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Thrivent FCU OKd to acquire banks assetsliabilities
ALEXANDRIA, Va. (11/27/12)--Thrivent FCU was announced as the fourth newly chartered credit union of 2012 on Monday, and is the second bank-to-credit union charter conversion in U.S. history.

The National Credit Union Administration (NCUA) in a release said the new credit union on Dec. 1 will take on $500 million in assets, and certain liabilities, formerly held by Thrivent Financial Bank. The acquisition is the result of a bank-to-credit union conversion approved by the NCUA, the Federal Deposit Insurance Corporation, the Federal Reserve and the Office of the Comptroller of the Currency.

Thrivent Financial Bank is a subsidiary of Thrivent Financial for Lutherans, the fourth largest privately held company in Minnesota.

Thrivent in a separate release said all loan and deposit customer accounts held at the bank, including individual retirement accounts not serviced by Thrivent Financial Bank's Trust & Investment Services business, will be transferred to the new credit union. Existing trust accounts, investment management accounts and those individual retirement accounts currently serviced by Thrivent Financial Bank's Trust & Investment Services business will continue to be serviced and supported at Thrivent Financial Bank, under a new name, "Thrivent Trust Company," the release added.

The new credit union will become the largest faith-based credit union in the United States. Thrivent FCU will take on 47,000 clients from the bank, and has a potential membership of 2.5 million members nationwide, according to the agency. It will serve members from two branches located in Minneapolis, Minn. and Appleton, Wisc. Online services and a call center will also be made available to members.

NCUA Chairman Debbie Matz in a release said "it is indeed noteworthy that the Thrivent management team recognizes the many benefits of the federal credit union charter." Matz said the new credit union "is well-positioned to achieve success," and congratulated "everyone who worked to make this conversion possible."

For the full NCUA release, use the resource link.

Credit unions are not strangers to Thrivent Financial for Lutherans, which was the result of a merger in 2001-2002 of the Aid Association for Lutherans and Lutheran Brotherhood. The two organizations had a trust bank, three credit unions and a community bank in the Twin Cities. At that time it picked the thrift charter, which provided flexibility to continue to offer all the products and services of all the banks and credit unions.

Todd Sipe, who will serve as president of the new credit union, said on Monday that Thrivent FCU "is a logical fit with Thrivent Financial for Lutherans' history of aligning faith and finances." The credit union "will be able to offer a unique combination of financial expertise, competitive products and educational services, and shared values with our members. Our purpose will be to strengthen communities by helping members be wise with money so they can support the people and causes they care about," Sipe added.

Sipe earlier this year said the bank researched the needs and preferences of its members and decided the credit union model was the best model. Members preferred to become a member-owned not-for-profit organization where profits are returned in the form of better rates and fees, he said. "The credit union model is a great model in today's environment… clearly credit unions do enjoy a trusted relationship, so it reinforces the relationship we already have with our clients," Sipe added.
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