ALEXANDRIA, Va. (4/25/14)--The National Credit Union Share Insurance Fund ended the first quarter of this year with an equity ratio of 1.30% and reserves at approximately $227.5 million, according to the National Credit Union Administration's quarterly update delivered during a Thursday open board meeting.
The NCUA did not assess a Share Insurance Fund premium in 2013, and if the current equity ratio holds steady, a premium would be unlikely this year. However, the NCUA said the board will make that determination for 2014 at its open meeting on July 31.
Of the $227.5 million in reserves, $19.3 million is allocated for specific credit unions. Six federally insured credit unions failed during the first quarter of 2014. The total amount of losses associated with those failures was $18.6 million. A total of 17 credit unions were liquidated in 2013.
The NCUA also reported that there are currently 306 low-rated CAMEL 4 and 5 credit unions. They hold approximately $11.9 billion of insured shares, which is about 1.4% of total insured shares. That 1.37% is a significant improvement since the peak in December 2009 when CAMEL 4 and 5 credit unions represented of 5.72% of insured shares.
The agency staff also noted that there are 1,471 CAMEL 3 credit unions, which represent 11.02% of insured shares, or $95.5 billion. Combined, insured shares in CAMEL 3, 4, and 5 credit unions represent approximately 12.39% of total insured shares, according to the agency report.