Archive Links

Consumer Archive
CU System Archive
Market Archive
Products Archive
Washington Archive

Products Archive

Products

Xtend ahead of budget in 3rd Q

 Permanent link
GRAND RAPIDS, Mich. (8/3/11)--Through three quarters of its fiscal year, Xtend Inc., a Grand Rapids, Mich.-based multi-owned cooperative credit union service organization (CUSO), reported that it was ahead of budget in nearly every key measurement. Overall sales through three quarters grew 18.9% year-over-year, Xtend President Scott Collins noted in his quarterly report to stock holders. “Each of our business units exceeded its third-quarter 2010 revenue, several by double digits,” Collins said. Among the business units experiencing revenue growth were mortgage services (46.9%), Member Reach electronic member-communication service (35.8%), Xtension Call Center (11.6%), back-office bookkeeping (9.8%) and Audit Link compliance monitoring (7%). The CUSO reported that sales for the first six months of its fiscal year totaled $1.12 million. Expenses also were under budget, Collins said. Also during the third quarter, Xtend was selected as the National Collaborative CUSO of the Year at the National Association of Credit Union Service Organization annual meeting.

Mortgage CUSO TruHome Solutions notes growth

 Permanent link
LENEXA, Kan. (8/3/11)--Since 2005, TruHome Solutions’ first year of operation, the credit union service organization has originated more than $1.7 billion in total mortgages for its client credit unions, servicing more than 13,000 total loans. TruHome passes on to its credit union clients 100% of the mortgage servicing fee income paid by the agencies, said Keith Varney, TruHome chief operating officer. Credit union mortgage production growth, among non-owner clients, grew 175% in 2010 over 2009. The number of TruHome partner mortgage clients originating all 12 months increased more than 100% during the same time. “TruHome provides an end-to-end outsourcing model that minimizes margin volatility, while at the same time helping to ensure long-term profitability for the credit union’s mortgage offerings,” Varney said. “It’s so volatile, credit unions can’t staff up for the ebb and flow of mortgage volume,” he added. “Plus, if they have it in-house it’s a fixed cost; with TruHome it turns into a variable cost. So, outsourcing certainly helps minimize the margin volatility, helps build a more variable cost structure, but also helps keep credit unions profitable long-term,” he added.