Archive Links

Consumer Archive
CU System Archive
Market Archive
Products Archive
Washington Archive

News Now

Washington
Parity urged for noninterest transaction accounts
WASHINGTON (12/29/08)--The Credit Union National Association (CUNA) last week again urged the National Credit Union Administration (NCUA) Board approve full deposit insurance coverage for noninterest bearing transaction accounts--as the Federal Deposit Insurance Corp. (FDIC) has provided for the banks it insures. CUNA’s request was included in comments on an agency interim final rule that will provide options for displaying the official share insurance sign to reflect the increase in the maximum share insurance amount from $100,000 to $250,000. CUNA in its letter noted that the NCUA Board has ample legal authority to increase the coverage for such accounts. “Some credit unions feel they have been disadvantaged by the lack of full insurance for these accounts because they have either lost out on accounts they might otherwise have had or members have taken deposits to competing institutions,” wrote CUNA. In regard to the share insurance sign, CUNA said it supports the increase in the share insurance limit to $250,000 and the flexibility that the rule provides in “displaying the official sign to reflect these new levels, which includes using current signs, new signs, or modifying the current signs.” CUNA also said supports the “expansion of share insurance coverage that will now insure the principal and interest portion of a borrower’s payment separately from the borrower’s individual accounts, which will be consistent with the deposit insurance rules, as administered by the FDIC.” Use the resource link below to read CUNA’s complete letter.


RSS print
News Now LiveWire
Thanks for following our tweets on the NCUA's #listeningsession.
13 hours ago
RT @IllinoisLeague: Mike Daugherty, CEO, Community Plus FCU: I'd like to you to reconsider your repeated 'No's' #listeningsession #fixRBC h…
15 hours ago
CU says definition of complex CU needs to be reviewed, and not just based on asset size. NCUA: We are looking at that. #listeningsession
15 hours ago
NCUA says lots of resources go 2 examiner training,but there's much turnover.Invites ideas on how to improve exam training.#listeningsession
15 hours ago
CU tells NCUA that more benefit could be gained by better examiner training than imposing this "unnecessary" RBC system at #listeningsession
15 hours ago