ALEXANDRIA, Va. – NCUA last night liquidated BCT FCU, a one-time $50-million credit union it took under conservatorship in October, and sold the remnants of the latest credit union failure to Visions FCU in nearby Endicott, N.Y.
The deal comes as Visions, a $2.7-billion, former IBM employees credit union, is in the process of absorbing Paragon FCU, a troubled $410-million credit union in Montvale, N.J.
NCUA said it made the decision to liquidate and discontinue operations of BCT, which recorded a $9.6 million loss for the first three quarters and negative net worth, after determining the credit union was insolvent and has no prospect for restoring viable operations on its own. At the time of liquidation and subsequent purchase by Visions Federal Credit Union, the former credit union served approximately 3,900 members and had deposits of approximately $41.3 million.
Chartered in 1941, BCT Federal Credit Union served employees of public, private and parochial schools throughout Broome County, N.Y., and other similar groups from surrounding counties and towns in New York and Pennsylvania, as well as various select employee groups.
BCT is the 13th federally insured credit union failure in 2011.
