WARRENVILLE, Ill. – Corporates lobbied NCUA to grandfather in and extend the time period to be able to offer Paid in Capital and they are taking advantage of it. The $4.5 billion Mid-States Corporate FCU’s PIC offering reached $69 million. More than $16 million in new capital was generated and 124 member CUs participated. Paid-in Capital accounts have higher yields and longer maturities than traditional membership shares, which require a three-year notice to redeem. Members could choose from an investment with a fixed rate for the initial five years, changing over to a floating rate or a fully floating-rate investment. At the date of the end of the subscription period, the fixed offering held a rate of 3.26%, 100 basis points over the five-year Treasury; and the variable-rate offering paid 1.81%, 70 basis points over the one-month LIBOR.

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?


Credit Union Times

Join Credit Union Times

Don’t miss crucial strategic and tactical information necessary to run your institution and better serve your members. Join Credit Union Times now!

  • Free unlimited access to Credit Union Times' trusted and independent team of experts for extensive industry news, conference coverage, people features, statistical analysis, and regulation and technology updates.
  • Exclusive discounts on ALM and Credit Union Times events.
  • Access to other award-winning ALM websites including TreasuryandRisk.com and Law.com.

Already have an account? Sign In Now
Join Credit Union Times

Copyright © 2023 ALM Global, LLC. All Rights Reserved.