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Created by the U.S. Congress in 1970, the National Credit Union Administration is an independent federal agency that insures deposits at federally insured credit unions, protects the members who own credit unions, and charters and regulates federal credit unions.
Regulation & Supervision
Regulation & Supervision
The NCUA protects the safety and soundness of the credit union system by identifying, monitoring and reducing risks to the National Credit Union Share Insurance Fund. Backed by the full faith and credit of the United States, the Share Insurance Fund provides up to $250,000 of federal share insurance to millions of account holders in all federal credit unions and the overwhelming majority of state-chartered credit unions.
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Analysis
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Support Services
The NCUA provides a number of support services to the credit union system, such as providing training, grants and loans, chartering, and field-of-membership services; maintaining the health and stability of Share Insurance Fund; managing the assets of failed credit unions; and providing emergency liquidity.
Consumers
Consumers
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Cybersecurity Resources
Cybersecurity Resources
Cyberattacks and cybersecurity vulnerabilities pose significant risks to the financial system. Because of vulnerabilities within the credit union industry and the broader financial system to potential cyberattacks, cybersecurity is one of the NCUA’s top supervisory priorities and a top-tier risk under the agency’s enterprise risk-management program.

Profit Sharing Agreement

93-0912 / December 1993

Profit Sharing Agreement

Subject

Bylaws

Historic Status

Non-historic

GC/LH:sg
SSIC 3000
93-0912

[redacted]

FROM: Hattie M. Ulan, Associate General Counsel

SUBJ: Merrill Lynch Profit Sharing (Your Memorandum of September 7, 1993)

DATE: December 13, 1993

[redacted] wishes to enter into an agreement with Merrill Lynch under which Merrill Lynch would contribute 5 basis points to the [redacted] Scholarship Fund for every $1 million of business written with [redacted] member credit unions. [redacted] provides scholarships to volunteers, members, and employees of member credit unions. You have asked about the legality of such a program.

Such a plan is legal but presents potential conflicts of interest. Article XIX, Section 4, of the standard Federal Credit Union Bylaws provides that no director, committee member, officer, agent, or employee of a credit union may participate in the deliberation upon or determination of any question affecting his or her pecuniary interest. Thus, individuals who participate in any way in the investment decisions of the credit union would be ineligible for scholarships. Their dependents would also be ineligible.

Last modified on

11/14/24