ALEXANDRIA, Va. - NCUA told corporate credit unions last week it will continue to keep the ACH APEX processing at U.S. Central FCU going until Dec. 31, but plans to raise prices for the processing by 80% July 1 in order to encourage corporates to find new ACH providers by then.
"NCUA remains committed to minimizing disruption of services to credit unions and their members," said Scott Hunt, director of NCUA's Office of Corporate CUs, in a letter. "At the same time, it must balance the costs to the Corporate Stabilization Fund. Maintaining the U.S. Central Bridge operations increases costs borne by the CSF, and in turn to all federally insured credit unions."
NCUA will be monitoring each corporate's plans to transition away from the U.S. Central APEX platform and will be requiring each corporate to develop a timeline for their transition. The plan must be submitted to the NCUA Corporate office by Feb. 24.
The ACH processing operations are the only substantive business remaining at U.S. Central after NCUA awarded the electronic bill payment services for the one-time $52 billion corporate to CO-OP Financial Services.
