County and Municipal Employees Credit Union in Edinburg, Texas, has been liquidated by the Texas Credit Union Department.
The National Credit Union Administration was named the liquidating agent for the $40 million-asset credit union. County and Municipal Employees had more than 7,000 members, about $26 million in loans, with roughly $21 million concentrated in auto lending.
The Credit Union had lost more than $3.4 million this year after losing about $600,000 in 2013.
This is the ninth federally insured credit union liquidation of 2014.
County and Municipal Employees had more than $5.5 million in delinquencies, along with $2.2 million in chargeoffs, and a net worth of $343,778. It was listed as "minimally capitalized," with a net worth ratio of 0.85%.
The Texas Credit Union Department decided to liquidate County and Municipal after determining that the credit union was insolvent with no prospect of restoring viable operations on its own, the NCUA said in a press release Friday.
Members, assets, shares and selected loans were assumed by the $2.1 billion-asset Navy Army Community Credit Union of Corpus Christi, Texas, with the NCUA guaranteeing accounts, interest, and IRA and KEOGH retirement accounts up to $250,000.