Message from Barbara Nall, President/CEO

Dear Members,

We here at LA Financial Federal Credit Union know that you have probably seen many headlines about troubled financial institutions. We want to assure you that your credit union is safe, secure and stronger than ever. LA Financial prides itself on being highly prudent and responsible with our members’ money. Furthermore, we have very stringent loan underwriting standards and we have never engaged in risky lending or depository practices.

At LA Financial, your savings are insured by the National Credit Union Administration (NCUA) up to $250,000 per qualifying account and backed by the full faith of the Federal government. Traditional IRA, Roth IRA and Keogh accounts are insured separately up to $250,000.

Plus, multiple accounts can be structured to provide additional coverage. Here's an example of how a husband and wife may have accounts insured totaling $1,500,000:

Example: Family of Two and Trust Accounts

LA Financial is adequately capitalized, above that required by the NCUA. We hope all this information helps to let our members know that our focus is on security, safety and protection of our members’ assets.

In fact the credit union sector overall is solid and healthy. The industry’s federal regulator, Michael Fryzel, said as much on Friday when addressing the corporate situation: “Credit unions that serve consumers remain very strong,”

Similarly, Congressman Barney Frank, the chairman of the House Financial Services Committee, said recently “If credit unions made all of the mortgage loans, then there would have been no subprime crisis, and therefore no economic crisis.” And just a week ago, the Wall Street Journal published a feature pointing out that while some of these “corporate” credit unions have had problems, in today’s economy regular credit unions like ours that serve consumers continue to be a safe haven and offer great value.

If you have any questions or concerns, please feel free to call our special hotline phone number (626) 204-6796 (Monday – Friday 9 a.m. – 4 p.m.).