Are Credit Unions Insured by the Government?

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Question: From the standpoint of government-backed insurance, are deposits in credit unions equally secure as those in FDIC-insured banks?

Paul Solman: Yes. See my recent answer to this question in a Pocket Change feature with Boston University professor Zvi Bodie. We discussed NCUSIF, the National Credit Union Share Insurance Fund and its role in protecting deposits in most credit unions. And in May, President Obama signed a law that includes provisions that extend the $250,000 Federal Deposit Insurance Corporation & National Credit Union Administration limit to the end of 2013. In 2014, they’re currently slated to return to $100,000 per individual account.

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