NCUA Insurance: What You Need to Know

Perhaps you’ve heard of the Federal Deposit Insurance Corporation (FDIC), which provides account insurance for bank customers. Credit union members are eligible for the same account coverage through the National Credit Union Association (NCUA). And members who understand how NCUA insurance safeguards their money can rest easy—even when headlines scream about a bank or credit union failure.

Here are the answers to some fundamental questions about NCUA insurance—and how this financial “seatbelt” can protect you in case of a smashup.

什么是NCUA?

The NCUA is a government agency that provides oversight for federally insured and most state-chartered credit unions. The agency’s role includes managing the National Credit Union 分享 Insurance Fund (NCUSIF), which guarantees against loss for up to $250,000 deposited into certain credit union accounts. The NCUA does not compete with the FDIC as the same protections exist regardless of which type of financial institution you choose for depositing funds.

How Does the NCUA Safeguard Your Deposits?

The NCUA insures your credit union deposits. That means if your credit union fails, the NCUA will step in to ensure you can access the money you’ve deposited into NCUA-insured accounts. The agency works to make sure members receive their funds within five days of the credit union’s permanent closure. 保险限额为250美元,000 applies to each credit union member for each applicable account category.

Which Accounts Are (and Are Not) Covered by NCUA Insurance?

Understanding the limits of NCUA insurance is crucial so you can plan your deposits in a way that supports your financial 目标s. The basic coverage limit of $250,000适用于所有成员, but not to all ownership types and account categories. NCUA-insured ownership types include single accounts (owned by one person) and joint accounts (owned by two or more people). Some common NCUA-insured account categories include:

•              Checking accounts
•              储蓄 accounts
•              Money market accounts
•              分享 certificates/Certificates of Deposit
•信托账户
•              Individual retirement accounts
•              Employee benefit plan accounts

These accounts, however, are ineligible for NCUA insurance:

•              年金
•              债券
•              股票
•共同基金
•              Life insurance

How Can You Maximize Your NCUA Coverage?

Let’s say you have a single-owner checking account and a single-owner money market account, 每个账户的余额是250美元,000. Despite being different accounts, both are in the same ownership category, 所以存款总额是500美元,000不包括在内. Only $250,000 of your money is insured.

如果你有超过250美元,000 deposited at a single financial institution, consider spreading funds across different ownership categories. 例如, if the checking account was jointly owned with another member, the total funds would fall below the maximum NCUA insurance threshold, and you would be fully covered. So the easiest way to maximize coverage 是 open accounts of different ownership types. Use the 分享 Insurance Estimator to calculate coverage based on account type and balance.

Now that you’re safely buckled up with greater knowledge about NCUA insurance, sit back and relax knowing your funds are safe at Credit Union of Colorado, an NCUA-insured financial institution. Or, if you’d like to increase your NCUA coverage, open a new account in a different ownership category 在这里.