"As students and parents look to fund the gap between government-sponsored lending and the rising cost of higher education, the demand for private student loans continues to grow," said Jim McCormack, president/CEO of PCUA. "Coupled with the fact that the federal government is making broad changes to the federal student loan program, it is apparent that the student lending opportunity for credit unions falls in private student lending. Accordingly, we have researched the various programs and, after careful deliberation, have selected Credit Union Student Choice as our partner for private student loan services."
CU Student Choice currently works with eight credit unions in Pennsylvania, according to CU Student Choice President Jon Jeffreys.
"Their program provides credit unions with great flexibility by allowing them to control pricing and underwriting standards. In addition, the CUSO has a deep commitment to, and knowledge of, the credit union industry. The program has been designed by credit unions, for credit unions, and they have the support and backing of several well-established credit union service organizations," McCormack said on why they chose CU Student Choice.
N.C. CU Sorts $317,000
Charity groups have sorted approximately $317,000 in coins for free thanks to help from State Employees' Credit Union.
In 2005, the $18 billion credit union installed coin sorters at its 225 branches across North Carolina. SECU sorts the coin for nonprofit groups like the Knights of Columbus, which sponsors campaigns to assist other entities that support people with disabilities.
The credit union said typical coin sorter fees start at 7% with some as high as 10%. Because it does not charge a fee to nonprofit groups to use the coin sorters, SECU said it has saved the organizations nearly $25,000.
SEC to Crack Down on 'Pay to Play' Practices
The SEC has proposed several measures intended to curtail "pay to play" practices by investment advisers who seek to manage money for state and local governments.
The SEC has proposed barring investment advisers who have made political contributions to elected officials for two years from providing advisory services for compensation. The proposed rule also would prohibit an adviser from coordinating or asking another person or political action committee to make a contribution to an elected official who can influence the selection of the adviser.
Under the SEC's proposal, investment advisers would be prohibited from paying a third party, such as a solicitor or placement agent, to solicit a government client on behalf of the investment adviser.
The proposals relate to money managed by state and local governments including government public pension plans, teacher retirement plans and 529 plans.
Students Intern at MCT
MCT Federal Credit Union has hired five teens to work at the credit union this summer for a paid internship.
Each summer, MCT offers the internship program to Montgomery County High School students who work at MCT's student-run in-school branches and to students enrolled in the Academy of Finance program at the school.
"MCT offers an internship program designed to enhance our relationship with our primary membership group, Montgomery County Public Schools, and to provide students with practical work experience as part of their education. Additionally, interns obtain skills for future employment opportunities," said Sandra Gura, director of organizational development at MCT. "In fact, six current MCT employees worked here as interns at some point."
Three of the five interns work at an MCT branch, one works in the contact center and one works in the information technology department. All interns underwent one to two weeks of training.
"I really enjoy working on a team here at the branch," said Blair Wilen of Magruder High School. "It's been fun learning new things from my team members and managers. Working on a team and interacting with members is good practice for my future career in communications."
Vancity CU Sells Insurer
Canada's largest credit union, the $14.5 billion Vancity, said it will sell its subsidiary that offers business, home, auto and travel insurance to the Co-operators, a Canadian cooperative.
Vancity Insurance Services Ltd. has 28,000 residential, 48,000 auto, 10,000 travel and 2,000 commercial insurance policies, the Vancouver-based credit union said in a July 21 statement.
Under the agreement, the Co-operators subsidiary, Federated Agencies Ltd., will acquire VISL, including all its service locations on Sept. 1. VISL customers' insurance plans will remain in effect with no changes to their premiums or coverage for the current term of their policies, according to Vancity. VISL retail locations will begin to operate under the Co-operators brand on Sept 2. A purchase price for the transaction was not disclosed.
Vancity said it will continue to offer life, creditor and title insurance as part of its overall financial services offering.
The Co-operators is a group of Canadian companies offering home, auto, life, group, travel, commercial and farm insurance, as well as investment products. Owned by Canadian cooperatives and credit unions, parent company the Co-operators Group Ltd. has more than $7 billion in assets.
Two Sign With CU 24
A Virginia credit union and one in Ohio have signed on with Credit Union 24, according to the ATM and EFT network. The $45 million Front Royal Credit Union is headquartered in Front Royal, Va., an outlying community west of Washington. The $20 million PEF Federal Credit Union is headquartered Highland Heights, Ohio.
"Our dedication is to our members' financial future, which includes lower cost financial services and keeping more cash in their pocket," said Kimberly Darr, president/CEO of Front Royal Credit Union.
"This partnership is part of our evolution and our members' evolution into the next decade, which is sure to bring even more unique financial advantages and challenges. We're here for our members-no matter what arises," Darr said.
"Front Royal is an excellent example of credit unions serving their members in every detail," said Jim Park, president/CEO of Credit Union 24. "Through education, outreach to the younger generation and seasonal promotions, Front Royal is rooted in its community, and we're proud to offer unique financial products and services that continue advancing the financial well-being of its members."
STCU Names William Brothers Its New CEO
STCU Credit Union looked from within to find its new President/CEO William Brothers.
The former vice president/chief financial Officer succeeds Gary Fishlock, who retired last month after leading the credit union for six years.
Prior to joining the Springfield, Mass.-based credit union, Brothers had over 32 years experience in finance at community banks, including as vice president/treasurer of Monson Savings Bank and vice president/treasurer of Cohasset Savings Bank. He has a bachelor of science degree from Boston State College and a graduate certificate in savings banking from Fairfield University. He also completed the financial planning program at Boston University and holds the certified financial planner designation.
In addition, Brothers is a board member of the Pioneer Valley Chapter of the Massachusetts Credit Union League and a trustee of the Credit Union Employees Retirement Association. He is a past president of the New England Safe Deposit Association and past vice president of the American Safe Deposit Association.
STCU Credit Union Accounting Supervisor G.R. Keyes has also been promoted. Keyes has been named treasurer. In addition to his current oversight of the credit union's accounting areas. he will now also report to the asset liability committee, audit committee and the board of directors.
Hawaii FCU CEO Retires
Add University of Hawaii Federal Credit Union CEO Ariel Chun to the growing list of leaders leaving the credit union industry.
After 23 years of service, Chun has announced she will retire effective Dec. 31.
"Now that UHFCU is in great financial shape, I will bid aloha to my ohana [family] and a place I call home. Now is the time to spend more time with my other family, and I especially intend to lend a helping hand to care for my aging parents," Chun said.
"Of course, when time allows I can continue my work with community service organizations. I feel confident that I am leaving a legacy that embodies the true spirit of the credit union movement of people helping people."
Under her leadership, the credit union has transformed from a mom and pop operation with a handful of employees in a crammed office at the University of Hawaii Manoa Campus to employing over 70 employees to serve more than 23,000 members.
Chun has also been credited with instituting shared branching to provide banking opportunities at more locations for UHFCU members.
The search for her replacement has begun, and the credit union anticipates making an announcement later this year.
UHFCU is Hawaii's seventh largest credit union and has over $390 million in assets. The credit union serves the faculty, staff, student and alumni association members of the University of Hawaii and its affiliated community colleges on all the Hawaiian Islands.