4 Reasons to get Pre-Approved before Car Shopping
May 2025
Discover how securing an auto loan pre-approval can streamline your car-buying experience and give you a competitive edge.
What is the NCUA?
March 19, 2025
Established by Congress in 1970 to insure member share accounts at federally insured credit unions, the National Credit Union Share Insurance Fund is similar to deposit insurance coverage provided by the Federal Deposit Insurance Corporation.
The federally backed NCUA Insurance Fund protects deposits at all federal credit unions and most state-chartered credit unions in the event that the institution fails.
The standard NCUA insurance covers up to $250,000 per account holder and per insured credit union for each account ownership category. Called "share insurance," this benefit automatically takes effect after joining a federally insured credit union.
No one has lost a single penny of insured deposits at a federally insured credit union.
How Much of my Money is Covered?
Members can calculate the amount of coverage your insured funds have at a federally insured credit union using the NCUA’s Share Insurance Estimator, which is available on the NCUA’s consumer website, MyCreditUnion.gov. The estimator can be used for personal, business or government accounts. Personal accounts include individual ownership, joint ownership, payable-on-death (accounts with named beneficiaries), living trusts and IRAs.
The Share Insurance Fund Estimator also includes an extensive glossary of terms and frequently asked questions.
What Does the NCUA Cover?
Accounts covered by NCUA insurance include:
- Regular shares (similar to savings accounts)
- Share drafts (similar to checking accounts)
- Money market accounts
- Share certificates (like certificates of deposit, or CDs, at banks)
- Traditional and Roth IRAs
- KEOGH retirement accounts
- Revocable trust accounts
- Irrevocable trust accounts
What the NCUA Doesn't Insure
Items not insured by the NCUA include:
- Fraudulent active on your account
- Mutual fund investments
- Stocks
- Bonds
- Life insurance policies
- Annuities
Even if these investment or insurance products were sold by a federally insured credit union, NCUA insurance doesn't apply.
In addition, the NCUA does not insure safe deposit boxes or their contents and it does not insure digital assets, such as cryptocurrencies.
How Do I know If My Credit Union is Federally Insured?
All federally insured credit unions must prominently display the official NCUA insurance sign at each teller station, where insured account deposits are normally received in their principal place of business and in all branches. Federally insured credit unions are also required to display the official sign on their website and where they accept share deposits or open accounts. No credit union may end its federal insurance without first notifying its members. NCUA’s Credit Union Locator (Opens new window)
