NCUA Shutters Another Community Dev. CU

Register now

NCUA said it closed down Homesteaders FCU, another community development credit union, and merged the insolvent institution into nearby Lower East Side People's FCU.

It is the second CDCU to be absorbed this year by Lower East Side People's FCU, which acquired the failed Henry Street Settlement FCU in January. It is also the latest in a growing list of dying CDCUs, which includes recent failures of D. Edward Wells FCU, Midwood FCU, Kor-Am FCU, Hacienda Community CU and Randolph County FCU.

Separately, NCUA said it also closed down tiny Jilapuhn FCU, an East Point, Ga.-based credit union with just 200 members and less than $150,000 in assets.

Credit Union Journal Washington Bureau Chief Ed Roberts can be reached at eroberts cujournal.com.

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