Information from KeyPoint President/CEO regarding the recent conservatorship of two corporate credit unions.
Dear Credit Union Member:
As you may have read, on Friday March 20, 2009, the National Credit Union Administration (NCUA) Board took control of U.S. Central FCU and Western Corporate FCU (WesCorp) and placed them into conservatorship. Both of these organizations are corporate credit unions that do not serve individual members. They serve other credit unions by providing certain investment options, liquidity sources and other back-office services such as check processing. Corporate credit unions are known as "Credit Unions for Credit Unions."
The NCUA has reassured the Industry that their actions will not affect the operations of these two corporate credit unions and that their service to KeyPoint and other credit unions that use them will continue uninterrupted. This action by the NCUA in no way affects your KeyPoint accounts or our ability to continue to meet your day to day financial service needs.
We assure you that these NCUA actions have nothing at all to do with your deposits at KeyPoint. Rest assured that your funds on deposit continue to be insured by the National Credit Union Share Insurance Fund (NCUSIF) and continue to be backed by the full faith and credit of the United States Government, up to at least $250,000 for individual accounts. Higher levels of insurance are available based on account ownership. Also, certain retirement accounts, such as IRAs, are insured separately up to $250,000.
As our country faces more tough times ahead, KeyPoint Credit Union is prepared to succeed, even in an impaired economy. Your Board of Directors and Management team continue to operate and make business decisions based on the best interest of our members.