Sound Credit Union Remains Strong

A message from Sound Credit Union President and CEO Richard Brandsma

September 27, 2010

You may have heard or seen in the news that three corporate credit unions, Members United Corporate Federal Credit Union, Southwest Corporate Federal Credit Union and Constitution Corporate Federal Credit Union were placed into conservatorship by the National Credit Union Administration (NCUA). The government stepped in to help because the value of their investments declined, resulting in losses, during this economic downturn.

Corporate credit unions do not serve consumers, like Sound Credit Union does. They are chartered to provide products and services to credit unions and the credit union system. They provide services and products like financing, investments, check clearing, and other tasks much like the Federal Reserve. There is no direct impact by the NCUA's actions on Sound Credit Union's operations.

Sound is financially strong. Through August 2010, Sound recorded a 1.23% ROA, one of the highest in Washington State. Sound also maintains a healthy capital rate of 9.93%, one of the highest in Washington State. This is nearly 3% higher than what is considered "well capitalized" by the National Credit Union Administration (NCUA) and Washington State Department of Financial Institutions.

Rest assured, your funds are safe at Sound.