Credit unions

TALLAHASSEE, Fla.-Southeast Corporate said its members are saving when sending International Foreign Currency (FX) wires rather than International U.S. Dollar (USD) wires, as are wire beneficiaries.

NASHVILLE, Tenn.-Volunteer Corporate CU has formed a partnership with Sallie Mae to offer the Smart Option Student Loan program to member CUs.

LOS ANGELES-CheckAlt Payment Solutions currently has more than 100 credit union clients, and it believes the shakeout in the corporate CU network will open the door for many more to follow.

DES MOINES, Iowa-The credit union community has now had more than a month to digest NCUA's conservatorship of three more corporate CUs, the agency's legacy asset disposal plan, and its new rules for corporates moving forward.

ONTARIO, Calif.-The new president of the California and Nevada CU Leagues sees payment processing and not becoming dependent upon banks again as the key issues as the corporate CU market takes shape.

NASHVILLE-Early discussions of how the corporate CU market will evolve are initially focusing on the future of payments, with some forecasting regional corporates combining to offer such services, or new CUSOs being formed to take on the task.

TALLAHASSEE, Fla.-There won't be a rush to gobble up the remains or marketshare of failed corporate CUs by other corporates until 2011 or later, according to sources who spoke with Credit Union Journal. And that's if there's any rush at all.

RANCHO CUCAMONGA, Calif.-For Stan Hollen, a key issue needing an answer as the corporate credit union market evolves is liquidity.

DES MOINES-The Iowa Corporate CU, the nation's smallest corporate credit union, last week signed a preliminary agreement with the National Cooperative Bank that will allow its 140 credit union members to join the cooperative bank and access its correspondent services as the corporate winds down its business.

WALL STREET – NCUA will continue the liquidation of U.S. Central FCU and WesCorp FCU next week with the sale of $2.82 billion worth of ten-year Guaranteed Noted comprised of cash-flows from commercial mortgage-backed securities held by the two corporate failures.

DES MOINES – The Iowa Corporate CU, the nation’s smallest corporate credit union, has signed a preliminary agreement with the National Cooperative Bank that will allow its 140 credit union members to join the cooperative bank and access its correspondent services as the corporate winds down its business.

WALL STREET – NCUA, which is in the process of liquidating U.S. Central FCU and WesCorp FCU, is expected to launch a second sale of legacy assets bonds, known as NCUA Guaranteed Notes, in the coming days.

WASHINGTON – CUNA disputed that its numerous ties with U.S. Central FCU amounted to control of the board of the one-time central bank for credit unions, which was liquidated Oct. 1.

WALL STREET – Pent-up demand for new issuance made for strong investor demand for the newly issued NCUA Guaranteed Notes, a blend of $3.8 billion of bonds secured by the assets of U.S. Central FCU.

WASHINGTON – NAFCU said yesterday it was unsatisfied with a 28-page report detailing the failure of U.S. Central FCU and demanded a complete accounting of why the one-time $52 billion corporate failed, costing credit unions as much as $7 billion.

ALEXANDRIA, Va. – A new report on the failure of U.S. Central FCU concludes that NCUA examiners failed to adequately monitor the financials of the one-time $52 billion corporate credit union as it piled up increasing concentrations of risky private-label subprime mortgage-backed securities and so-called Alt-A paper.

BIRMINGHAM, Ala. – Corporate America CU, which is suing officers and directors of U.S. Central FCU over an ill-fated 2008 conversion of corporate capital that was wiped out soon after, has subpoenaed the records of U.S. Central’s auditor, BDO Seidman.

Traders last week were anxiously awaiting the first offering of NCUA Guaranteed Notes.

In a move unthinkable just two years ago, NCUA began a fire sale this week of corporate credit union assets, realizing billions of dollars in losses.

ATLANTA — NCUA Board Member Gigi Hyland is imploring credit unions to comment on several proposed amendments to its new corporate rule, which will be issued next month.