The State of California has closed Watts United Credit Union in Los Angeles.
As of the end of the March, its assets had fallen $80,000 in the previous year. The value of its loan portfolio had dropped 7% from the previous quarter and its equity declined 21% during that quarter.
During the first quarter of 2009, its loan income fell 13.7% and its investment income declined 51.2%.
The NCUA will issue checks to Watts United Credit Union members for verified funds in their share accounts. Deposits are federally insured up to $250,000 per account by the NCUSIF.
Watts United Credit Union had assets of approximately $800,000 and about 1,000 member share accounts. It was chartered in 1966.