New York State Employees Closes; Palisades Assumes Members, Shares, Loans

Member Deposits Remain Protected by the Share Insurance Fund

ALEXANDRIA, Va. (Oct. 27, 2017) – The National Credit Union Administration today liquidated New York State Employees Federal Credit Union of New York, New York. 

Palisades Federal Credit Union of Pearl River, New York, immediately assumed most of New York State Employees Federal Credit Union’s assets and all members, shares and loans. Palisades Federal Credit Union is a federally chartered credit union that serves 13,832 members and has assets of nearly $200 million, according to the credit union’s most recent Call Report.

The new Palisades Federal Credit Union members should experience no interruption in services, and the existing New York State Employees Federal Credit Union office will remain open until the transition of services is complete.

Members’ accounts remain insured by the National Credit Union Share Insurance Fund. Administered by the NCUA, the Share Insurance Fund insures individual accounts up to $250,000, and a member’s interest in all joint accounts combined is insured up to $250,000. The Share Insurance Fund separately protects IRA and KEOGH retirement accounts up to $250,000. The Share Insurance Fund has the backing of the full faith and credit of the United States.

Members with questions about their accounts may contact Palisades Federal Credit Union at 800-438-7415 between 9 a.m. and 5 p.m. Eastern on Monday, Tuesday, Thursday, and Friday; from 10 a.m. to 5 p.m. on Wednesday; and from 9 a.m. to 1 p.m. on Saturday.

The NCUA made the decision to liquidate New York State Employees Federal Credit Union and discontinue its operations after determining the credit union was insolvent with no prospect for restoring viable operations on its own. At the time of liquidation and subsequent purchase by Palisades Federal Credit Union, New York State Employees Federal Credit Union served 1,183 members and had assets of $2 million, according to the credit union’s most recent Call Report. Chartered in 1935, New York State Employees Federal Credit Union served various groups in New York.

New York State Employees Federal Credit Union is the fourth federally insured credit union liquidation in 2017.