Archive Links

Consumer Archive
CU System Archive
Market Archive
Products Archive
Washington Archive
150x172_CUEffect.jpg
Contacts
LISA MCCUEVICE PRESIDENT OF COMMUNICATIONS
EDITOR-IN-CHIEF
MICHELLE WILLITSManaging Editor
RON JOOSSASSISTANT EDITOR
ALEX MCVEIGHSTAFF NEWSWRITER
TOM SAKASHSTAFF NEWSWRITER

CU System Archive

CU System

CUs' Presence in Small-Biz Lending Grows

 Permanent link
MADISON, Wis. (12/17/13)--Credit union approval rates for small business loan applications improved to 44.5% in November from 43.4% in October, according Biz2Credit, a funding source for small businesses.
 
A Dec. 12 article from the Fox Business Small Business Center advising entrepreneurs on how to apply for their first business loans suggested applicants seek out credit unions as their financial institution of choice.
 
In the Coleman Report, a small business lending newsletter, columnist Charles Green suggested allowing credit unions to make more business loans is among the ways to increase small business lending. Ty Kiisel cited Green for his Dec. 16 column in the Deseret News. "All my community banker friends now want to hang me up by my toenails, but anything that provides more capital availability is a good idea in my opinion," Kiisel wrote.
 
Credit union business lending has a growing presence throughout Pennsylvania. A 2014 business lender list, compiled by the Pennsylvania Credit Union Association (PCUA), shows 133 contacts at 32 credit unions that are active business lending institutions.
 
PCUA has provided the information to the Pennsylvania Small Business Development Centers (SBDC). Credit unions are now more likely to get referrals for business loans from the state's SBDC offices, PCUA said (Life is a Highway Dec. 16).
 
Credit unions were cited throughout 2013 for the capital support they provided small businesses throughout the Great Recession, and credited with picking up the slack created as banks clamped down on credit to small business owners, for instance by Bloomberg Business Week in June. However, that same Bloomberg  article noted the statutory member business lending (MBL) cap is constraining credit unions in their ability to support their small business members.
 
The Credit Union National Association has been urging Congress to allow credit unions to play a larger role in helping small businesses through MBLs. The statutory cap on MBLs loans, as a proportion of credit union's assets, is currently 12.25%. CUNA says that raising the federal government-mandated ceiling to 27.5% would inject $13 billion into the economy, and help boost employment by 140,000 at no cost to taxpayers.

Iowa, Cornerstone League CUs Note Strong Growth

 Permanent link
MADISON, Wis. (12/17/13)--Analysis of the third-quarter numbers from the National Credit Union Administration (NCUA) continues to show strong credit union growth across the nation.
 
The Iowa Credit Union League noted that Iowa's credit unions are first in the nation in annual share and deposit growth. Iowa posted a 9% year-over-year gain in deposits to $10.1 billion. In total asset growth, Iowa had the second-fastest rate with 8.2% compared with 2012--nearly double that of the national growth rate of 4.3%.
 
"We are seeing very positive growth in credit union membership, loans and deposits, while continuing to enjoy a strong capital ratio and low delinquency," said Patrick Jury, league president/CEO.
 
The Cornerstone Credit Union League noted that area credit unions have written 2.15 million new loans worth $24.5 billion into its member states' economies (Leaguer Dec. 16). Arkansas credit unions wrote $663 million in new loans through September, Oklahoma credit unions have written $3.3 billion, and credit unions in Texas wrote more than $20.5 billion.
 
In the past 12 months ending Sept. 30, credit unions in Arkansas, Oklahoma and Texas saw assets grow by almost 5.6% (Leaguer Dec. 16) to $94.8 billion.  Growth was strongest in credit unions with more than $250 million in assets, but even those with less than $50 million in assets grew 1.2%.
 
NCUA's breakdown of numbers for federally chartered credit unions showed Idaho had the strongest third quarter for outstanding loans, membership and assets; Missouri's credit unions reached $11.2 billion in assets (News Now Dec. 5); and Minnesota membership reached an all-time high of 1.6 million (News Now Dec. 6).

CU System Briefs (12/17/2013)

 Permanent link
  • METAIRIE, La. (12/17/13)--Louisiana Corporate Credit Union announced the election of new board members at its annual meeting in November. Reggie Gremillion, CEO of Wymar FCU in Geismar, La., and Melissa Matherne, a certified public accountant for Fleur De Lis FCU in Metairie, La., were chosen to serve on the board. The meeting was also the last for board members Donald Bock, chair of the New Orleans Firemen's FCU in Metairie, and Larry Landry, board member of Dow Louisiana FCU in Plaquemine, La. Both men retired from Louisiana Corporate's board of directors. Board members returning next year include Coastland FCU CEO George Florane, Jefferson FCU CEO Mark Rosa, and CY-CO FCU CEO Joyce Taylor. Lousiana Corporate Credit Union is a wholesale lender serving more than 200 credit unions ...
  • ARLINGTON, Va. (12/17/13)--National Cooperative Bank Executive Vice President Barry Silver will be inducted into the Cooperative Hall of Fame next year. Silver, who joined NCB in 1980, will be recognized for his work promoting the cooperative model around the world. He helped launch the NCB Co-op 100, an annual list highlighting the positive impact of cooperatives in the U.S, and, twenty years ago, helped found the Purchasing Co-Op Conference, an annual gathering for CEOs in the purchasing cooperative sector. Silvers has also consulted for the World Bank in China, working with agricultural cooperatives for four years, and has worked with the U.S. Agency for International Development on cooperative and capital enhancement projects in Peru. He has also assisted credit unions in the Dominican Republic and is attempting to help Spain's Mondragon Cooperative expand to the U.S. Silvers has served as an adviser and a board member for a number of non-profits, including the Advisory Board of Group Health Association, the National Grocers Association, the Sollars Fund, the National Multicultural Institute and the Cooperative Development Foundation. The Cooperative Hall of Fame is administered by the Cooperative Development Foundation, which is the charity arm of the National Cooperative Business Associations. NCB offers banking and financial services to U.S. cooperatives and their members ...

CO-OP Simplifies Giving to CMNH via ATMs

 Permanent link
RANCHO CUCAMONGA, Calif. (12/17/13)--CO-OP Financial Services and Credit Unions for Kids, the program through which credit unions raise funds for Children's Miracle Network Hospitals, are introducing an add-on transaction that will allow credit union members to make charitable contributions during their ATM transactions.
 
"It is a very easy matter for our clients to activate this convenient charitable contribution opportunity for their members," said Stan Hollen, CO-OP Financial Services president/CEO. "We encourage them to take advantage of this program promptly to maximize giving."
 
Debit card-holding members of credit unions may contribute to the industry's charity of choice, Children's Miracle Network Hospitals, while they conduct their business at participating CO-OP ATM locations.  
 
Credit Unions for Kids, a nonprofit collaboration of credit unions, chapters, leagues/associations and business partners nationwide, raises funds for 170 Children's Miracle Network Hospitals. Credit unions are the nation's third-largest sponsor of the hospitals, and 100% of every dollar donated goes to support research and training, purchase equipment or pay for uncompensated care for children.
 
"Credit Unions for Kids is dedicated to helping sick and injured children receive the care they need regardless of their financial situations," said Joe Dearborn, CMN Hospitals senior director. "CO-OP Financial Services has been a steadfast partner for more than 15 years, and they have now come up with another wonderful way for credit union members to participate in this great cause."  
 
CO-OP Financial Services also manages the CO-OP Miracle Match program on behalf of its 3,500-client credit unions. The program grants $1 million annually in matches to Credit Unions for Kids fundraisers. CO-OP is now accepting applications for the 2014 CO-OP Miracle Match program.
 
Also, CO-OP Financial Services will provide support for the Credit Unions for Kids development manager position at the American Association of Credit Union Leagues for three additional years. CO-OP also supported the position for three previous years.
 
The Credit Unions for Kids Development Manager position supplies the Credit Union National Association and credit union league system with resources to better support their member credit unions' initiatives with Credit Unions for Kids (CU4Kids).
 
"It is in large part because of CO-OP's commitment, led by Stan and his entire team, the CU4Kids program has enjoyed so much success," said Dearborn. "From the million dollars pledged annually in helping the Miracle Match program to the support of the CU4Kids development manager position at ACCUL, CO-OP has been a real leader in the credit union community to support the kids and families served by CMN Hospitals."

Southeastern CU League Moves to New Offices

 Permanent link
BIRMINGHAM, Ala., and TALLAHASSEE, Fla. (12/17/13)--In a move to reduce operating costs, the League of Southeastern Credit Unions (LSCU) and Affiliates moved its Tallahassee, Fla., office and signed a new lease for its Birmingham, Ala., location.
Click to view larger image The League of Southeastern Credit Unions moved its Tallahassee, Fla., office to the Credit Union Center building. (Photo provided by LSCU)
 
LSCU moved to Credit Union Center--the building that currently houses Member Business Solutions, a CU Members Mortgage regional office and Corporate One FCU's Florida offices.
 
The new Tallahassee address is LSCU and Affiliates, 3692 Coolidge Ct., Tallahassee, FL 32311.
 
"We signed a new lease for our Birmingham office that downsizes our existing space and provides a better rate," said Patrick La Pine, league president/CEO. "These two moves will show about $2 million in savings over seven years."
 
Lease-holder improvements at the Birmingham office also will be seen by the end of the first quarter of 2014, according to the league.
 
LSCU and Affiliates represents 285 member credit unions in Florida and Alabama.

Today's the Deadline for 'Crash the GAC'

 Permanent link
MADISON, Wis. (12/17/13)--Time is running out for young credit union professionals to apply for Crash the GAC 2014, held in conjunction with the Credit Union National Association's Governmental Affairs Conference (GAC).
 
Applications are due today to receive a full conference registration for the Feb. 23-27 event in Washington, D.C.
 
Now in its fifth year, Crash the GAC's goal for 2014 is to have 51 "crashers"--one from each state and the District of Columbia.
 
Crashers start their experience with a meet-and-greet session Feb. 23 then launch into a schedule packed with mentoring opportunities with key industry players, a strong focus on advocacy and a review panel to take their lessons home to their states and credit unions.
 
Crash the GAC is presented by The Cooperative Trust and CUNA--in association with state credit union leagues and other credit union associations--and sponsored by CUNA Mutual Group.
 
Use the link or email trust@trust.coop for more information about applying or about available sponsorships.