Archive Links

Consumer Archive
CU System Archive
Market Archive
Products Archive
Washington Archive

News Now

Washington
HSBC NCUA settle on corporate CU losses
ALEXANDRIA, Va. (3/13/12)--HSBC has agreed to pay the National Credit Union Administration (NCUA) $5.25 million to settle potential claims relating to the sale of residential mortgage-backed securities to five failed corporate credit unions, the agency reported Monday.

The NCUA said HSBC did not admit fault on their part.

NCUA Chairman Debbie Matz said the agency appreciates HSBC's efforts to resolve potential claims and avoid the expense and delay of litigation. "This settlement furthers our goal to minimize losses and thereby reduce the assessments that all credit unions will have to pay. NCUA will continue to fulfill our statutory responsibility to secure maximum recoveries for credit unions and ensure that consumers remain protected," she added.

The agency is using proceeds from this and other settlements to reduce assessments that are charged to credit unions to cover corporate credit union losses.

The NCUA also collected $165.5 million in funds after it settled with Citigroup and Deutsche Bank Securities last year.

The NCUA is seeking to recover an additional $2 billion from the Royal Bank of Scotland, RBS Securities, JP Morgan Securities, and Goldman Sachs in suits it has filed against these entities. There may be additional recoveries from other firms that sold residential mortgage-backed securities to corporate credit unions that contributed to their losses.

For the full NCUA release, use the resource link.
Other Resources

RSS print
News Now LiveWire
Did you ask @CommonwealthCU CEO a fin. question on #heyKaren day? She'll answer #likeaboss http://t.co/2PgZAp9qu0 https://t.co/RySBvM4rBc
10 hours ago
Texans linebacker Cushing continues outreach, spokesman role for @FirstCommCU http://t.co/wIUGhn9okM
13 hours ago
Despite what consumers say, big banks still hold sway over market via @Marketplace http://t.co/ozH69d8soj
15 hours ago
Erie, Pa., Americo FCU CEO praises staff for actions during robbery http://t.co/yyhaPnDtXh
16 hours ago
"Shreditorial" praises good deeds of @DannemoraFedCU http://t.co/06qKe0mhzR
16 hours ago