Alliance One keeps growing

COLUMBUS, Ohio - Alliance One has had another growth spurt. The selective surcharge-ATM alliance operated by Corporate One FCU has added 100-plus ATMs to its alliance with the addition of Patelco CU, Teachers CU, and Piedmont Aviation CU. Patelco brings 50 ATMs to the alliance; Teachers brings 46; and Piedmont offers 10. The ATM Alliance now has 722 participating CUs and three participating community banks. It has a total of 1,900 ATMs and is present in 25 states and Germany. Alliance One just recently completed the formerly announced acquisition of Credit Union ATM Alliance, a selective surcharge group formed by the Michigan CU League and Service Centers Corporation. That deal added some 300 CUs and 800 ATMs to the alliance. There is another deal on the horizon. According to Sheryl White, assistant vice president of product support for Corporate One, Alliance One is working on a deal to merge with CUCA$H, a selective surcharge group operated by the Wisconsin Credit Union League. That deal would give Alliance One entrance into Wisconsin, a state it currently has no CU participants or ATMs. It would also bring roughly 100 CUs into the group. Credit unions that joint Alliance One pay a one-time $250 fee and an annual $50 fee. There may be additional costs levied by a CU's data processing firm or terminal operator. Alliance One allows banks to join the selective-surcharge group, however banks joining Alliance One must own ATMs. Credit unions, on the other hand, merely have to have ATM cardholders to join. "We figured we needed banks to bring some additional value if we were going to let them in," said White. The selective surcharge alliance concept has gained in popularity in the industry in recent years. It allows credit unions to offer their members access to more surcharge-free ATMs, while also providing the potential for fee income by charging nonmembers at the ATM. Alliance One leaves the decision to charge nonmembers in the hands of each participating CU. White said a number of Alliance One CUs are charging nonmembers $1.50. -pgentile@cutimes.com