MEMPHIS, Tenn.– The third federal charter of 2024 has been granted by NCUA.
The agency has granted its newest charter to Fair Break Federal Credit Union. The new FBFCU is a low-income-designated credit union primarily serving people who live, work, worship, or attend school in a market that includes portions of three states: Memphis, Tenn.; Clarksdale, Miss., and Forrest City, Arkansas.
The field of membership also includes those participating in programs to alleviate poverty or distress within the community.
Product Offerings
According to NCUA, the credit union plans to offer members basic savings and lending services, including:
- Share accounts
- Share draft accounts
- Online banking
- Auto loans
- Personal loans
- Credit builder and payday alternative loans
Fair Break FCU is the second CU to receive a charter in 2024 under NCUA’s provisional charter pilot initiative.
What Provisional Charter Does
As the agency noted, the provisional charter pilot is one of several recent measures the NCUA has taken to modernize and improve credit union chartering.
“This pilot allows a credit union’s organizers to obtain a federal credit union charter and provides them 12 months to obtain the capital necessary to begin operations,” NCUA said. “A charter under the provisional pilot initiative does not authorize a credit union to accept member deposits or originate loans until the credit union obtains its targeted level of donated capital.”
Also granted charters to date in 2024 have been Tribe FCU in Minneapolis and New Jersey State PBA FCU in Woodbridge, N.J.