The $61 million SummitOne Federal Credit Union in Ogden, Utah, will merge with the $187 million Wasatch Peaks Federal Credit Union, also in Ogden, on July 1, the credit unions said.
SummitOne members approved the merger last week at the credit union’s annual meeting. Of the credit union’s 6,129 members, more than 1,000 members voted. According to SummitOne, 91% voted in favor of the merger.
Though SummitOne’s net worth is 7.38%, its loan income has steadily declined from $2 million in 2008 to $1.3 million in 2012, according to NCUA financial performance reports. The credit union also has seen its investment income drop from $1.2 million in 2008 to $433,721 in 2012.
In 2008, 2009 and 2011, SummitOne posted a total net loss of $806,846, according to NCUA financial performance reports. In 2010 and 2011, however, the credit union reported a total net income gain of $613,381.
Post merger, SummitOne’s four branches will remain open, according to a Wasatch Peaks CU blog post. Wasatch Peaks CU serves 25,864 members.
SummitOne FCU was founded as the Dee Hospital Credit Union on Sept. 13, 1954, to serve the financial needs of doctors, nurses, administration and staff at McKay-Dee Hospital. The credit union later changed its name to McKay-Dee Hospital Credit Union.
By 1974, its assets grew to $1 million. In 1989, the Ogden Clinic Credit Union and the Browning Employees Credit Union merged with McKay-Dee Hospital CU.
On Jan. 1, 2006, the credit union changed its name to SummitOne Credit Union to reflect the diversified membership, a federal charter conversion and an expanded field of membership.