Federally insured credit unions that filed quarterly call reports with the National Credit Union Administration (NCUA) for at least one reporting period in 2017 will share in a pro rata distribution this year from the National Credit Union Share Insurance Fund (NCUSIF). An aggregate distribution of $735.7 million was approved by the NCUA Board today and is slated for the third quarter.
Distributions will be made to:
- active federally insured credit unions as of Dec. 31, 2017;
- newly chartered federally insured credit unions that filed at least one call report for a reporting period in 2017;
- financial institutions that converted to federal share insurance during 2017, provided they filed at least one call report as a federally insured credit union for a reporting period in 2017;
- credit unions that converted to private insurance, provided they filed at least one call report as a federally insured credit union for a reporting period in 2017; and
- liquidation estates, provided the liquidated credit unions filed at least one call report as federally insured credit unions for a reporting period in 2017.
Regarding the 2017 distribution made possible by the closure of the Temporary Corporate Credit Union Stabilization Fund (TCCUSF), credit unions that discontinued federal share insurance in 2017 and did not file at least one quarterly call report with the NCUA for that year will not receive a distribution, according to the final rule.
The final rule retains the NCUA Board’s current policy of issuing distributions to federally insured credit unions and some other non-credit union financial institutions that leave the NCUSIF through conversion, merger or liquidation, provided they have filed a quarterly call report as a federally insured credit union for at least one reporting period in calendar year 2017.
Today’s final rule will take effect 30 days after its publication in the Federal Register. NCUA published a list of frequently asked questions about the distribution formula.