The NCUA said while it has yet to make any decisions about thefuture of Texans Credit Union, a merger is one action the agency has theauthority to pursue.

Other options include maintaining control until the creditunion's financial condition improves and then returning control tothe members to elect a new board, said Todd Harper, director of theNCUA Office of Public and Congressional Affairs and chief policyadvisor to Chairman Debbie Matz.

Harper said seeking another financial institution to partnerwith the credit union through either a merger or a purchase andassumption agreement is another option. Liquidating the creditunion and dispersing assets to the members would be anotherconsideration.

“Members can continue to conduct business as usual at TexansCredit Union. Moreover, in its role as conservator, NCUA isprimarily focused on improving the financial condition of thecredit union in order to return control of the credit union to themembers to elect a new board,” Harper said in a statement. “Inother words, NCUA is working to keep the credit union open not onlytoday, but also in the long term.”

Harper said besides conserving member assets and preservingtheir interests, the NCUA wants to also protect the National Credit Union ShareInsurance Fund.

Amid speculation of potential merger partners, the $6.1 billionSecurity Service Federal Credit Union in San Antonio said ithas not had any discussions about a Texans CU merger.

On April 15, the NCUA placed the $1.6 billion Texans CU in conservatorship.