Archive Links

Consumer Archive
CU System Archive
Market Archive
Products Archive
Washington Archive

News Now

Washington
NCUA reports positive CLF growth trends
ALEXANDRIA, Va. (4/14/14)--The National Credit Union Administration's Central Liquidity Facility (CLF) performed well during the first quarter of this year, the agency announced Friday.
 
The CLF's stock dividend rate increased to 0.25%, its assets reached $180 million, up from $115 million at the end of the first quarter of 2013, and its retained earnings hit $27.8 million, up from $27.4 million at the same time last year.
 
CLF membership grew to 218 credit unions, up from 129 at the end of the first quarter of 2013.
 
The CLF, created by Congress in 1998, serves as a lender of last resort for credit unions to meet short- or long-term liquidity needs, much as the Federal Reserve System does for banks. Credit unions are also allowed access to the Fed discount window.
 
The NCUA also reported that the maximum legal borrowing authority of the CLF grew to $3.8 billion, up from $2.4 billion at the end of the first quarter of 2013.
 
The NCUA called the 0.25% stock dividend rate for the CLF is a "significant change" from the 0.10% rate paid quarterly since the fourth quarter of 2012.  The agency added that CLF management expects moderate growth in both membership and portfolio earnings during 2014, with a strong likelihood the 0.25% rate will continue.
 
"The CLF's steady growth in membership and assets has enabled it to expand its earnings base and borrowing capacity, increase retained earnings and pay the higher dividend rate," the NCUA noted in a release.

As of March 31, credit unions with assets of $250 million or more are required to have access to either the CLF or the Fed's discount window for an emergency source of liquidity.


RSS print
News Now LiveWire
The @CFPB has launched a nationwide effort to provide financial education. http://t.co/sF3FXHpv3k
21 minutes ago
See @CUNA's @SchenkMike on TheStreet discussing a new surge consumer confidence http://t.co/SqjarTBLCQ
51 minutes ago
.@CFPB pushes back cmmt deadline on proposal to allow consumer narratives in complaints database--now 9/22, was 8/22. http://t.co/mHLlRVjEij
1 hours ago
@FHFA will hold 8/14 outreach in Atlanta for homeowners who still could benefit from the HARP refinance program. More in #NewsNow Thurs.
1 hours ago
Access to Affordable Mortgages Act passed by Hse Fin Serv. 31-23.CUNA says bill gives CUs reg relief & incr. access to mortg credit.
2 hours ago