Common Questions

Below is a collection of common questions and answers fielded by the NC Credit Union Commission staff. This list will be updated in order to help you quickly find answers to frequently asked questions.

Industry Questions

What is a foreign credit union?

A Foreign Credit Union is a credit union that has been organized under the laws of another state or territory of the United States that may conduct business as a state-chartered credit union in this State with the approval of the Administrator, provided state-chartered credit unions incorporated under Articles 14A through 14M of this chapter are allowed to do business in the other state under conditions similar to these provisions.  NCGS §54-109.106

When are dividend approvals required?

When a credit union has a year-to-date negative earnings, management must submit a request to pay dividends to the Division by the 20th of the month in which the dividends will be paid.  The request for approval must include the most recent financials, the current delinquency report, and a list of rates being requested for various share and interest-bearing accounts.  NCGS §54-109.54

What is CECL and do we have to comply?

The Current Expected Credit Losses (CECL) methodology was introduced by the Financial Accounting Standards Board (FASB) in its Accounting Standards Update (ASU) 2016-13, Topic 326. It is a change from the current existing incurred loss model that state-chartered credit unions use to support credit losses. Under CECL, the calculation of the expected credit loss will be computed over the life of the loan, which could initially adversely affect capital levels. This change in methodology will require significant planning, data gathering, modeling, governance/oversight, and training. The current effective date for credit unions is January 1, 2023.  Federally insured credit unions with assets under $10 million are allowed to use any reasonable reserve methodology that adequately covers known and probable loan losses instead of implementing CECL.

Must the Credit Union Division approve changes in core processing systems?

Yes. At least 60 days prior to converting records or changes to Electronic Data Processing (EDP) services/core processing systems, a copy of the proposed contract shall be submitted to the Credit Union Division for approval.  Please see NCAC 06C .0301(c) for more information.

Is there an appeal process for examination findings?

Yes.  Credit union management may appeal examination requirements and findings.  We encourage you to provide continuous and ongoing feedback during the examination and to work with Examiners to resolve disagreements prior to the delivery of the final report.  If differences cannot be resolved with the Examiner, we ask that you contact our Examination Manager for additional discussion and consideration.  If you wish to formally appeal your report, you may do so by writing to the Administrator of the Credit Union Division within 30 days of receiving your final examination report.  If you remain dissatisfied, you may appeal to the Chairman of the Credit Union commission within 30 days of the Administrator's decision..

How many examiners are scheduled for each examination and how long will the examination last?

Scheduling is dependent upon several factors including the overall financial condition of the credit union, the complexity of the credit union, the size of the credit union, historical information, as well as any other factors noted in the pre-scoping process.

How long after the exam is completed should I expect my examination report to be returned to the state-chartered credit union?

Examinations are performed based on the amount of risk identified in each institution; therefore, no two examinations are going to be completed based on the exact same criteria and risk characteristics. After the examination is completed, a formal report is generally written and submitted to the Board and management within 30 days of the exit meeting with management. Some examination reports may be submitted in a much shorter time frame, while more complex and larger examinations take a longer period of time to complete. Regardless of the institution, the Division always strives to communicate the status of all reports during this process.

What are the steps to begin a merger?

When you are considering a merger, please review NCGS §54-109.94 and 04 NCAC 06C .0206.  Prior to moving forward with a merger, please contact the NC Credit Union Division at 984-275-6730 or email us at for more information.

How does my credit union become a community charter?

Credit unions seeking a community charter must submit a request letter and detailed information including the area of expansion, rationale, and the fiscal impact as well as a business plan.  Supporting letters from the community in which the expansion will occur will also be needed.  Credit unions considering a community charter should call the Division for an initial discussion.  NCGS §§ 54-109.3 & 54-109.26 and 04 NCAC 06C .0203

If a state-chartered credit union wants to appeal a requirement or an order, to whom does it appeal?

Any state-chartered credit union may appeal to the Commission any finding, ruling, order, decision or the final action of the Administrator by any credit union which feels aggrieved thereby. Notice of such appeal shall be filed with the Chairman of the Commission within 30 days after such finding, ruling, order, decision or other action, and a copy served upon the Administrator. Such notice shall contain a brief statement of the pertinent facts upon which such appeal is grounded. The Commission shall fix a date, time, and place for hearing said appeal, and shall notify the credit union or its attorney at least 30 days prior to the date of said hearing.

How do I relocate an existing state-chartered credit union branch?

If you relocate an existing office in the same county, you must notify the Administrator of the Credit Union Division. If the office is relocated in the same state, but moved out of the county, you must record this with the Register of Deeds of both counties.

Please contact Administrator Kristina Ray at 984-275-6743 or email at

How are supervisory fees determined?

Semi-annual supervisory fees are calculated using the total assets of state-chartered credit unions as of the December 31 and June 30 Call Reports. Supervisory Fee Schedules are emailed to credit union managers in January and July. The total fees are based on the projected budgetary needs of the Credit Union Division. The Administrator discounts the fees whenever possible.

How do I open a state-chartered credit union branch?

Please submit a Branch application that is inclusive of a business plan with a three-year proforma as well as a marketing plan. Please contact the Credit Union Division for more information at 984-275-6730 or email § 54-109.6

What is a Registered Agent?

A registered agent is a designated representative of a credit union who serves as an agent for the service of process in NC.

Are state-chartered credit unions charged fees for follow-up examinations?

The Division does not charge examination fees for the initial follow-up contact after an examination. For any subsequent contacts after the initial follow-up, the Division assesess a fee at the same hourly rate as the examination rate.

What actions are approved by the Credit Union Division?

How long are we required to retain state-chartered credit union records?

Records are classified as either permanent or non-permanent and should be maintained in accordance with 04 NCAC 06C .1001 and .1002 Retention of Records. Refer to the Administrative Code for detailed information.

Consumer Questions

How do I file a complaint against a state-chartered credit union?

A complaint against a credit union can be filed by submitting a complaint on our website, faxing a complaint form to 984-275-6744, or mailing a complaint form to:

NC Credit Union Division
205 W. Millbrook Road
Suite #105
Raleigh, NC 27609

Do tellers ever make mistakes when giving back money?

Unfortunately, yes. Tellers do not always count your cash before you leave the window or drive-thru. Take a little extra time to count your cash before you leave the window or drive thru.

Can a co-signer on a loan really be held responsible for paying the loan if the borrower doesn't?

Co-signers are jointly and severally liable for repaying the loan if the borrower defaults; therefore, carefully consider the pros and cons prior to signing any loan contracts.

Is approval required to change the name of a state-chartered credit union?

A request must be submitted to the Credit Union Division for approval and amendment to the bylaws.  NCGS §§54-109.4, 54-109.2 (b)(1) and 54-109.5

Are all state-chartered credit unions in North Carolina federally insured?

Yes, NCUA provides share insurance for credit union deposit accounts up to $250,000. For more information please visit

How can I find information on a closed or merged state-chartered credit union?

Contact the Division by phone, 984-275-6730 or email your questions to

How do I find information on starting a new state-chartered credit union?

Visit our Chartering Information page for information on starting a new state-chartered credit union. See N.C.G.S. §54-109.2 for the laws related to starting a state chartered credit union.

For additional information, contact Administrator Kristina Ray at 984-275-6730 or email at


How can I make more informed choices about my money?

The Consumer Financial Protection Bureau (CFPB) enforces federal consumer financial laws and protects consumers in the financial marketplace.  Ask CFPB provides clear answers to many financial questions about your money.

How can I verify someone is authorized to represent a financial institution as a mortgage loan originator?

You can visit, a free service to confirm that the financial services company (credit union, bank, etc.) or professional with whom you wish to conduct business is authorized to do so in your state.

How can I research the financial condition of a state-chartered credit union?

The National Credit Union Administration (NCUA) provides federal deposit/share insurance for all state-chartered credit unions in North Carolina and for most credit unions throughout the United States. NCUA collects and maintains quarterly call report and profile data used to generate financial performance reports (FPRs) for credit unions they insure and/or regulate. You may access publicly available call reports, profile reports, and FPRs on the NCUA website.

What can I do if my state-chartered credit union turns me down for a loan?

Review the Adverse Action Notice you are provided for the reason(s) you are being denied. The credit union may offer financial counseling to help you strengthen certain financial areas. If you feel that you should not have been turned down, you may ask the credit union about an appeals process.

Additionally, if you have exhausted the appeals process with the credit union, you may submit a complaint with the NC Credit Union Division.

How many state-chartered credit unions are in NC?

We regulate 30 state-chartered credit unions with branches located throughout North Carolina. Please visit our Credit Union Directory for more information.

How long does it take to resolve my complaint with my state-chartered credit union?

Your complaint will be worked as quickly as possible after a written & signed complaint form is received.  All pertinent documentation that you feel would substantiate your complaint should also be submitted at that time.  The length of time to resolve your complaint depends upon various factors such as complexity, further documentation needed, etc.  Your complaint is tracked internally to ensure that steps toward resolution continue.

What do I need to do to serve on the Board of Directors for my state-chartered credit union?

Each credit union has its own policy that defines eligibility & procedures to serve on the Board of Directors.  Please contact the Manager or a representative for further information.

Can I buy stock in a state-chartered credit union?

No. Although credit unions are owned by their members, no member "owns" more of the credit union than any other member. Members of credit unions are required to have deposits (called "shares") in the credit unions, although the amount required is minimal. The Board Members are volunteers of like-minded individuals of the membership that have a passion for providing financial services to each member in an economical and affordable way, helping each member achieve their own financial goals. No member profits from ownership in anyway of credit union shares, other than simply the interest paid on their deposits. Many other financial institutions, like publicly and privately owned banks, pay returns to investors in their institutions (stock), along with the interest on the deposits they may or may not have in the institution (which are not required).

Why would I want to be a state-chartered credit union member?

Credit unions offer members a low-cost alternative to other financial institutions. Historically, credit unions afford their members lower rates on loans, higher rates on savings, and lower fees on financial products. Members' savings in all state-chartered credit unions are protected by federal deposit insurance, through the National Credit Union Administration up to $250,000 per individual depositor.

How do I learn about the State Home Foreclosure Prevention Project?

Contact the NC Housing Finance Agency at 1-888-442-8188 or visit their website at

Who do I contact about a Federal Credit Union complaint?

Members can email the National Credit Union Administration's Office of Consumer Protection (NCUA OCP), contact them via telephone at 703-518-6339 or fax 703-518-6682, or visit their website at for more information.

Members can also submit their complaint to:

1775 Duke St.
Alexandria, VA 22315

How can I claim my money that a state-chartered credit union has Escheated to the State of North Carolina?

Various companies and businesses, including credit unions, are required to Escheat or turn over dormant and/or unclaimed funds to the Department of the State Treasurer for safekeeping.

You can search for and claim your cash online at NC Cash or call 1-866-622-2741 for assistance.

How can I get my state-chartered credit union to put in additional ATMs or branches that are more convenient for me?

You can talk with the credit union management and make your needs known;  it may be that the credit union is already aware of a membership need and are addressing options.  However, it does come down to a business decision as there is a cost and/or benefit associated with every decision.

Why does my state-chartered credit union not offer business loans?

The decision as to which type of loans a credit union makes is a business decision for the credit union and not subject to regulation.  Business lending requires expertise in that area and qualified staff.

Why does my state-chartered credit union not offer 30-year fixed rate mortgage loans?

The decision as to which types of loans a credit union makes is a business decision for the credit union and not subject to regulation.  Long term fixed rate loans present certain interest rate risks for the credit union that must be managed.

Do all state-chartered credit unions in North Carolina have federal deposit/share insurance?

Yes, up to a general amount of $250,000 per account.  Please see your credit union and refer to the National Credit Union Administration for specifics.

Commission Questions

May I attend a Credit Union Commission Meeting?

Yes, Commission meetings are open to the public with the exception of any closed session. They are typically held twice a year, both in April and in October at the Credit Union Division in Raleigh.

What is the makeup of the Credit Union Commission?

The Credit Union Commission was created in 1971 by N.C.G.S. §143B-439. The Commission is composed of seven members who are appointed by the Governor for a term of four years. The following requirements must be met:

  • Three members must have had three years or more experience as a credit union director or in management of a state chartered credit union.
  • Four members represent the borrowing public and may be members of a credit union but shall not be employed by or a director of any financial institution or have any interest in any financial institution other than as a result of being a depositor or borrower.
  • No two persons on the Commission can be residents of the same state senatorial district.
  • No member can serve on a board of directors or be employed by another type of financial institution.

What are the Credit Union Commission's powers?

The Credit Union Commission is vested with full power and authority to review, approve, or modify any action taken by the Administrator of Credit Unions in the exercise of all powers, duties, and functions vested by law in or exercised by the Administrator of Credit Unions under the credit union laws of this State.

How do I become a commission member?

Commission members are appointed by the Governor for terms of four years. In the event of a vacancy on the Commission, the Governor shall appoint a successor to serve the remainder of the term.

Are Commissioners paid for their service?

Commissioners are only reimbursed for the expenses they incur in the performance of their duties such as mileage or hotel costs.  Commissioners may accept $15 a day for the days in which they are active on the Commission.