NCP Community Development FCU Seized by NCUA

The National Credit Union Administration (NCUA) placed NCP Community Development Federal Credit Union of Norfolk, Va. into conservatorship.

NCP Community Development Federal Credit Union is a low-income credit union with $2 million in assets.

According to NCUA, the credit union reported a loss of $381,739 for 2012. Its return on assets was minus 19.79 percent for 2012.

As a result, over the last year the credit union's net worth ratio went from 13.72 percent as of December 2011 to 3.83 percent at the end of 2012. This means the credit union was significantly undercapitalized at the end of 2012.

Read the press release.