Facts to Know About Your Insured Shares
This information is informational only and not intended to be a complete disclosure of the NCUA share insurance. Please visit a local branch to obtain full disclosures or request one by mail.
About Individual Accounts
Each member’s funds are insured to $100,000 ---and that limitation applies to the total of a person’s funds in share draft, share and share certificates for which an insured credit union is liable. So share insurance is not increased, for example, by putting $100,000 into a share account and $100,000 into a share draft (checking) account in the same insured credit union. In that case, $100,000 is insured, not $200,000.
Actual title to each insured account must be in the name of the account holder named.
About Joint Accounts
In addition to their individual insured accounts, each person is entitled to a maximum of $100,000 coverage for their interest in all of their joint accounts.
A husband and wife, or any two or more persons may have a valid joint account covered for the total amount allowed for each person in the joint account category. Insurance protection is not increased by merely rearranging the names of owners, changing the style of the names, or by having more than one joint account for the same combination of owners in the same insured credit union.
Each co-owner of a joint account must have equal withdrawal rights and must personally execute a signature card – except in the case of jointly-held share certificates or shares represented by negotiable instruments. To maximize your coverage on multiple accounts, visit with an CUA personal service
About Revocable Trust Accounts (Payable on Death)
Funds deposited into revocable trust accounts whose beneficiaries are either a spouse, child, grandchild, parent or sibling of the owner are separately insured to $100,000 for each beneficiary named. (in addition to the insurance on valid individual and joint accounts). They provide that at the death of the owner, funds will pass to the named beneficiary, ie.: spouse, child, grandchild, parent or sibling. The person who has the power of revoking the trust is considered to be the owner of the account.
