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First Credit Union Failure Of 2013 - Tiny Credit Union In Milwaukee, Wisconsin

Monday, January 7, 2013 - 5:25 PM
The NCUA beat the FDIC for the first closure of 2013.

From the NCUA press release:
The Wisconsin Office of Credit Unions liquidated New Covenant Missionary Baptist Church Credit Union (New Covenant) of Milwaukee, Wis., today and appointed the National Credit Union Administration (NCUA) as liquidating agent.
[...]
Originally chartered in 1982, New Covenant was a state-chartered, federally insured credit union serving 294 members and had assets of approximately $585,000

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The Credit Union Times has more info on the failed credit union's financials:
A quick review of the tiny credit union’s most recent financial performance reports reveal something went horribly wrong: net worth plunged from 8.45% in the second quarter 2012 to just -0.49% as of Sept. 30. Also from second to third quarter 2012, delinquencies increased from 7.44% to 19.63%, and net charge offs increased from -0.07% to 7.56% of average loans.

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Ken TuminKen Tumin5,442 posts since
Nov 29, 2009
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