Exam 21: Thrift Operations

According to your text, about ____ percent of credit unions are insured by the National Credit Union Share Insurance Fund.

During the credit crisis of 2008-2009, some credit unions suffered losses on second mortgages and home-equity loans that they had provided, and some credit unions experienced losses on mortgage#NAME?acked securities in which they had invested.

Because credit unions do not issue stock, they are technically sole proprietorships.

Comparing credit unions with commercial banks and savings institutions

If depositors move money from their checking accounts to short-term CDs, this would ____ the rate sensitivity of the savings institution's liabilities to interest rate movements.

Today, credit unions are regulated as to the

Savings institutions do not really know the actual maturity of the mortgages they hold and cannot perfectly match the interest rate sensitivity of their assets and liabilities.

All federally chartered credit unions are required to obtain insurance from the National Credit Union Share Insurance Fund (NCUSIF).