June 24, 2011 – 6:39 pm

Borinquen Federal Credit Union Philadelphia, Pennsylvania,  is the seventh federally insured credit union placed into conservatorship during 2011.

The National Credit Union Administration (NCUA) today assumed control of service and operations at Borinquen Federal Credit Union of
Philadelphia. While continuing normal member services, NCUA will work to resolve issues affecting the institution’s safety and soundness.

Deposits at Borinquen Federal Credit Union remain protected. Administered by NCUA, the National Credit Union Share Insurance Fund (NCUSIF) continues to insure individual accounts at Borinquen Federal Credit Union up to $250,000. The NCUSIF, like the FDIC’s DepositInsurance Fund, has the backing of the full faith and credit of the U.S. Government.

With $7 million in assets according to its most recent Call Report, Borinquen Federal Credit Union is a full-service financial institution that has served a low-income community in Philadelphia for 37 years. Service to Borinquen Federal Credit Union’s 8,600 members will continue uninterrupted. Members can continue to conduct normal financial transactions—deposit and access funds, make loan payments, and use shares.

The decision to conserve a credit union enables the institution to continue regular operations with expert management in place, correcting previous service and operational weaknesses. During conservatorship, members may therefore continue to conduct business at the credit union