WESTBOROUGH, Mass. - It pays to belong to the Massachusetts Credit Union Share Insurance Corporation.
MSIC has issued to members $1.4 million in a special refund as a result of changes in the primary deposit insurance offered through the National Credit Union Share Insurance Fund.
According to MSIC, with the recent increase in the federal limit on retirement accounts from $100,000 to $250,000, the special refund is proportionate to the amount of insurance now transferred to the NCUSIF.
"It was the right thing to do, returning funds to our members," said MSIC President/CEO John Buddle, "Our credit unions can use this to meet the increase in their NCUSIF deposit."
Credit unions were offered the option to take the special refund, which ranged from $312 to $390,931, or leave it as a credit towards future insurance premiums.
As of December 2005, MSIC insured over $994 million in excess deposits. As of its last fiscal year end MSIC's equity ratio was 6.15%, representing the highest of any deposit insurer in the nation, and is over five times the requirement of 1.25%.