Congressman Thompson Responds to Liquidation of Jackson Area Federal Credit Union

Washington, D.C. –  Today, Congressman Bennie G. Thompson (MS-02) issued the following statement following notification from the National Credit Union Administration (NCUA) that Jackson Area Federal Credit Union (JAFCU) has been liquidated and that Five Star Credit Union has assumed its member share accounts:

“Jackson Area Federal Credit Union has served thousands of families, public employees, and members of the Jackson and Hinds County communities for decades.  The liquidation of this longstanding institution is a serious development, and my primary concern remains protecting the members who entrusted their hard-earned money to this credit union.

“NCUA has assured my office that members transferring to Five Star Credit Union will experience no interruption in service and that federally insured accounts remain protected through the National Credit Union Share Insurance Fund.  Members deserve a transition that is orderly, transparent, and protects their access to their money.

“While protecting members must come first, the liquidation of Jackson Area Federal Credit Union also raises serious questions about the circumstances that brought the institution to this point.  My office will continue engaging with NCUA to ensure there is full transparency and accountability regarding what occurred, how members were affected, and what steps are being taken to protect them moving forward.”

On September 30, NCUA facilitated a partial purchase and assumption agreement under which Five Star Credit Union purchased certain JAFCU assets and assumed its member share accounts.  NCUA subsequently liquidated JAFCU.

According to NCUA, individual accounts remain federally insured up to $250,000, with separate coverage applying to certain joint and retirement accounts.  Members with questions regarding their accounts may contact Five Star Credit Union at (888) 619-1711, Monday through Friday, from 9:00 a.m. to 5:00 p.m.