More of the costs left over from failed corporate credit unions will hit most existing credit unions in late September. The NCUA board approved assessing federally insured credit unions an additional 25 basis points of insured shares to help foot the bill for the Temporary Corporate Credit Union Stabilization Fund.
The agency created the fund to help defray the costs from the collapse of many corporate credit unions in the wake of the housing and credit crises and faces ongoing losses from bonds previously held by the corporates. The most recent shortfall is what compelled the assessment, the agency said.
The total assessment will be $1.96 billion, and agency staff said the primary payments the stabilization fund needs to make this year include $2 billion on notes that come due in October.
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