I have absolutely no expectation that NCFU or any other credit union is going to fold.
FDIC did estimate that 100 to 200 BANKS could fail in the next 24 months. The are looking to rehire emloyess that were involved in the S&L meltdown.
Doesn’t mean it will happen.
Having account insurance coverage costs the borrower nothing, not a penny.
The entire economy is built on debt and the expectation that people will pay their debts.
People who deal with NCFU or any other CU aren’t immune from not being able to pay their loans/debts.
According to your statement, they should just say
“Hey, we’re strong, don’t worry, you don’t need any insurance coverage”
At one time, Enron and Bear Stearns had flashy mission statements too, and Artur Anderson and KPMG were respected firms that were independant auditors.
Several rogue employees of ANY institution, esp financial, can bring them to their knees, it’s happened before and will happen again.
Do a search for Nick Leeson & Barings Bank. One guy brought down a 200+ year old investment bank.
In the S&L crunch, more than 1,000 S&Ls failed, and the govt bailout was an estimated $150 billion.
11 days ago, the most recent US bank failed, with $1.8 billion in deposited funds. ANB Financial had about $39.2 million in 647 deposit accounts that EXCEEDED the federal deposit insurance limit.
These customers will have immediate access to their insured deposits, and will become creditors of the receivership for the amount of their uninsured funds.
These are just facts. If you want to have uninsured deposits, that is your choice.
