Mid-States and Iowa Corporate Central Closer to Launch
WEST DES MOINES, Iowa - Back in June, Mid-States Corporate and Iowa Corporate Central announced a first of its kind deal that would see Iowa credit unions shift their deposits to Mid-States and take advantage of the larger corporate's considerable rate advantage. The heart of the deal is giving Iowa CUs access to Mid-States' investment products, which will be co-branded. Iowa Corporate however will be the agent and will conduct the transaction on behalf of its members, thus keeping the relationship. According to Iowa Corporate Central CU CEO Tom Kuehl the deal has been delayed as the two corporates work with regulators. While the two corporates did not seek regulatory approval, Kuehl said the corporates wanted to address any concerns or questions of the regulators, and there have been some. He said the regulators have not brought up anything that would stop the arrangement and he expects Iowa CUs to start their relationship with Mid-States in a few weeks. Kuehl said there has been strong interest from Iowa CUs, with over 40 contracts already in hand.