Tonight the Beverley Hills City Employees Federal Credit Union went tango uniform, aka, failed, aka, conserved. So what is the story behind a credit union failing in one of the wealthiest cities in America?
Let’s dig in together.
First from the NCUA website:
Beverly Hills City Employees Federal Credit Union Conserved
Accounts Remain Protected by Share Insurance Fund; Member Services Uninterrupted
ALEXANDRIA, VA (January 22, 2026) – The National Credit Union Administration today placed Beverly Hills City Employees Federal Credit Union (FCU) in Beverly Hills, California, into conservatorship. Member services will continue while NCUA works to resolve issues affecting the credit union’s operations.
NCUA placed Beverly Hills City Employees FCU into conservatorship because of unsafe and unsound practices at the credit union.
Member deposits at Beverly Hills City Employees FCU remain protected by the National Credit Union Share Insurance Fund, which has the backing of the full faith and credit of the United States. Administered by NCUA, the Share Insurance Fund insures individual accounts at Beverly Hills City Employees FCU up to $250,000. A member’s interest in all joint accounts combined is insured up to $250,000. The Share Insurance Fund also separately protects IRA and KEOGH retirement accounts up to $250,000.
Beverly Hills City Employees FCU members can continue to conduct normal financial transactions, deposit and access funds, make loan payments, and use shares. The office is open Monday through Thursday and every other Friday (open January 30, 2026) from 8:30 a.m. to 4 p.m. Pacific. While continuing normal member services, the NCUA will work to resolve issues affecting the credit union’s operations.
Members with questions about Beverly Hills City Employees FCU operations may contact the credit union at 310.275.3802. Members with questions about the conservatorship may review the Beverly Hills City Employees FCU frequently asked questions posted on the NCUA’s website. Members with questions about their Share Insurance Fund coverage can find more information in the Share Insurance Coverage (Opens new window) section of the NCUA’s MyCreditUnion.gov (Opens new window) consumer website.
Beverly Hills City Employees FCU is a federally insured, federally chartered credit union with 1,542 members and reported assets of $16.5 million according to the credit union’s recent Call Report. Beverly Hills City Employees FCU serves the employees of the city of Beverly Hills, California.
While $16.5 million might not seem like a lot, it certainly does raise an eyebrow or two. From the Credit Union Times article today:
BHCEFCU’ s manages $8.1 million in investments, which makes up half of its total assets. Of that, more than $5.3 million is held to maturity, while $2.7 million is available for sale. The credit union reported $344,226 in accumulated unrealized losses on available-for-sale debt securities, according to its third-quarter Call Report.
Or maybe it’s auto loans that result in nine year old vehicles like this one being put up for fire sale on the front page of their website that might explain it:
This is just the small fry, the tip of the iceberg, etc, etc…
Wait until the community and regional banks are actually expose due to the consumer imploding in such a spectacular fashion.