NCUSIF Insurance of Individual and Joint Accounts
No. Individual share accounts held by the same member are added together and are insured up to $100,000. An individual share account is an account solely owned by one individual without the right of withdrawal by another individual. IRA, Keogh, and Deferred Compensation accounts are insured separately up to $100,000. See the section on NCUSIF Insurance of Special Accounts for more details.
Return to Previous Page | Return to Top of Page
NCUSIF share insurance covers joint accounts owned in any manner conforming with applicable state law such as joint tenants with a right of survivorship, tenants by the entireties, tenants in common, or an account owned by a husband and wife as community property in states recognizing this particular form of joint ownership.
Return to Previous Page | Return to Top of Page
Yes. A person’s interests in joint accounts are insured separately from individual accounts up to a maximum of $100,000, provided that each of the co-owners has personally signed an account signature card and has a right of withdrawal on the same basis as the other co-owners. (If state law limits a minor’s right of withdrawal, the account will still be insured as a joint account. The signature of each co-owner is not required on a share certificate.) However, the insurance protection for a co-owner on joint accounts is not increased by rearranging the names of the owners, changing the style of names, or by establishing more than one joint account. The interests that a particular co-owner has in all joint accounts held in the same credit union will be added together and insured up to $100,000. For example, the husband can have up to $100,000 coverage on his single or individual account, and so can the wife. In addition, the husband and wife can each have up to $100,000 of insurance on their portion of the joint account. They would have a total of up to $400,000 of coverage in this example.
Return to Previous Page | Return to Top of Page
Yes. In those jurisdictions recognizing community property, community funds may be maintained in accounts in the individual names of each spouse or a joint account in the names of both. The individual account of the husband and the individual account of the wife will each be insured up to $100,000. As co-owners, the interest of the husband and wife in the joint account will each be insured up to $100,000. As in the previous question, they would have up to $400,000 of coverage.
Return to Previous Page | Return to Top of Page
A person holding an interest in more than one joint account may receive a maximum of $100,000 insurance coverage on the total of his/ her interests in all of those joint accounts. For example, assume that H and W own a joint account containing $110,000 and H and C own a joint account containing $50,000. Since the interests of the co-owners of a joint account are deemed equal for insurance purposes (except in the case of a tenancy in common if unequal interests are shown on the account records of the credit union), H has an interest of $55,000 in the account with W, and an interest of $25,000 in the account with C. H would have insurance of $80,000. W would have insurance of $55,000 and C would have insurance of $25,000. In this example, all of the funds held in the two joint accounts would be insured.
Return to Previous Page | Return to Top of Page