Article: Credit Unions to Get Federal Assistance; Most Institutions Are Healthy Despite Crisis

The federal government plans to pump billions of dollars into the nation's credit unions in a bid to stabilize an industry long considered to be sheltered from the problems shaking other kinds of financial institutions.

The National Credit Union Administration said yesterday that it would offer credit unions $2.5 billion in low-interest loans to support new lending and to help some institutions weather mortgage- related losses. The agency could expand the lending programs to a maximum of $41.5 billion.

The federal intervention highlights the reach of the financial crisis. Credit unions, cooperatives that lend to members at low interest rates, are widely regarded as the conservative wing of ...

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