Oct. 28, 2013 – Insured credit unions will be assessed no share insurance premium for 2013, NCUA Chief Financial Officer Mary Ann Woodson said during last week's open agency board meeting.
Woodson, reporting on fund financials through Sept. 30, told the board the NCUSIF ended September at a ratio equal to 1.31 percent of insured shares, above the statutory minimum of 1.2 percent.
If the fund ends the year above that level, any excess would be transferred to the Temporary Corporate Credit Union Stabilization Fund.
Woodson, in Thursday's report, said the NCUSIF's year-to-date net
income was $110.3 million; a negative $25 million was budgeted this year.
The fund had negative $65.2 million in insurance loss expense through Sept. 30. This plus a $103.5 million charge for liquidations and assisted mergers reduced the reserve balance from $412.5 million in December 2012, to $243.8 million in September 2013.
NCUA budgeted $51 million in loss expenses to the NCUSIF through the first three quarters of 2013 for natural person credit unions.
There were 14 failures during the first three quarters of the year, costing the insurance fund $55.2 million. In 2012, there were 22 failures, which cost the fund $207 million.
There are fewer code 4 or 5 credit unions. As of Sept. 30, the number of problem credit unions with a CAMEL code of 4 or 5 was 317, compared to 369 at the end of 2012.
Woodson reported there were four CAMEL 4 or 5 credit unions with more than $1 billion in assets, which was the same as in December 2012. The total insured shares of credit unions with a CAMEL code of 4 or 5 were $13.7 billion, or 1.58 percent of total insured shares. These are down from the December ratio of 2.02 percent, but up slightly from the June figure of 1.54 percent.