Archive Links

Consumer Archive
CU System Archive
Market Archive
Products Archive
Washington Archive

News Now

CU System
California CUs flooded by former IndyMac clients
LOS ANGELES (7/18/08)--California credit unions have seen a flood of IndyMac customers after the troubled thrift was taken over by federal regulators last week, reports the San Gabriel Valley Tribune (7/18/08). E-Central CU and Wescom CU in Pasadena both told the newspaper that former IndyMac customers’ inquiries have focused on safety, security and deposit insurance. Wescom spokesman Joe Schaeffer said consumers seem to be looking for “some level of comfort and reassurance.” Many new members have parked their funds in money markets because it’s safe and liquid. Pasadena-based IndyMac Bancorp Inc., suffered a severe downward slide in recent months as a result of a meltdown in the nation's housing and mortgage markets. E-Central President/CEO Mike Theodore said he believed the mortgage lender's demise “was greed related.” “That's the difference between a for-profit company and a not-for-profit company," he told the newspaper, which pointed out that credit unions are non-profit institutions owned and operated entirely by their members. Meanwhile, other California newspapers reported the state’s more than 500 credit unions “remain safe and sound and continue to demonstrate positive growth.” California Credit Union League Analyst Daniel Penrod told the Fontana Herald News “while other financial institutions are experiencing financial difficulties and restricting services, California credit unions are well capitalized and in a great position to continue serving consumers." He reiterated that credit union deposits are insured by the “National Credit Union Administration, an agency of the federal government, up to $100,000 per account with additional coverage of up to $250,000 for certain retirement accounts, and also by private insurers,” said Penrod. “Not one cent of taxpayer funds has ever been used to bail out a credit union,” he said. Read the complete stories online using the resource links below.
Other Resources

RSS print
News Now LiveWire
Stay tuned for coverage of @CUNA's BSA conference which starts Sunday. #CUNABSA #CUNACompliance
1 hours ago
Today's the last day to complete @CUNA's Home Depot data breach survey http://t.co/UcB8G9bVXe #StoptheDataBreaches
2 hours ago
Brenda Davis of Cross Roads Ministries will walk through 83 communities during the Ending Hunger Walking tour. (2 of 2)
3 hours ago
The Ending Hunger Walking tour, coordinated by the Maine CU League, kicked off at Old Maine CU in Augusta today. (1 of 2)
3 hours ago
Darwin Brokke of Citizens Community CU represented the #CU Association of Dakotas at a housing summit hosted by @SenatorHeitkamp
3 hours ago