A message from Advancial’s President and CEO about the government shutdown
Advancial Remains Strong and Secure Despite Government Shutdown
The United States Congress was unable to pass a spending bill by September 30, and as a result large portions of the government will be unfunded and will shut down until an agreement for funding can be reached. This may impact a wide range of government agencies, services, and contractors. In the short term, it will mostly have an emotional and psychological impact, especially for those whose income will be disrupted. A longer, more sustained shutdown will cause serious financial hardship for some and may have a negative impact on our economy and the stock market.
As some people wonder if their deposits are safe, I want to be clear that Advancial is a member-owned cooperative which is extremely well-capitalized. Our regulator, the National Credit Union Administration (NCUA), is an independent agency of the federal government and will remain open and operational during the shutdown. The NCUA oversees the National Credit Union Share Insurance Fund which protects our member deposits. The NCUA and the insurance fund are both completely funded by fees paid by all credit unions. This allows NCUA to operate as business as usual despite the government shutdown.
Advancial’s business model is not heavily tied to the U.S. Government and its agencies, so we anticipate very little disruption to our business. Our member-owners are mostly tied to private employer groups. Partners required to deliver products and services are also private enterprises not impacted by the shutdown.
WHAT ADVANCIAL IS DOING TO HELP MEMBERS IMPACTED BY THE GOVERNMENT SHUTDOWN
When the unexpected strikes our members, we have options to assist them with their financial challenges. Options such as our Assistance Loan, Skip-A-Payment program and other loan payment deferral programs are there to help members. Tools are available online, but please reach out to an Advancial employee, so we can create a solution to fit your personal situation. More information can be found on our website.
ADVANCIAL IS WELL-CAPITALIZED, SAFE & SECURE
Advancial receives high rankings annually from its regulators for safety and soundness practices and management of risk. Advancial is above the threshold to be considered very well capitalized by the NCUA. We maintain a conservative balance sheet focused on traditional core deposit and loan relationships with our members. We adhere to sound, conservative investment practices and have no exposure to high-risk investments such as heavy tech funding, cryptocurrency assets or international investments.
YOUR MONEY IS INSURED AT ADVANCIAL
All Advancial member deposits are protected by the National Credit Union Share Insurance Fund and insured up to at least $250,000 per depositor – the same as any other federally insured financial institution. Many of our members enjoy substantially higher coverage levels through different account types and/or ownership types. If you would like to learn more about maximizing your coverage, please contact us to discuss your individual situation or you can utilize the Share Insurance Estimator available to you at mycreditunion.gov.
SAFEGUARDING YOUR MONEY IS AND WILL ALWAYS BE OUR TOP PRIORITY
Rest assured - we will remain vigilant in honoring the trust you have placed in Advancial by continuing to operate in a safe, sound and secure manner. If you have any questions, do not hesitate to contact us. We always welcome the opportunity to answer questions members have about Advancial’s operations or performance.
Sincerely,
