Health Savings Accounts Examined
ALEXANDRIA, Va.-The NCUA board has put out for comment a plan that would give federal credit unions the authority to act as a trustee or custodian for Health Savings Accounts. The accounts are designed to allow people who have a qualifying, high deductible health plan to save money tax-free that is to be used for health-related expenses. The recently enacted Medicare, prescription Drug, Improvement and Modernization Act The proposed rule would also make a conforming amendment to NCUA's incidental powers regulation to include trustee or custodial services for HSAs as a preapproved activity. Credit unions have 30 days to provide comment.
For info: www.ncua.gov
CUs Partner On Low-Income Grants
SAN FRANCISCO-Six credit unions will divide $750,000 in funding from the Federal Home Loan Bank of San Francisco, as part of $5.5 million in matching grants being distributed to help lower-income residents become homeowners in Arizona, California, Nevada, and Texas.
Under the program, financial institutions provide up to $15,000 per household, matching up to $3 for every dollar contributed by the homeowner toward the purchase of the home. In some cases, borrowers must be enrolled in a Family Self-Sufficiency (FSS) program or an Individual Development Account (IDA) program through a nonprofit organization
Among the CUs receiving funds were Travis FCU ($195,000); SAFE Credit Union ($120,000) and Santa Cruz Community Credit Union ($135,000).
TCU Expands; New Name In Tex.
BROOKLYN HEIGHTS, Ohio-The Telephone Credit Union, Inc. has been approved for a charter expansion to include everyone who lives, works, worships or attends school in the Ohio cities of Brecksville, Independence, Seven Hills, Broadview Heights, Garfield Heights, Valley View, Cuyahoga Heights, Newburgh Heights, Brooklyn Heights, Parma, Parma Heights and North Royalton. TCU has 18,000 members and 100 SEGs.
Meanwhile, in Dallas, the $450-million Vought Heritage Community Credit Union has changed it's name to Texas Trust Credit Union. The credit union, which serves 65,000 members, said it was making the name change to better position itself to serve a "growing and diverse membership."
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