There's more proof that credit unions and banks can actuallywork together for the greater good.

A little over a year after St. Louis Community Credit Union and Carrollton Bank announceda four-year, $800,000 collaboration project, the alliance hashelped to increase lending in several communities.

Both recently reported closing on 40 loans totaling $130,000 andnearly 100 accounts since the venture opened for business inDecember 2012.

Last May, the $237 million St. Louis Community CU and the $1billion Carrollton Bank in St. Louis, came together to helpincrease lending, provide greater access to affordable services,and expand financial education to underserved and low-to-moderateincome St. Louis communities.

The credit union and bank operate a branch within Kingdom House,a local St. Louis service agency.

Dorothy Bell, vice president of public relations and communityaffairs at St. Louis Community CU, said the branch has helped toprovide to those who may not otherwise have access to mainstreamfinancial services.

Under the agreement between the credit union and CarrolltonBank, four initiatives were planned: open a new credit union branchin an underserved community, open a new financial learning center,increase funds for small-dollar loan programs, and add two loanprograms.

Funds will be used to help open and operate St. LouisCommunity's first CU Excel Center, a financial literacy and lifeskills education destination point located in Northwoods, Mo. Thecenter will be owned and operated by the St. Louis Community CUFoundation and will offer free financial education classes andseminars to the public.

Carrollton Bank provided a $500,000 loan fund to make moresmall-dollar loans that include payday loan alternative and credit builder loans, which will beoriginated by St. Louis Community CU lenders.

Carrollton will also offer low-down-payment FHA home loans atall St. Louis Community CU offices and commercial loans to areabusiness owners.

St. Louis Community CU said it is certified by the U.S. TreasuryDepartment as a community development financial institution.

At the time of the announcement in May 2012, Patrick Adams,president/CEO of St. Louis Community CU, said “There are still manyneighborhoods in the St. Louis area that do not have convenientaccess to local mainstream banking services.”

He added, “We are so pleased Carrollton Bank's support will helpus establish a branch in another underserved community inside ofthe urban footprint.”