Local 57 Plus Credit Union, 1717 S. Redwood Road, has been declared insolvent and sold to Pioneer Credit Union.
"All of the accounts were continued without interruption," said state Financial Institutions Commissioner George Sutton. "All of them were fully insured by the federal government."The commissioner took over operation of Local 57 Plus Credit Union late last month and received permission from 3rd District Court Presiding Judge Scott Daniels to sell certain assets and liabilities to Pioneer Credit Union.
Pioneer received $185,000 from the National Credit Union Share Insurance Fund for the difference in value between the assets and liabilities it acquired.
Sutton said Local 57 Plus Credit Union's problems were an isolated case, not typical of Utah credit unions in general. "They were a very small credit union, and they had some loan losses that really weakened them."