ALEXANDRIA, Va. — On July 25, the NCUA Board approved a 0.08% 2013 assessment to federally insured credit unions for the Temporary Corporate Credit Union Stabilization Fund. Those eight basis points represent the lowest end of the NCUA's estimate of eight to 11 basis points announced in November 2012 and will generate at least $700.9 million when the funds are collected in October. It is the lowest corporate assessment credit unions have paid since making their first payment in 2009.
According to the NCUA's board action memorandum, the agency will apply $650 million toward payment on outstanding borrowings to the Treasury, which will reduce the total amount outstanding to not more than $4.075 billion. The payment will increase the NCUA's available credit line to $1.925 billion, which would cover unexpected contingencies for both corporate stabilization and the National Credit Union Share Insurance Fund.
After applying the 2013 assessment, the NCUA estimates the remaining corporate stabilization assessments range from $900 million to $3.2 billion.
Complete your profile to continue reading and get FREE access to CUTimes.com, part of your ALM digital membership.
Your access to unlimited CUTimes.com content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Critical CUTimes.com information including comprehensive product and service provider listings via the Marketplace Directory, CU Careers, resources from industry leaders, webcasts, and breaking news, analysis and more with our informative Newsletters.
- Exclusive discounts on ALM and CU Times events.
- Access to other award-winning ALM websites including Law.com and GlobeSt.com.
Already have an account? Sign In
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
