[Vision2020] Latah Federal Credit Union

[Rose Huskey]

My husband and I have been members of the Latah Federal Credit Union for
over thirty years.  We have enjoyed the service they have provided and are
pleased to support a local business.  The current management of the LFCU
have decided to drop their affiliation with the  FDIC: Federal Deposit
Insurance Corporation
<https://www.google.com/url?sa=t&rct=j&q=&esrc=s&source=web&cd=1&cad=rja&uac
t=8&ved=0ahUKEwj1lr-22-bMAhWi8YMKHfxrBtwQFggdMAA&url=https%3A%2F%2Fwww.fdic.
gov%2F&usg=AFQjCNFKDaJ2ZfSo8TrIjQ0jST7Xtw3q5Q&sig2=hADrTwqjW07utB1crSnHCw> ,
in favor of a private insurance company. This is a huge step proposed by
management and apparently rubber stamped by board members who are either
easily herded into compliance by the CEO Lowell Stevens, or, are arguably,
unable to assess the risk or even read and understand the following notice.


" If you are a member of this credit union, your accounts are currently
insured by the  National credit union Administration, a federal agency. This
federal insurance is backed by the full faith and credit of the United
States government. If the credit union converts to private insurance with
American share insurance and The credit union fails, the federal Government
does not guarantee that you will get your money back."

 

When this type of events occurs, the first thought in my mind is who stands
to profit from the change - in this instance surely not the customers.

 

We stopped by the LFCU this morning to vote NO for this drastic and
unnecessary change and learned that although we have a checking and savings
account within a family trust account we were not eligible to vote because
trust account holders don't have voting privileges.  Further, we were told
that if even if we had a joint, stand alone checking or savings account only
one of us could vote although though both us would enjoy account privileges.

 

There is a meeting this evening <https://www.latahfcu.org/> , check the
Credit Union's home page for time and place, to discuss this issue and
answers questions. I fear that regardless of the voting outcome (the votes
are being tallied by an unnamed organization, perhaps even the insurance
company who stands to gain the credit union business). I believe the outcome
has been determined.  This morning a staff member of the credit union told
us "they" wanted state jurisdiction instead of a "federal bureaucracy."  At
that point we realized that a political agenda with, arguably, personal
reasons for these changes had overridden common sense and sound fiscal
policies.  

 

Thankfully, there is another credit union <https://www.p1fcu.org/>  in town
which retains Federal Insurance and appears to us to be a far safer
alternative than a  private for profit insurance company. If you are a
member of the LCFCU keep an eye out for increased rates as soon as it is
privatized and pray without all your might that if the private insurance
company fails you won't lose your life savings.

 

Rose Huskey

 

 


 


 

 

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