You likely have heard about the recent and sudden closure of Silicon Valley and Signature Banks. Please rest assured that your credit union remains financially strong, healthy, and able to preserve and protect your funds at Embold.
For over 65 years, Embold Credit Union has served our neighbors as a not-for-profit financial cooperative. We provide low-fee, favorable-interest rates, and outstanding member service. We have done this in a safe and careful way, primarily to avoid issues like those that have periodically caused banks to fail.
Why is Embold different?
There are a great number of differences between Embold recent failed banks.
- As a credit union, we are a not-for-profit cooperative, owned by our members. We don’t have shareholders pressuring us to take undue risks to increase shareholder profits, and we don’t pay our management team with stock options and large bonuses.
- Our deposits are primarily from members (individuals) like you. People who deposit their paychecks and use the funds to meet normal living needs or savings for future spending needs, rather than potentially risky businesses and startups.
- We have a well-capitalized balance sheet. This is something that our federal regulators require.
- We have multiple available sources of liquidity to meet withdrawal needs. These sources of liquidity, in combination with our capital, put us in a very good position to absorb severe shocks to the economy.
- We maintain a diverse loan portfolio that includes consumer, real estate, and primarily real-estate-backed business loans.
- We do not hold any cryptocurrency assets. This means we are not not directly exposed to the risk of these volatile digital currency markets.
- As a credit union, we are regulated and insured by the NCUA, not the FDIC, so bank failures such as we’ve just seen do not directly threaten the safety and soundness of the credit union system.
Remember, your deposits at Embold are insured up to $250,000 and quite possibly much more depending on ownership and the structure of your accounts. If you’d like to chat with us about the insurance on your deposit accounts, please give us a call or drop by one of our branches.
You may also wish to visit the NCUA’s insurance estimator at https://mycreditunion.gov/.
Thank you for your membership with Embold. We are honored to be your credit union, and we remain committed to improving lives in the communities that we serve.