Jennifer Calonia, a Los Angeles-based Web writer and editor, hadno common bond with the $15.5 billion Pentagon FCU, headquartered across the country in Alexandria,Va.

That is, until she joined an association PenFed pitched on itswebsite as a path to membership eligibility.

Calonia, who writes and edits consumer content for Go Media Network, published this week an article titled “10Credit Unions Anyone Can Join” that lists credit unions like PenFedthat openly promote associational membership as a path toeligibility.

She said she came up with the story idea after looking for alocal credit union she could join that offered a competitive gasrewards credit card program. While researching online, shediscovered PenFed, which made the list in Calonia's article.

“While I'm not a military member, I paid into one of theirsponsored organizations, Voices for America's Troops, with a $15membership fee,” Calonia said of how she joined PenFed.

Calonia said she was excited to have discovered she could joinPenFed, and because she's had a good member experience, wanted toshare the information with consumers.

Is this method of recruiting new members compatible with commonbond requirements set forth in the Federal Credit Union Act and theNCUA's Field of Membership Manual?

PenFed spokeswoman Tawnya Lancaster declined to comment on thearticle.

The NCUA requires that associations wishing to partner withcredit unions to offer membership to their list of benefitsmaintain bylaws, a membership list, meetings and have duesrequirements. However, there is nothing in the rules that preventsa credit union from using associations as a catch-all for those whoaren't otherwise eligible for membership.

Examiners do check for compliance within field of membershiplimitations when there is a concern or a suspicion that the creditunion is not complying with the established limits, said NCUAspokesman John Fairbanks.

“In cases where membership growth is unusual or there may beindicators the credit union membership screening process is notwell-controlled, examiners may perform sample testing during theexam,” he said.

Birmingham, Ala.-based industry consultant and former NCUA BoardMember Dennis Dollar said there's nothing wrong with collaborativearrangements between credit unions and associations that generatenew members for both.

“More and more associations are seeing the value in theserelationships, as are a number of SEG-based credit unions lookingfor additional avenues for membership growth,” Dollar toldCredit Union Times. “As long as the association islegitimate, this is good marketing for both the association and thecredit union.”

Meeting regulatory requirements is good enough for the NCUA, butwhat about the impression left on consumers like Calonia, whothinks credit union common bond requirements are a myth?

American Bankers Association Senior Economist Keith Leggett said the practice abuses and devalues the creditunion charter, and that it makes the case for Congress to repealthe credit union tax exemption.