Blog

While the unfortunate news of Silicon Valley Bank is in the headlines, I want to reassure you that HCCU is stronger than ever — since members like you began to join and grow with our community, beginning 70 years ago. As you listen to the news reports, we encourage you to absorb and process the information with the following context:

• Silicon Valley Bank was a niche bank, serving a particular set of customers within the technology industry, including innovative tech start-ups, entrepreneurs, and venture capital firms. The for-profit bank was focused on a very concentrated commercial sector, which significantly increased its risk profile.
• HCCU is a not-for-profit financial institution, locally headquartered and member-owned. We exist solely for the benefit of you, our members.
• HCCU offers lower-risk financial products and services that have withstood the test of time as well as lower-priced fees.  HCCU is not subject to big-profit pressures from investors/stock owners. We are stewards of our members’ assets.
• Credit unions, in general, like HCCU are among the most well-capitalized financial institutions. We maintain equity reserves and liquidity sources that prioritize safety and soundness for our members.
• All deposits at HCCU are protected by the National Credit Union Share Insurance Fund, a separate fund not associated with the Federal Deposit Insurance Corporation for banks. Your deposits at HCCU are insured for up to $250,000 per individual depositor/member. Credit union members have never lost a penny of insured savings at a federally insured credit union. Our credit union industry’s deposit insurance fund has the backing and full faith and credit of the U.S. government. Please feel free to visit MyCreditUnion.gov for more information.

Through good economic times and bad, we stand ready to serve our membership and will continue to do so moving forward. Thank you for your membership.

Sincerely,

Ed Turk

President/CEO