Matz Asks for Parity on Noninterest Transaction Accounts
The NCUSIF should be allowed to offer identical insurance coverage of noninterest bearing transaction accounts as the FDIC, NCUA Chairman Debbie Matz wrote in a letter to House Financial Services Committee Chairman Barney Frank.
The House-Senate conference committee that is reconciling the chambers' different versions of the regulatory overhaul is considering whether to extend the FDIC's ability to offer insurance on all noninterest bearing transaction accounts, regardless of their size. Senate conferees favor a two-year extension while House conferees want to make it permanent. Frank (D-Mass.) is chairing the conference committee.
Under current rules, the NCUSIF insures those kinds of accounts up to $250,000.
Matz wrote that there should be equal treatment for credit unions "based on long-standing congressional practice ensuring that the policies of the NCUSIF are generally consistent with those of the FDIC."