Mid-Atlantic Corporate Federal Credit Union and VACORP Federal Credit Union today announced their intention to pursue a merger, according to a joint announcement.
What prompted the decision to merge, said VACORP President/CEO Don Chapman, was the determination to provide "continuity of service for our members" and also to expand "the level of quality services" and products offered to members.
Mid-Atlantic Corporate President/CEO Jay Murray added that "by combining forces," the two corporate credit unions will be able to produce "a greater benefit for the whole."
Lynchburg, Va.-headquartered VACORP presently serves about 200 credit unions. Middletown, Pa.-headquartered Mid-Atlantic Corporate serves over 900 credit unions and its wholly-owned subsidiary, MY CU Services, LLC, provides 750 credit unions with bill-paying services. According to the statement, this is a merger of "financially sound" corporate credit unions.
The merger is contingent upon approval by NCUA as well as by VACORP's member owners who are expected to vote in March 2011.
The merger is expected to be completed by late 2011, and sources indicate Mid-Atlantic Corporate will be the name of the resulting entity.