TNB Picks Up Another Larger Portfolio
DALLAS -- TNB Card Services, the card portfolio acquisition and marketing arm of credit union-owned Town North Bank, has picked up another large portfolio.
The purchase indicates the firm's continuing interest in larger card portfolios with the purchase of a 5,500-card portfolio from the $165 million CME Federal Credit Union, headquartered in Columbus, Ohio.
According to NCUA's records, the portfolio had outstanding balances of $14.4 million as of the end of September 2006.
The credit union chose TNB as the purchaser because of the premium offered for the portfolio as well as the firm's credit union ownership and ongoing partnership approach, TNB said.
"CME FCU has a strong and loyal cardholder base, but the card program had seen minimal growth in the last few years," said Jay Kurian, first senior vice president of TNB Card Services. "They realized they had to make a major change or a significant investment in order to revitalize the portfolio and avoid losing cardholders. By partnering with TNB, CME FCU is assured their card program will grow and remain part of the credit union movement."
"Even though we no longer own the portfolio, the ownership change will be transparent to our members," said Jim Riederer, president/CEO of CME FCU. "The card will continue to carry our brand, yet it will have a higher value to our membership because of TNB's rates, product offering, and commitment to client service."