NCUA Merges Conserved Richmond City Employees FCU Into Kemba CU
The NCUA says the consolidation was in the best interests of RCEFCU members.
The conserved $6.9 million Richmond City Employees Federal Credit Union in Richmond, Ind., was merged into the $1.6 billion Kemba Credit Union in West Chester, Ohio on April 1, the NCUA said on Monday.
RCEFCU, which served 788 members, was conserved in December because of unsafe and unsound practices not specified by the federal agency.
At the end of last year, RCEFCU posted a net income loss of $535,893, compared to a $77,862 net income gain in December 2021, according to NCUA financial performance reports.
The Indiana credit union finished 2022 with a net worth of 2.03%.
“The NCUA worked to address issues affecting the credit union’s safety and soundness and determined that merging Richmond City Employees Federal Credit Union into Kemba Credit Union was in the best interests of the members,” the federal agency said in a prepared statement.
The NCUA said RCEFCU’s sole branch will remain open. It is Kemba’s second Indiana branch – the credit union also operates a branch in Bluffton, Ind.
As Ohio’s fourth largest credit union, Kemba runs 10 branches throughout Cincinnati’s metro area and one branch in Florence, Ky., and serves more than 125,000 members.