NCUA Board to Consider Share Insurance Fund Distributions on Feb. 15

NCUA Board to Consider Share Insurance Fund Distributions on Feb. 15
February 9, 2018 Marketing GrafWebCUSO

The NCUA board will discuss Share Insurance Fund equity distributions when it meets on Feb. 15.

Last year, the board approved the merger of the Share Insurance Fund with its Corporate Stabilization Fund.

At the time, board Chairman J. Mark McWatters said that the merger was likely to result in an initial Share Insurance Fund distribution to federally insured credit unions of between $600 and $800 million. The stabilization fund had been scheduled to close in 2021.

Credit union trade groups were divided over the merger.

“NCUA’s decision to close the stabilization fund and start issuing refunds was a victory for credit unions and we look forward to hearing the board’s thoughts during next week’s meeting,” said CUNA President/CEO Jim Nussle. “CUNA was the only national trade association advocating for refunds to begin in 2018, and more than 90% of credit unions who commented on NCUA’s proposal supported our position.”

NAFCU officials, on the other hand, had said that additional research was needed before the merger took place.