Archive Links

Consumer Archive
CU System Archive
Market Archive
Products Archive
Washington Archive
150x172_CUEffect.jpg
Contacts
LISA MCCUEVICE PRESIDENT OF COMMUNICATIONS
EDITOR-IN-CHIEF
MICHELLE WILLITSManaging Editor
RON JOOSSASSISTANT EDITOR
ALEX MCVEIGHSTAFF NEWSWRITER
TOM SAKASHSTAFF NEWSWRITER

News Now

Washington
New 2.9 billion brings CU SIP to almost 8 billion
ALEXANDRIA, Va. (2/16/09)--The National Credit Union Administration Friday announced it provided $2.9 billion this month to credit unions participating in the Credit Union System Investment Program (CU SIP), an NCUA initiative designed to add liquidity to the corporate credit union system. This follows the initial Jan. 9 issue when the NCUA’s Central Liquidity Facility (CLF) funded approximately $4.9 billion in advances under CU SIP. Under SIP, the CLF makes a secured, one year advance to the natural person credit union. The credit union must concurrently invest the amount of the advance in a fixed-rate, matched term, guaranteed note that is issued by the participating corporate. The SIP notes are guaranteed by the National Credit Union Share Insurance Fund. Corporate credit unions use the funds to retire borrowings from outside the credit union system. The CLF determines which corporates will issue the SIP notes to which credit unions. NCUA Chairman Michael Fryzel said in a release, “Stabilized liquidity is one of the cornerstones of NCUA’s approach to dealing with the difficulties in the corporate system, and I encourage credit unions to utilize this important tool as we move forward together.” The Credit Union National Association’s Corporate Credit Union Task Force has been investigating alternative funding approaches to reduce the costs to credit unions of funding the NCUA's corporate stabilization program. Included among them is a plan to seek modifications to the CU SIP program to make it more attractive to credit unions.


RSS





print
News Now LiveWire
Watching #SuperBowlXLIX this Sunday? Look for regional #creditunion #commercials @CltMetroCU @BECU @golden1cu #Seahawks #Patriots
19 hours ago
Philadelphia's American Bakery Workers FCU liquidated by @TheNCUA; @trumarkonline assumes shares
20 hours ago
More branch shutterings by @Citi: 4th-largest bank to close 10% of #Chicago area branches HT @CrainsChicago http://t.co/2vAvgucLY5
21 hours ago
56% struggle with subprime credit scores says @cfed survey HT @washingtonpost http://t.co/RHmMvuhNtw
21 hours ago
How to use social media for crisis communications Feb. 10 webinar from @SBAgov, @AgilityRecovery http://t.co/d16t8RHr7n
22 hours ago