Big Credit Unions Steer Clear of Banks
Although no one has yet challenged my $100 billion figure, my own review of credit union data indicates the number is much lower.
Natural person credit unions over $1 billion in assets have done a very good job of not using banks. However, smaller asset credit unions still use banks for investments. For example, credit unions in the state of Washington have $300 million invested in banks.
And, as of November 2007 data, corporate CUs still have about $40 billion invested with banks.
I would like to retract the letter and acknowledge the progress, but indicate we have a long way to go.
Editor's Note: This letter to the editor corrects one published in the March 5 issue of Credit Union Times. The previous letter by Mr. Kerslake stated that credit unions kept more than $100 billion in deposits and investments with ABA dues-paying banks.