How Much Insurance Coverage is Provided by NCUA?

NCUA insures share deposits up to at least $100,000. That is the amount of insurance that one member gets when they are the only listed owner of an account. For joint accounts the amount of insurance is $200,000. For Individual Retirement Accounts the amount of insurance increases to $250,000. So a typical husband and wife can have $200,000 either individually or jointly, then they can also have $250,000 each in their own respective retirement accounts for a total insured amount of $700,000!

How is NCUA's coverage different from that of FDIC?

There is very little difference between NCUA and FDIC insurance coverages. FDIC insures bank deposit while NCUA insures all federal credit unions and most state chartered credit unions. Piedmont Credit Union is one of the many state chartered credit union insured by NCUA.

What are the chances that I will have to use my NCUA Share Deposit Insurance?

Our credit union is in very good financial shape at this time. Our shares have been growing steadily this year. We still offer good rates for savings and certificates. In fact we’ve paid 12% more in dividends to members this year than last. The credit union is well capitalized. All of the credit union’s investments are in federally insured accounts. We are not permitted to make risky investments with the money our members have on deposit with us. We also are not permitted to invest in the stock market. Loans have also grown steadily from what they were last year.  Our charged off loans have remained about the same as they always have. The credit union has stayed completely out of the sub-prime mortgage lending scenario. The credit union’s net income has been very strong this year which should ensure that we can weather an even worse downturn in the financial world than there is today. It is simply inconceivable that Piedmont Credit Union would fail in the foreseeable future.

Here is a video from Dan Mica, the President of the Credit Union National Association. He talks about the safety and soundness of America's credit unions. He goes over NCUA insurance coverage. He speaks of how, by staying out of sub-prime lending, credit unions have not contributed to the financial troubles of today. Credit unions and Piedmont Credit Union in particular, really are one of the safest places for your money.