Let me take this opportunity to thank you for allowing UCF Federal Credit Union to safeguard your money. It is very important to all of us here that our members feel comfortable using UCFFCU as their financial institution and I wanted to share with you some information regarding your account(s). Your UCF Federal Credit Union deposits are federally insured by the National Credit Union Share Insurance Fund (NCUSIF) which is governed by the National Credit Union Administration (NCUA). The NCUSIF is backed by the full faith and credit of the United States Government.
Here are some important facts to remember about your share insurance provided by the NCUSIF:
· Not one penny of insured savings has ever been lost by a member of a federally insured credit union.
· Share accounts in federally insured credit unions are insured up to the Standard Maximum Share Insurance Amount (SMSIA), $250,000 as of October 3, 2008. The Emergency Economic Stabilization Act of 2008 increased the insurance coverage on all accounts up to $250,000 until December 31, 2009.
· You may obtain additional separate coverage on multiple accounts, but only if you have different ownership interests or rights in different types of accounts and you properly complete account forms and applications. For example, if you have a regular share account and an Individual Retirement Account (IRA) at the same credit union, the regular share account is insured up to $250,000 and the IRA is separately insured up to $250,000. However, if you have a regular share account, a share certificate, and a share draft account, all in your own name, you will not have additional coverage. Those accounts will be added together and insured up to $250,000 as your individual account. Additionally, shares denominated in foreign currencies are insured as outlined in NCUA Rules and Regulations.
· Coverdell Education Saving Accounts, formerly education IRAs, are insured as irrevocable trust accounts and will be added to a member’s other irrevocable trust accounts and insured up to the SMSIA. Roth IRAs will be added together with traditional IRAs and insured up to $250,000.
· Additional coverage is available on revocable trust or payable on death accounts on a per beneficiary basis. A co-owner’s interest in all joint accounts in the same credit union will be added together and insured up to the SMSIA.
· As a member of a federally insured credit union, you do not pay directly for your share insurance protection. Your credit union places a deposit into the NCUSIF and pays an insurance assessment based on the total amount of insured shares and deposits in the credit union. Federally insured credit unions are required to deposit and maintain one percent of their insured shares and deposits in the NCUSIF.
I hope this information serves to answer any questions or concerns and I hope this reassures you that, even in rough economic times, you can feel confident entrusting us to safeguard your hard-earned savings. Should you have questions or concerns please feel free to contact us directly at 407-249-0008, ext. 1101 or 1102 or visit either of our offices.
Sincerely,
Michael Murray
President
