means the NCUA has taken control of the credit union. During a conservatorship, the credit union remains open; members may transact business; and accounts remain insured by the National Credit Union Share Insurance Fund. For federally chartered credit unions, the NCUA takes this action on its own; in the case of a state-chartered credit union, the state supervisory authority initiates the conservatorship and in many cases appoints the NCUA as agent for the conservator.

Conservatorships can have three outcomes:

  • The credit union can resolve its operational problems and be returned to member ownership;
  • The credit union can merge with another credit union; or
  • The NCUA can liquidate the credit union.

Liquidations: Liquidation means a credit union has been closed; however, a liquidated credit union may be purchased — and members, assets, and loans assumed — by another credit union, so that members will be able to continue receiving financial services. If a credit union is placed into liquidation, the NCUA’s Asset Management and Assistance Center (AMAC) will oversee the liquidation and set up an asset management estate (AME) to manage assets, settle members’ insurance claims, and attempt to recover value from the closed credit union’s assets. [1]  If the member shares are not assumed by another credit union, all verified member shares are typically paid within five days of a credit union’s closure.

No member of a federally insured credit union has ever lost a penny in insured accounts.

[1] An AME holds the assets of a failed institution. Commonly administered by AMAC, to which the NCUA Board has delegated statutory authorities providing broad supervisory and management powers over the credit union's assets and operations. These powers include the ability to facilitate funding and disposition of assets. Also known as a liquidation estate.

Showing 1 - 12 of 248 Results
Year Date Type Credit Union Name City State Status
2013 06/30/2013 Merger With NCUA Assistance Zane Trace Federal Credit Union Zanesville Ohio Merged
2012 10/31/2012 Involuntary Liquidation Women’s Southwest Federal Credit Union Dallas Texas Closed
2011 03/04/2011 Involuntary Liquidation Wisconsin Heights Credit Union Ogema Wisconsin Closed
2010 10/01/2010 Involuntary Liquidation Western Corporate Federal Credit Union San Dimas California Closed
2012 07/06/2012 Involuntary Liquidation Western Bridge Corporate Federal Credit Union San Dimas California Closed
2009 09/30/2009 Involuntary Liquidation West Texas Credit Union El Paso Texas Closed
2012 05/18/2012 Involuntary Liquidation Wausau Postal Employees Credit Union Wausau Wisconsin Closed
2009 07/06/2009 Involuntary Liquidation Watts United Credit Union Los Angeles California Closed
2016 03/29/2016 Involuntary Liquidation Veterans Health Administration Credit Union Detroit Michigan Closed
2011 04/15/2011 Conservatorship Vensure Federal Credit Union Mesa Arizona Closed
2011 07/11/2011 Involuntary Liquidation Vensure Federal Credit Union Mesa Arizona Closed
2011 05/31/2011 Involuntary Liquidation Valued Members Federal Credit Union Jackson Mississippi Closed