NCUA Share Insurance Information

UPDATE - NCUA's Share Insurance Has Increased
The Emergency Economic Stabilization Act of 2008 that was passed on Friday requires the National Credit Union Administration (NCUA) to immediately increase its share insurance protection from $100,000 to $250,000 on all types of accounts until December 31, 2009.

This means that your SONEPCO accounts are collectively insured for up to $250,000, and your IRA account is also insured separately for $250,000.

Your Money is Safe with SONEPCO.

Your deposits are insured by the National Credit Union Share Insurance Fund (NCUSIF), which is managed by the National Credit Union Administration (NCUA).
SONEPCO is also insured by Excess Share Insurance (ESI) for an extra $250,000 as added security for our members' assets.

Not a cent of insured savings has ever been lost by a member of a federally insured credit union.

How the NCUA Protects You
Share Insurance Coverage Amounts
NCUA Insurance Estimator
About the NCUA
How the NCUA Is Funded
Excess Share Insurance

How the NCUA Protects You

High Operational Standards – Every credit union insured by the NCUSIF must meet high operational standards of safety and soundness. Federal and state examiners inspect credit unions regularly to ensure they are in satisfactory condition.
Financial Assistance - If a credit union encounters a temporary financial setback, the NCUA Board, through the NCUSIF, will authorize financial assistance to help it regulate the situation.
Merger - If a credit union is unable to overcome its difficulty, the NCUA may authorize a merger with another credit union. The merger will include protection from loss for the continuing credit union. Members of the merging credit union will receive full membership rights to all the financial services provided by the continuing credit union upon the effective date of the merger.
Liquidation – The liquidation of a credit union is the last resort. In the event that it does occur, checks for each member’s insured shares (less any amounts due on outstanding loans) will be mailed to the member’s last known address, according to the credit union’s records. These checks are usually mailed within days of the credit union being placed into liquidation.

Share Insurance Coverage Amounts

The Standard Maximum Share Insurance Amount has recently been increased to $250,000. Certain retirement accounts, such as IRAs and Keoghs, are covered separately up to $250,000. If you have more than one account in the same credit union, the accounts are added together and insured collectively.
Separate coverage for multiple accounts can be obtained only if you have different ownership interests or rights in the different accounts. Be sure to properly complete account forms and applications, as well.

A regular share account and an IRA in the same name would be separately insured.
A regular share account, a share certificate and a share draft account in the same name would be grouped together and only insured for $250,000 collectively.
A single ownership account would be insured separately from a joint account.
Share accounts in two or more different insured credit unions have coverage up to the full insurable amount in each credit union. If a credit union has more than one branch, the branches are not considered separate credit unions.
Investment products, such as mutual funds, annuities and other non-deposit investments are not insured by the NCUSIF.

NCUA Insurance Estimator

If you are uncertain about how much of your money is insured, you can use the NCUA Insurance Estimator on the NCUA Web site to get an estimate of your share insurance.

About the NCUA

The National Credit Union Administration (NCUA) is an independent agency of the United States Government, which regulates, charters and insures the nation’s federal credit unions. Since 1970, the NCUA has insured the shares in credit unions through the National Credit Union Share Insurance Fund (NCUSIF), backed by the full faith and credit of the United States Government. The share insurance provided by the NCUSIF is similar to the deposit insurance protection offered by the Federal Deposit Insurance Corporation (FDIC).

To find out more information about the NCUA, visit their Web site at www.ncua.gov.

How the NCUA Is Funded

Rather than you paying directly for your share insurance protection, SONEPCO pays a deposit into the NCUSIF, based on the total amount of insured shares and deposits we hold.

Excess Share Insurance (ESI)

ESI is the nation's largest excess share insurance provider. SONEPCO is insured for an additional $250,000 through them, on top of what we are already insured for through the NCUA. This excess share (deposit) insurance helps protect your hard-earned savings and makes SONEPCO one of the most secure places to keep your assets.

To find out more about ESI, you can visit their Web site at www.excessshare.com.