A Message From Larry T. Wilson, Coastal's President/CEO

With recent news reports focusing on a bank failures and instability rippling across the banking industry, we're starting to get inquiries from members concerned about the financial viability of Coastal.

Please be confident and reassured that your money is safe and your credit union is sound. We're big, we're stable, and we're very well capitalized.

Some key points to consider:

  • Funds deposited at Coastal are federally insured by NCUA up to $250,000.
  • Coastal has plenty of cash held in reserve. We currently maintain a 10.5% capital-to-asset ratio. By comparison, we're only required to maintain a 6% ratio, and 7% is considered adequate. While that information may seem a bit dry, it demonstrates our commitment to remaining strong even in uncertain times.
  • Our cooperative structure puts our members' needs first and we aren't interested in taking risks that might jeopardize our members' equity.
  • Adding to that, being a cooperative helps shield us from wild market fluctuations. Since we don't have stockholders, we aren't at risk of investors pulling out, dropping our value and reducing our working capital.
  • We never got into subprime mortgage lending, so our loan portfolio is far more stable than those that made riskier loans. Subprime lenders have seen double-digit foreclosure rates. We have no First Mortgages in foreclosure and only 7 delinquencies on our books. This is impressive considering Coastal has 4,505 First Mortgages.
  • Despite the economic slowdown nationwide, we're doing business primarily in the Triangle and Charlotte areas, markets that are relatively strong, if not among the strongest in the country.
  • This year, we surpassed $2 billion in assets. Our membership continues to grow, and we've seen strong deposit growth and steady increases in our fiscally-responsible lending business.

While the news reports may be unsettling, there's no cause for concern in regard to Coastal's well-being. If anything, uneasiness about the banking industry should make credit unions an even more attractive option for your financial needs.

Coastal has been around for more than 40 years. We've been here to guide members through uncertainty in the past and we'll remain committed to helping you through whatever the future brings.

NCUSIF (NCUA) Share Insurance Coverage

Larry T. Wilson
President / CEO

Coastal Federal Credit Union — Simply Brighter.