California Department of Financial Institutions Places Valley Credit Union into Conservatorship
(San Francisco, CA) The California Department of Financial Institutions (DFI) today announced that it had taken control of Valley Credit Union and appointed the National Credit Union Administration (NCUA) as conservator.
The NCUA will operate the credit union and continue to provide credit union services for its members. The NCUA also plans to explore opportunities to combine the credit union with another credit union through a merger or purchase. In the interim, NCUA's conservatorship will ensure safe and sound credit union operations.
Valley Credit Union is a state-chartered, NCUA-insured credit union based in San Jose. It was originally chartered in 1953 to serve telephone company employees. The Credit Union has three branch offices. Valley Credit Union has total assets of nearly $244 million and over 26,000 members.
Member funds are federally insured up to at least $100,000 per account by the National Credit Union Share Insurance Fund (NCUSIF).
The NCUA will announce their acceptance as conservator of Valley Credit Union in a press release, which will be available on their Web site at www.ncua.gov.
DFI supervises over 700 state financial institutions. Maintaining the integrity of financial services remains the primary mission of the Department. The DFI is responsible for administering state laws regulating state-licensed financial institutions: banks, credit unions, industrial banks, trust companies, offices of foreign banks, issuers of travelers' checks and payment instruments (money orders), and money transmitters. In addition to posting information about licensees, the DFI Web site features consumer tips on a variety of financial topics. DFI reports to Business, Transportation & Housing Agency Secretary Dale E. Bonner and Gov. Arnold Schwarzenegger.