FCUs OK'd To Participate In County's Deposit Plan

Register now

Federal credit unions may participate in Allegheny (Pennsylvania) County's "BidAllegheny Program" under which the county accepts bids to deposit its funds in federally insured institutions, NCUA said in a new legal opinion letter. The FCU Act authorizes FCUs to accept public unit funds up to 20% of its total shares or $1.5 million, whichever is greater, the agency told the Allegheny County treasurer, who is contemplating broadening the program to include credit unions. The federal regulator would not express an opinion on whether state charters may participate, deferring to the state regulator on that question.

For reprint and licensing requests for this article, click here.
MORE FROM AMERICAN BANKER