Archive Links

Consumer Archive
CU System Archive
Market Archive
Products Archive
Washington Archive

News Now

Small Philly CDCU is shuttered
ALEXANDRIA, Va. (2/21/12)--A small Philadelphia-based community development credit union was liquidated over the weekend by the National Credit Union Administration (NCUA).  Another Philadelphia credit union, TruMark Financial, assumed the members and purchased the loans of the failed People for People Community Development CU.

People for People CDCU is the second federally insured credit union to be liquidated in 2012. The NCUA said it decided to liquidate the 1,600-member, $635,000-asset credit union after determining the credit union was insolvent and had no prospect for restoring viable operations on its own. The credit union served a 14-mile section of North Philadelphia considered to be underserved by financial services.

The Pennsylvania Department of Banking concurred with the decision to liquidate People for People CDCU and with TruMark's purchase and assumption,  the NCUA said.

People for People CDCU was taken under NCUA conservatorship earlier this year, and the agency last fall issued a cease and desist order to People for People ordering the credit union to complete a financial statement audit, charge off uncollectible loans, properly fund its Allowance for Loan and Lease Losses, collect on delinquent loans guaranteed by a third party, reconcile general ledger accounts monthly, and establish and maintain a Bank Secrecy Act compliance program.

TruMark Financial has $1.35 billion in assets and has 96,134 members.  Accounts of the new TruMark Financial CU members are fully insured  and the new members will experience no interruption in services.

RSS print
News Now LiveWire
@AdamMertzCUNA @CUNACraig @AnnHPeterson @CUEscan @cumagazine
4 hours ago
.@TheNCUA :Low-income CUs can expand services to members, train staff,collaborate for efficiencies w/more than $1M in grants awarded 2day
14 hours ago
.@CUNA joins 11 other financial service orgs urging @SenateFloor to take up #CISA to strengthen cybersecurity information sharing
15 hours ago
.@RedwoodCU and its staff donated a combined $5,100 toward AIDS Walk San Francisco. The CU is a longtime sponsor of the event.
15 hours ago
See the latest from @CUNA's CompBlog on Customer Due Diligence.
15 hours ago