The $180 million Service 1st Federal Credit Union of Danville, Pa. is merging the struggling $1.8 million Pennsylvania Grange FCU of Mifflintown effective Oct. 1.
Service 1st explained that Pennsylvania Grange CU approached Service 1st last May because PGCU wanted to offer a broader range of online services and because of “the increasing and overwhelming regulatory burdens faced by small credit unions.”
NCUA approval for the merger was granted in July. It was the first merger for the Danville CU since 2003.
Pennsylvania Grange founded in 1993 lost $29,000 last year and appeared headed for another downturn with a first half net loss of $17,000. PGCU has 500 members statewide.
Service 1st said it would be closing Pennsylvania Grange’s lone office with members directed to the shared branch network. Service 1st has eight branches and 20,000 members.