How Safe Is Your Money?

With all the news about failed banks, many people are asking…. "How safe is my money? Members of LA Financial Federal Credit Union need not worry.

• LA Financial’s mortgage portfolio is only a small portion of total assets.
• LA Financial practices very conservative mortgage underwriting standards.
• Best of all, deposits at LA Financial are insured by the National Credit Union Share Insurance Fund (NCUSIF), an arm of National Credit Union Administration (NCUA).
• Not one penny of insured savings has ever been lost by a member of a federally insured credit union.

Your share insurance is similar to the deposit insurance protection offered by the Federal Deposit Insurance Corporation (FDIC). The NCUSIF is backed by the full faith and credit of the United States government. Most properly established savings accounts in federally insured credit unions are insured up to the Standard Maximum Share Insurance Amount (SMSIA), which is $100,000. The insurance coverage on certain retirement accounts, such as IRAs and Keoghs is up to $250,000. Generally, if a credit union member has more than one account in the same credit union, those accounts are added together and insured in the aggregate. There are exceptions, though. You may obtain additional separate coverage on multiple accounts, but only if you have different ownership interests or rights in different types of accounts and you properly complete account forms and applications.

For more information, view the NCUA Share Insurance Estimator (an educational resource about share insurance) for a detailed explanation of insurance coverage.