Added Savings Protection with ASI Insurance
Credit unions are non-profit organizations that operate on the philosophy of people helping people. Unlike banks, which are publicly owned by shareholders, credit unions are member-owned full-service financial institutions whose product and services often surpass those of traditional banks. One area where this can be the case is with deposit insurance.
Credit Union Deposit Insurance
We understand that when you deposit funds with Clark County Credit Union, keeping your money secure is a top priority. After all, isn’t a primary reason for depositing funds to keep them safe?
Many people new to credit unions are confused when they hear their funds aren’t FDIC insured. That’s true, but rest assured, credit union funds are just as safe as those in FDIC-insured bank accounts. The difference is that credit union accounts are typically covered by the National Credit Union Share Insurance Fund (NCUSIF). Both the FDIC and NCUSIF are backed by the federal government, and they both provide up to $250,000 of coverage per deposit or per institution.
ASI Insurance and Credit Unions
Not all credit unions are federally-insured. Some, like CCCU, are insured by American Share Insurance, or ASI.
ASI is a non-profit, member-owned private share insurer, not a state or federal organization. Since 1974, it has been insuring the accounts of over a million credit union members. The biggest difference between ASI and NCUSIF or FDIC coverage is ASI offers $250,000 cover per account, not depositor. And there’s no limit to the number of accounts you can hold in a single credit union:
To illustrate, if you were to hold $250,000 in each of these accounts in a bank or NCUSIF-covered credit union, you would be covered for a total of $250,000. Deposit those same funds with an ASI-insured credit union, and you would be covered for $1 million, or $250,000 per account.
Important Facts About ASI
Is your money safe in an ASI-insured credit union? Consider these facts:
- Not one penny of an account held in an ASI-insured credit union has ever been lost.
- ASI’s equity ratio is greater than what’s reported by FDIC funds.
- ASI does not hold the types of investments which hurt many financial institutions during the last downturn. A majority of assets are held in cash, US treasuries, and US government-guaranteed bonds.
ASI only ensures credit unions, has strict underwriting standards, and requires all ASI-insured credit unions be examined regularly and make substantial disclosures regarding the nature of the insurance.
Your Money Is Protected
ASI upholds the highest standards of financial accountability for the credit unions it insures. Not every credit union that applies is qualified to offer ASI coverage to its members. CCCU is proud to say it consistently meets the high standards ASI sets, making it possible for us to offer the best deposit insurance to our members.
Have questions about deposit insurance in general or ASI coverage in particular? Contact CCCU by phone, email, mail, or chat today.