 |
|
AltaOne is Safe and SoundThe latest national news regarding the banking industry may be unsettling. However, I am confident and proud to say that all your deposits with AltaOne Federal Credit Union are safe and secure.
America’s credit unions historically have been a stable sector of the financial industry since their inception, especially during less than favorable economic periods. As Jane Bryant Quinn, contributing editor of Newsweek, recently put it “credit unions are an island of sanity in a sea of madness.”
Your shares in AltaOne Federal Credit Union are insured by the National Credit Union Share Insurance Fund (NCUSIF), where not one penny of insured savings has ever been lost by any member of a federally insured credit union. This fund is backed by the full faith and credit of the United States Government. Each AltaOne share account is federally insured to at least $100,000 by the NCUSIF. Traditional and Roth IRAs and KEOGH retirement accounts are insured up to $250,000 by the NCUSIF. For more detailed information on the NCUSIF, please refer to the “Your Insured Funds” brochure available in our Member Service Centers or go to www.ncua.gov/shareinsurance. AltaOne is proud of our respected history of serving community members for over 60 years. We are also proud to share information on our financial strength with you, our member-owner. We make our annual report and current financial statements readily available in our member service centers and on our website, www.altaone.org.
You may notice that AltaOne’s present net income is unfavorable. This results from reinvesting our capital in strategically planned growth for the past several years in order to better serve our current and future members in the form of new service centers, additional professional staff, and enhanced member services. Our capital ratio has been and continues to be very strong by industry standards. Thus, AltaOne also holds the highest net worth classification from our federal regulator of “Well Capitalized.”
Like most financial institutions in this recessionary economy, AltaOne is experiencing increased loan losses. These losses are not from mortgages, however. Our mortgage portfolio remains solid and strong. We did not engage in sub-prime mortgages. We firmly believe we have some good fellow members experiencing tough times in this challenging economy. As always, we are working with these members to find the best possible resolution for them and your Credit Union.
The mortgage crisis has created a lot of doubt in the banking system. I enthusiastically tell you that the credit union system is strong and financially stable. Credit unions do not customarily make a practice of offering high-risk loans. Credit unions have not been a part of the sub-prime mortgage crisis. More important, AltaOne is not a contributor to the national sub-prime mortgage crisis.
Your deposits are truly safe at AltaOne, within the insured limits and beyond, based on the overall financial stability and integrity of your Credit Union. We value the relationship and support from all of our members. Please do not hesitate to contact any of our member service professionals with any questions or concerns.
Sincerely,
Robert M. Boland
President/CEO
|
|
|
