2 Banks – And 3 Corporate Credit Unions – Fail On Friday

On Friday, federal regulators closed two more banks - North County Bank of Arlington, WA, and Haven Trust Bank Florida of Ponte Vedra Beach, FL. Not to diminish that, but we were particularly interested in the fact that, on the same day, the National Credit Union Administration assumed control of three undercapitalized corporate credit unions that it found were “not viable.” These institutions were:

Members United Corporate Federal Credit Union of Warrenville, Illinois; Southwest Corporate Federal Credit Union of Plano, Texas; and Constitution Corporate Federal Credit Union of Wallingford, Connecticut. 

The failure of a corporate credit union is a relatively rare development – in 2009, U.S. Central Corporate Federal Credit Union of Lenexa, Kansas, and Western Corporate Federal Credit Union of San Dimas, California, were also placed into conservatorship.