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From the Editors of CU Weekly
NCUA APPROVES CORPORATE ASSESSMENT
07/25/13 12:32 PM
Lower Than 2012 Assessment
A Temporary Corporate Credit Union Stabilization Fund assessment of eight basis points has been approved by the National Credit Union Administration (NCUA) board for federally insured credit unions, which will bring in more than $700 million in October, the agency announced.
The 2013 assessment is 1.5 basis points lower than the 2012 assessment.
It's also "at the lowest end of the projected range of 8 to 11 basis points announced for budgeting purposes at the November 15, 2012, open board meeting," the NCUA stated in a news release. "This lower assessment reflects the strong performance of the legacy assets, success in securing legal settlements, and a steadily improving economy."
NCUA will use the funds to repay at least $650 million in stabilization fund borrowings from the Treasury Department in November and "maintain an adequate cash reserve."
Click here to read NCUA's update on the corporate assessment, and other items from its latest open board meeting.