NCUA Plans No NCUSIF Premium
ALEXANDRIA, Va. – Even as they were approving a $2 billion corporate assessment yesterday – the biggest charge in NCUA history – NCUA officials had some good news in that there are no plans to charge a premium this year on the National CU Share Insurance Fund.
NCUA on Monday said it does not expect to charge a premium for this year, as the fund’s reserve ratio remains stable. The agency projects the fund’s reserve ratio to remain between 1.26% and 1.28% (dollars reserved per $100 of insured deposits) by year end, which is within the agency’s desired range.
NCUA has charged NCUSIF premiums in each of the past two years totaling $2 billion, as credit union failures have run down the fund’s reserves.
The news preceded the NCUA Board’s approval of a third straight corporate assessment, this one the biggest yet at $2 billion, making the three-year total of $3.3 billion in corporate charges.
Over the past three years NCUA has assessed credit unions $5.3 billion in corporate and NCUSIF charges.