Questions and Answers
Below are the answers to some of the most frequently-asked
questions about CUDIC.
Who is covered?
Every credit union member is covered. If a member
dies, the protection continues through a trustee,
executor, administrator or legal representative.
Who pays the cost of deposit insurance?
Each credit union pays premiums to CUDIC for deposit
insurance coverage.
What accounts are covered?
- All deposit accounts - the combined total of
each member's chequing, savings and term deposit
accounts - are covered up to $250,000, including
principal and interest.
- Trust deposits are insured separately up to
$250,000, including principal and interest. In
addition, each person in a trust account is insured
separately up to $250,000, including principal
and interest.
- All joint accounts owned by the same combination
of persons are added together and the combined
total is insured to $250,000, including principal
and interest.
- Every registered RRSP, RRIF, TFSA, and RESP investment
contract is insured separately to $250,000, including
principal and interest. This means that you can
have unlimited coverage of your TFSA and RRSP portfolio
by maintaining multiple contracts of $250,000,
or less.
What accounts are not covered?
- Equity shares issued by a credit union
- Self-administered TFSAs and RRSPs that are not deposits
(e.g., real estate, mutual funds)
- Contents of safety deposit boxes
- Securities held for safekeeping
- Mutual funds
- Accounts in foreign currency
Must I file a claim?
No. CUDIC will, as soon as possible, determine
all insured deposits and pay member claims as they
are entitled.
Who administers CUDIC?
The Nova Scotia Credit Union Deposit Insurance
Corporation is administered by a seven-member board
of directors appointed by the Province of Nova
Scotia, at least three of whom are nominated by
Atlantic Central.
How will I know if a credit union is insured by
CUDIC?
Every active credit union in Nova Scotia is required
by legislation to be insured by CUDIC. The credit
union must display the official membership sign
of CUDIC and the words - Member of Nova Scotia Credit
Union Deposit Insurance Corporation or Membre de
Société d'Assurance-Dêpots des Caisses Populaires
des la Nouvelle Écosse.
