WASHINGTON – It’s not only corporate credit unions that are being affected directly by their investments in membership capital shares at U.S. Central, as CUNA, which is also a member of U.S. Central, said yesterday it charged-off 23% of its MCS, and will probably take additional charges in the future.
That decision will also affect CUNA affiliates, like the Defense CU Council, Credit Union House, LLC and the National CU Foundation, all of which held U.S. Central MCS through CUNA.
CUNA held a total of $940,986 worth of U.S. Central prior to Feb. 1. After which CUNA allocated $573,402 of the MCS to its affiliates; National Action and Response Program, Credit Union House, LLC, Defense Credit Union Council, Inc., and National Credit Union Foundation.
CUNA held two seats on the U.S. Central board that was disbanded after NCUA took the $34 billion corporate credit union under conservatorship on March 20.
