Posted on 03/20/2009 6:09:11 PM PDT by Jet Jaguar
Regulators take over 2 wholesale credit unions based in Kansas, California
Federal regulators on Friday seized control of two large institutions that provide wholesale financing for U.S. credit unions, a move they say was needed to stabilize the credit union system.
The National Credit Union Administration said it has taken over and put into conservatorship the two corporate credit unions, U.S. Central Federal Credit Union, based in Lenexa, Kan., and Western Corporate Federal Credit Union, in San Dimas, Calif.
A conservatorship enables the government to operate a financial institution. Corporate credit unions provide financing and investment services to retail credit unions. Some of the 28 corporate credit unions in the U.S. have sustained steep losses on paper from the depressed value of the mortgage-linked securities they hold.
The financial services provided by the two corporate credit unions "will continue uninterrupted" and there will be no direct impact on the 90 million members of retail credit unions nationwide, the NCUA said in a news release.
(Excerpt) Read more at finance.yahoo.com ...
We have all our stuff in OCTFCU
No NCUA deposit insurance payout necessary for either, unlike the FDIC in Georgia.
For that I’m relieved, having much of my personal cash on hand, outside of a few month’s living expenses in literal cash concealed in a fireproof box, with a credit union.
I went and checked it’s “Safe And Sound” rating on bankrate.com, four stars overall, strong. Whew.
The fed is jumping on every financial institution they can. This is them cornering the financials of this country. Folks I would be willing to bet this economies are not as bad as these gub’mits are trying to make them out to be. This looks more like an invasion than a rescue.
Mark-to-market fall-out.
BIS (Bank of International Settlements) plans for a world currency are proceeding according to schedule.
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