Among the NCUA's approved 25 mergers in November, four credit unions were consolidated because of their poor financial condition, including a Los Angeles faith-based cooperative that posted delinquency rates ranging from zero to 100% for more than five years.
The $17,463 Zion Hill Baptist Church Federal Credit union in Los Angeles posted a delinquent loan rate of 0.41% in 2012, and zero delinquent loans in 2013 and 2014, according to NCUA financial performance reports. That delinquency loan rate, however, shot up to 44% in 2015 and 100% in 2016.
The credit union chartered in 1969, which served only 140 members, also posted a 100% delinquency loan rate at the end of the first and second quarters in 2017 and zero delinquencies at the end of the third quarter.
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