The NCUA said said it has it knocked $1.5 billion off its corporate stabilization bill Friday with the payment of medium term notes that were used to stabilize Western Corporate FCU in late 2009.

"This repayment is an important milestone in NCUA's efforts to resolve the failure of five corporate credit unions in an orderly manner and maintain confidence in the credit union system," said Chairman Debbie Matz. "With this final payment completed, we will continue our efforts to mitigate costs to federally insured credit unions over the remaining life of the Stabilization Fund."

Proceeds from credit union assessments, cash on deposit and other assets from the failed corporate credit unions were used to repay the obligation. The WesCorp payment follows the Oct.19, 2012, repayment of $2 billion in medium term note obligations from U.S. Central FCU, which closed Oct. 29.

Complete your profile to continue reading and get FREE access to, part of your ALM digital membership.

  • Critical 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 and

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.