Deposit insurance protects your money. 

You can be confident when you make deposits at a protected credit union because your money, up to the coverage limits, is safeguarded from loss.

For members, the New Brunswick Credit Union Deposit Insurance Corporation (NBCUDIC) provides deposit insurance against loss. 

For credit unions, we protect against financial losses by maintaining a deposit protection fund, and by providing financial assistance, when needed, for the purpose of stabilization. 

NBCUDIC is an agent of the Crown of the Province of New Brunswick that provides deposit insurance to members of provincial credit unions. NBCUDIC does not provide deposit insurance to members of a federal credit union or caisse populaire. NBCUDIC is governed by the provisions of the Credit Unions Act.
 

$250,000 of coverage per category

Members of New Brunswick credit unions with NBCUDIC insurance receive coverage of up to $250,000 in each of the six categories of savings cited below. Since every category comes with its own, separate coverage of up to $250,000, if you have savings in four categories, you have a combined coverage of up to $1,000,000, depending on your account balances. The six categories are:

• accounts held in one name

• joint accounts (two or more names)

• trust accounts (in trust for someone else)

• registered retirement savings plans (RRSPs)

• registered retirement income funds (RRIFs)

• tax-free savings accounts (TFSAs)
   

Eligible deposits include a combination of savings accounts, chequing accounts, term deposits and guaranteed investment certificates (GICs) with an original term to maturity of five years or less, money orders, drafts, and certified cheques.

Investments and deposits not covered

NBCUDIC does not insure all accounts and financial products. The following are not covered by deposit insurance:

• investments in mortgages, mutual funds, and stocks

• term deposits and guaranteed investment certificates (GICs) with an original term to maturity of more than five years

• bonds and debentures issued by governments and corporations

• membership shares and other types of shares issued by a credit union

• treasury bills

• deposits held in foreign currencies

• deposits made at banks and trust companies

• deposits made at credit unions or caisses populaire that are not members of NBCUDIC

The fine print

Joint deposits—deposits owned jointly with someone else—are insured separately from deposits in your own name. The maximum insurance for all eligible deposits having the same joint owners at each member credit union is $250,000 collectively—not per individual owner.  To qualify: 

• The deposit must be jointly owned.

• The records of the credit union must identify the name and address of each joint owner.
   

Trust deposits—deposits held in trust accounts—are insured separately from deposits owned by the trustee or beneficiary. If a trust has more than one beneficiary, each beneficiary’s portion is insured up to $250,000. Eligible deposits having both the same trustee and the same beneficiary are combined, and the total is insured to a maximum of $250,000.  To qualify:

• The credit union’s records must identify the name and address of the trustee(s), the name and address of the beneficiary(ies), and the interest of each beneficiary.

• The deposits must be held in trust. 
   

Registered plans are insured separately from the other deposits held by a member. Registered deposits  include the RRSP, RRIF and TFSA of a member. All eligible RRSP deposits of a member are combined to determine the amount insured up to a maximum of $250,000. The same applies to RRIF and TFSA eligible deposits.

NBCUDIC does not insure all moneys held in registered plans. To be insured, the funds must be held in eligible deposits, which include a combination of savings, term deposits and guaranteed investment certificates (GICs) with an original term to maturity of five years or less. Deposits must be payable in Canada in Canadian currency.