ALEXANDRIA, Va.–NCUA has posted updated information to assist credit unions in calculating their share of the $736-million payout being distributed by the National Credit Union Share Insurance Fund this year.
In a Frequently Asked Questions document published on its website, NCUA said it has computed a preliminary pro rata factor of 0.00085897013052 per average insured share, although the agency said that is subject to change. “A credit union can estimate its pro rata share of the Share Insurance Fund equity distribution by calculating its average amount of insured shares as reported on quarterly call reports from March 31, 2009, to Dec. 31, 2017, and multiplying the result by 0.00085897013052,” according to the FAQ.
The payout follows a vote by the NCUA board at its meeting in September 2017 to close the Temporary Corporate Credit Union Stabilization Fund and merge its assets into the NCUSIF. While the board also voted to raise the Normal Operating Level of the NCUSIF, sufficient funds remained from the fund initially set up to deal with losses from five corporate credit unions to allow for the $736-million distribution.
A copy of the NCUA FAQs with additional information can be found in CUToday.info’s The Gov here.