Yes! Your money is safe at your credit union
CU funds federally insured
Albuquerque NM – New Mexico credit unions, which count over 615,000 members and hold nearly 17 percent of our state’s financial market share, are going largely unmentioned in the adverse financial headlines for a reason.
Historically, credit unions operate more conservatively and tend to hold more of their mortgage loans (about 70 percent nationally) in portfolio rather than sell them to Fannie Mae and Freddie Mac on the secondary market. And credit unions, as member-owned, not-for-profit cooperatives, are not out seeking ways to shore up lost profits by adding fees or pushing products that aren’t in the best interests of members.
“We want consumers to know that credit union accounts are federally insured through the National Credit Union Share Insurance Fund (the credit union equivalent to FDIC, administered through the National Credit Union Administration) to at least $100,000. In New Mexico, 100 percent of credit unions are insured under this program,” said Sylvia Lyon, president and CEO of the Credit Union Association of New Mexico.
The very existence of the credit union movement can be directly tied to another definitive economic situation – the Great Depression. People wanted to have a stake in their financial institution and the cooperative structure of credit unions (where every member has ownership and a vote) was born. Today we are seeing many people coming to credit unions to find a way to refinance non-traditional mortgages and put their money in a stable source offering good rates. Savings at credit unions have actually grown nearly 7 percent this year.
For information on NCUA Share Insurance, visit: the NCUA Web site.
Facts about credit union deposits
AmericasCUssecurestrongfed.pdf