A California credit union has become the latest casualty of the meltdown in the housing markets.
The National Credit Union Administration announced Friday that it has taken over the $390 million-asset Cal State 9 Credit Union in Concord, which has suffered from a wave of defaults on its mortgage loans.
The 59-year-old state-chartered credit union will remain in operation while the NCUA tries to find a buyer for it.
Carol Chesbrough, California's interim commissioner of financial institutions, said in a press release Friday that Cal State 9 "had impaired capital and had become insolvent."
According to a story in Sunday's San Francisco Chronicle, in documents filed with state regulators the credit union reported loan losses of $54.5 million for the quarter that ended Sept. 30, more than triple its losses in the previous quarter.
Cal State 9 was chartered to serve University of California employees, but in recent years has expanded its field of membership to included people who live or work in one of five northern California counties. It has more than 29,000 members, according to the California Department of Financial Institutions.
