Novartis FCU - Trading Post

A Message from the CEO

October 4, 2008
Ann M. South

With everyone's concerns about the current economic state, I wanted to take a moment of your time and make you aware of Novartis Federal Credit Union’s safety and soundness.

• Our assets are federally insured by the National Credit Union Administration (NCUA) the strongest federal insurance agency in the country. With the passage of the Emergency Economic Stabilization Act of 2008 your funds held in a single account is now insured for up to $250,000 and joint account relationships can be covered up to $1,000,000. Additional coverage can be provided by naming "Payable On Death" Beneficiaries to your accounts.

• Not one penny of insured savings has ever been lost by a member of a federally insured credit union.

• Credit Unions, including Novartis Federal Credit Union, focus on members not profits. We remain a safe haven in this economic storm.

• Credit Unions lend responsibly – we have a more conservative approach to lending and most credit unions hold onto about 95% of our mortgages instead of selling them to Fannie Mae & Freddie Mac. Novartis Federal Credit Union rarely sells mortgages in our portfolio.

• As member-owned cooperatives, Credit Union balance sheets are not affected by the whims of the stock market.

• Novartis Federal Credit Union has nearly $100M in assets, with Capital/Equity at $9,673,316. This equates to a Capital/Equity ratio of 9.69%, well above the 7% which our regulator defines as “well capitalized.” Novartis Federal Credit Union has sound business practices, more than adequate insurance on your accounts, and is ready to serve your financial needs.

• While other lenders are tightening restrictions and cutting back on lending – we are continuing to offer loans and are increasing our marketing efforts to get the word out to our members that we are here to help!

And on a final note, Credit Unions are here to stay. Please note that Novartis Federal Credit Union will celebrate our 62nd anniversary in January 2009 and we invite you to celebrate with us!

If you have any concerns please feel free to call us at 973.947.1000 and speak with one of our highly skilled Member Service Representatives about your insured accounts.

Ann M. South, President/CEO
Novartis Federal Credit Union

To hear our credit union cooperative radio announcement on the safety and soundness of credit unions click here

To watch a video explaining your share insurance coverage click here.

Frequently Asked Questions on Insurance Coverage from our regulator, the National Credit Union Administration

To Hear a message about the Safety and Soundness of Credit Unions from Dan Mica, President/CEO of the Credit Union National Association click on the below video link.

You can contact Ann South at Ann.South@Novartis.com