Shoring up the corporate credit unions could cost credit unions an assessment of between eight and 20 basis points a year-with an average of 14–over seven years, if Congress approves the NCUA's proposal for a stabilization fund, NCUA Deputy Executive Director Larry Fazio said today.
"Our goal is to keep the premium to a manageable level," he said during a conference call with reporters.
The agency has asked Congress to give the agency $6 billion in borrowing authority which it would use to set up a fund that would replenish the NCUSIF. Natural person credit unions would repay the fund over a seven-year period.
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