By Mary O’KEEFE
The Glendale Area Schools Federal Credit Union is asking its members to vote on a decision to move from a federal credit union to a California state credit union.
“By moving from federal to state charter and moving the insurance coverage from federal to private requires a vote from the membership,” said Stuart Perlitsh, chief executive officer of GASFCU.
At present funds at the credit union are insured through the federal government with a limit of $250,000.
“With a private insurer we don’t have that restriction,” Perlitsh said. “Right now we have a sum in total of $21 million not presently insured. By doing this [transition all money] will be 100% covered.”
Perlitsh added that several other credit unions have done this federal to state transition including Los Angeles Fireman Credit Union, Fiscal Credit Union and a California Highway Patrol credit union in addition to others.
GASFCU members have or soon will be receiving ballots concerning the transition. If members do not receive the ballots they can pick one up at the GASFCU office. Voting is throughout the month of December.
If approved the transfer will most likely be completed in March 2016. The private insurance companies available for the credit union are vetted through the state.