Moving swiftly on the heels of the announced failure to form anew payments corporate out of US Central Bridge, the NCUA hasannounced its activation of “contingency plans” to keep paymentssmoothly flowing within the corporates universe.

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“NCUA will look to alternative resolution plans to facilitatethe orderly transition of member services to other serviceproviders,” said Scott Hunt, acting as agent for the conservator ofUS Central Bridge. “While we have a fiduciary duty to achieve theleast, long-term cost resolution of U.S. Central Bridge, we remaincommitted to minimizing disruption to its corporate members, and inturn, natural person credit unions and American consumers.”

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“We have no plans to immediately shutter U.S. Central Bridgeoperations, nor will we ask corporate credit unions to immediatelytransition away from U.S. Central Bridge,” Hunt said in a statementreleased by NCUA.

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Hunt also serves as director of NCUA's Office of CorporateCredit Unions.

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The statement added: “The 15 corporates involved in the failed[payments] initiative should conduct due diligence on possiblealternatives to ensure any eventual transition does not disruptservice to their members.”

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