ST. LOUIS, Mo. -- Gateway Metro Credit Union, a state-charted credit union since 1935, has made the switch to a federal charter.
The $180 million credit union has been approved by the NCUA to become a federally chartered credit union.
A 2007 law enacted by the Missouri legislature and signed by the governor restricts all state-chartered credit unions from expanding beyond the counties contiguous to their main office. With Gateway Metro headquartered in the City of St. Louis, it may expand only into St. Louis County.
"It's pretty restrictive for a state-chartered credit union within the city limits of St. Louis," said President/CEO David Barton. "We have St. Louis County on one side and the Mississippi River on the other. We're already in St. Louis County, and not too many Mississippi River inhabitants are interested in joining our financial cooperative," said Barton.
The federal charter provides greater opportunities in other ways besides, Barton said. "Being approved for a federal charter allows us the flexibility to apply for any county that we can prove we are capable of serving. For example, we would certainly like to have a presence in Jefferson County. Many of our members live there. Under our old state charter, that strategy would have been completely impossible," he said. "We feel strongly that the change in state law severely inhibits our ability to serve our existing membership and to be a growing, on-going business concern in the future."
--scooke@cutimes.com
