The National Credit Union Administration announced on May 6 that it has placed Jackson Area Federal Credit Union in Jackson, Mississippi into conservatorship. Member services will continue as usual while the agency works to resolve issues affecting the credit union’s operations.
The action was taken because of unsafe and unsound practices at the credit union. The NCUA said member deposits remain protected by the National Credit Union Share Insurance Fund, which is backed by the full faith and credit of the United States. The Share Insurance Fund insures individual accounts up to $250,000, with separate coverage for joint accounts and retirement accounts such as IRA and KEOGH plans.
Jackson Area Federal Credit Union’s main office at 5675 Hwy 18 W in Jackson remains open from 8:00 a.m. to 4:30 p.m. Central time. Members can continue normal financial transactions including deposits, withdrawals, loan payments, and use of shares while NCUA addresses operational concerns at the institution.
Members with questions about their accounts or insurance coverage are encouraged to contact the credit union directly or review resources available on NCUA’s website. The institution serves employees of the City of Jackson and Hinds County officials, along with members from other local government groups; it currently has over 15,500 members and reported assets exceeding $162 million according to its recent Call Report.
The National Credit Union Administration functions as a U.S. government agency that regulates, charters, and supervises federal credit unions across the nation according to its official website. The agency also provides regulatory oversight for federally insured institutions and offers tools like the Share Insurance Estimator for coverage details.
