Member Deposits Remain Protected up to $250,000 by the Share Insurance Fund
ALEXANDRIA, Va. (July 1, 2021) – The National Credit Union Administration today liquidated Defense Logistics Federal Credit Union in Dover, New Jersey.
Pentagon Federal Credit Union (PenFed) immediately assumed Defense Logistics Federal Credit Union’s assets, member shares, and loans. PenFed is a federally chartered credit union with 2.2 million members and assets of more than $27 billion, according to the credit union’s most recent Call Report.
The new PenFed members will experience no interruption in services, and accounts remain insured by the National Credit Union Share Insurance Fund. Administered by NCUA, the Share Insurance Fund insures individual accounts up to $250,000, and a member’s interest in all joint accounts combined is insured up to $250,000. The Share Insurance Fund separately protects IRA and KEOGH retirement accounts up to $250,000. The Share Insurance Fund has the backing of the full faith and credit of the United States.
Members with questions about their accounts may contact PenFed at 254.258.1578 or 910.322.9774.
The NCUA made the decision to liquidate Defense Logistics Federal Credit Union and discontinue its operations after determining the credit union engaged in unsafe and unsound practices.
At the time of liquidation, Defense Logistics served 219 members and had assets of approximately $506,000, according to the credit union’s most recent Call Report. Chartered in 1959, Defense Logistics Federal Credit Union served civilian and military personnel of the Defense Contract Administration Services District-Newark and the Defense Contract Audit Agency of Northern New Jersey.