Is my Money Safe at a Credit Union?

When considering a credit union to meet your day-to-day money management needs, it oftentimes gets compared to a bank. Which makes sense, really. Both buildings look a lot alike, and both usually have an array of products, services and people that are there to help you put your money in, move it around, and get a loan when you need it.

But, there are differences too. Credit Unions consider the account holders as owners (or members), not just people who put money in and take money out. Also, Credit Unions tend to lend money and invest in projects within the local community: helping to keep the community vital through new homes, cars, business expansion and more.

All that probably sounds pretty good but you might be wondering, “If I set up my accounts at a Credit Union, will my money be safe? Banks have the FDIC to provide security for my deposits. How does that work at a credit union?”

Well, the good news is, your deposits are safe at First Basin Credit Union. Like lots of other credit unions around the country, First Basin is a member of the National Credit Union Administration (NCUA). Much like the Federal Deposit Insurance Corporation (FDIC) that insures bank deposits, the NCUA provides insurance for more than $1 trillion in assets held by the more than 96 million account holders at more than 6,500 Credit Unions in the United States. It has the backing of the US Government and is run by a board that is appointed by the President of the United States and confirmed by the Senate. With the passage of the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010, shares are now covered up to $250,000.

Bored yet? Yup, all those details can make even the most enthusiastic investor a little cross-eyed. But, the short answer is yes. Your money is safe here. Just look for the NCUA seal at the entrance to any of our 7 local branches (and on our website too).

So open up your member account today, and know your money is protected. Membership is easy; the opening account balance for a regular share account is just $25, and then you’ll have all the benefits of being a member.

If you want to learn more about credit unions, then check out these handy sources:

http://www.mycreditunion.gov/Pages/default.aspx
http://www.ncua.gov/Pages/default.aspx
http://www.firstbasin.com