Federally insured credit unions could potentially receive arebate on corporate assessments, according to a Wednesday release fromthe NCUA. However, the final tally won't come until 2021, theregulator cautioned.

The net remaining stabilization fund projected assessment rangenow runs from negative $1.9 billion to negative $400 million,compared to the negative $200 million to $1.6 billion projectionfrom the second quarter of 2013, the NCUA said. As long as bothends of the range remain negative, there will likely be no need forfuture assessments, the agency added.

The net proceeds from the $1.4 billion JPMorgan Chase settlementin November 2013 and the continued improvement in the performanceof the legacy assets underlying the NCUA Guaranteed Notes (NGN)program during the third quarter of 2013 caused the decline in theassessment range.

Continue Reading for Free

Register and gain access to:

  • Breaking credit union news and analysis, on-site and via our newsletters and custom alerts.
  • Weekly Shared Accounts podcast featuring exclusive interviews with industry leaders.
  • Educational webcasts, white papers, and ebooks from industry thought leaders.
  • Critical coverage of the commercial real estate and financial advisory markets on our other ALM sites, GlobeSt.com and ThinkAdvisor.com.
NOT FOR REPRINT

© 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.