SAGINAW, Mich.–The $22.3-million Valley State Credit Union, which was placed into conservatorship in August by this state’s regulator, is now under the control of NCUA.
The Director of the Michigan Department of Insurance and Financial Services appointed the federal agency to take over the CU.
The state regulator placed Valley State Credit Union into conservatorship on Aug. 17, 2016 because of unsafe and unsound practices at the credit union, according to NCUA. While continuing normal member services, NCUA said it will work to resolve issues affecting the credit union’s operations.
Chartered in 1955, Valley State Credit Union serves employees, members or retirees of the government of the state of Michigan who live or work in the Michigan counties of Arenac, Bay, Genesee, Huron, Midland, Saginaw, Sanilac or Tuscola; organizations that contract with agencies of the state of Michigan to provide janitorial services to those offices located in the above counties; Saginaw Valley State College, including employees, students and alumni; members of the immediate families of the foregoing; and any legal entity that is comprised for the most part of the same general group as the membership of the credit union.
Valley State has 2,925 members.