Virginia’s Chartway FCU Picks Up Another Utah Failure

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ST. GEORGE, Utah. – NCUA last night liquidated another credit union failure, the one-time $175 million Southwest Community FCU here, and assigned it to Chartway FCU, the Virginia Beach-based credit union giant that has been expanding its footprint across the country.

Southwest Community is the second Utah-based credit union failure acquired by the $1.6 billion credit union, following last fall’s acquisition of HeritageWest FCU, the one-time $320 million Tooele, Utah, institution.

Southwest Community reported losses of $5.1 million for 2008 and $6.6 million for 2009 and a loss of $700,000 for the first quarter of 2010, as net worth declined to just 3.2%.

Chartway has 55 branches in Arkansas, Florida, Georgia, New Jersey, North Carolina, Ohio, Rhode Island, Texas, Utah, and Virginia.

Southwest Community is the 16th credit union failure so far this year.

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