Credit Union Times Magazine March-28, 2001

News

  • Andale, ndale CUs! Hispanic market is calling

    WEST PALM BEACH, Fla. - Opportunity is knocking for credit unions and it has a Latin beat. According to the recent 2000 U.S. Census Bureau Current Population Survey, Hispanics are the fastest-growing ethnic group with a 60% increase since 1990. They represent 12.6% of the U.S. population which translates to...

  • What's new?

    Here's the latest offerings regarding the Hispanic community: *Multicultural Marketing: Selling to New America by Alfred Schneiber and Barry Lenson, shows businesses how to reach today's complex multiethnic American marketplace. Illustrated with case studies and actual marketing plans, the book covers all aspects of marketing to the "New America", from...

  • Hispanic population explosion

    With reports of the recent Hispanic population explosion as being not only the largest minority group but also the youngest, there is a greater urgency for credit unions to serve this community. In a special report on pages 14 &15 experts discuss steps which can be taken to tap this...

  • CU direct marketing success

    GASDEN, Ala. - When Family Savings Credit Union started recruiting new select employee groups, it decided that it was past time to reach the growing number of Hispanics in the area. A simple Spanish membership payroll insert conveyed the credit union's message that "Your new employer now offers credit union...

News Briefs

  • Bill on business checking accounts in mark up

    WASHINGTON-At press time, two bills concerning allowing interest to be paid on business checking accounts were facing mark up by the House Subcommittee on Financial Institutions and Consumer Credit. The House Financial Services' Subcommittee was scheduled to consider the Small Business Interest Checking Act (H.R. 974) and the Business Checking...

  • Danbury Municipal FCU members approve merger with Sikorsky Financial CU

    DANBURY, Conn. - Members of Danbury Municipal FCU have overwhelmingly approved a merger with Sikorsky Financial Credit Union, the largest state-chartered credit union in Connecticut. At the election meeting held March 18, 96% of the votes cast by DMFCU members were in favor of the merger. The merger has already...

  • Oregon MBL bill passes out of state House committee

    SALEM, Ore. - The Technical Bill with Member Business Loans (H.B. 2775) passed out of the state House Business Labor and Consumer Affairs Committee March 20. The bill is expected to go to the floor of the House for a vote sometime this week. H.B. 2775 updates the Oregon Credit...

  • NSC selects firm to market executive retirement plan

    ARLINGTON, Va. - NAFCU Services Corp. (NSC), a wholly-owned subsidiary of NAFCU has selected BENMARK, one of the leading benefits consultants to financial services institutions, to be the exclusive provider of the company's Credit Union Executive Retirement Plan (CUERP) which NSC introduced in July 2000. CUERP was designed by NSC...

  • InfiCorp acquires Amarillo Community FCU credit card portfolio

    ATLANTA - InfiCorp Holdings, Inc., a credit card portfolio management company, has bought yet another credit card portfolio. This time Amarillo Community Federal Credit Union in Texas is the latest credit union to sell its credit card portfolio. In addition, InfiCorp and ACFCU have entered into a long-term credit card...

  • CUNA broadens media focus beyond trade pubs

    WASHINGTON-This week CUNA plans to hold a public relations advocacy meeting for the American Association of Credit Union Leagues (AACUL). Mark Wolff, CUNA vice president of communications, said the group will use the opportunity to look at major public relations issues both on the political side and the marketplace side....

  • OCC takes a bite out of NY ATM fee ban

    WASHINGTON - In a letter to the New York City Council, the Office of the Comptroller of the Currency has reiterated its stance that national banks have the right to set and charge fees for automated teller machine transactions under the federal National Bank Act, and this law pre-empts state...

  • CCUC leader to be online guest of news columnist

    WASHINGTON - Bradford Caldwell, executive director of the Campus Credit Union Council will be the guest on May 8 of Washington Post columnist Bob Levey on the weekly chat, "Levey Live." Caldwell will discuss the mission of CCUC, as well as current issues facing college students and how they handle...

  • Dexma technology drives BECU mortgage applications up 30%

    MINNEAPOLIS - Internet mortgage technology software application service provider Dexma has successfully helped increase Boeing Employees' Credit Union's mortgage applications 30% over a four-month period. Dexma's mortgage technology platform and Fannie Mae's Desktop UnderwriterT product power Prime Alliance Solutions, an Internet-friendly lending solution for credit unions that was founded as...

  • McDonnell says consumer groups look anti-consumer on bankruptcy legislation

    VIENNA, Va. - Navy FCU President/CEO Brian McDonnell, who has been active in the bankruptcy reform process for years, says consumer groups are acting more like anti-consumer groups by opposing bankruptcy reform legislation that allows credit union members to voluntarily reaffirm their credit union debts. "Generally, I find myself siding...

  • WesCorp wants to know what its members think - good or bad

    SAN DIMAS, Calif. - It's great to grow, but not at the expense of the clients. That's the philosophy the $14.8 billion WesCorp is trying to maintain with new methods of measuring its performance in serving credit unions.

  • CUs hear unchanging message on change at Big Valley Educational Conference

    MONTEREY, Calif. - The message hasn't changed. The question is, have credit unions? That was the overriding theme of the California Credit Union League's Big Valley Educational Conference held here March 15-17. Speaker after speaker tried to impress upon the 600 credit union leaders attending the event that no less...

  • Boeing relocation shouldn't affect BECU

    SEATTLE - Mammoth Aerospace firm Boeing said today that it plans to move its corporate headquarters out of Seattle. Boeing cited Chicago, Denver, and Dallas-Fort Worth as possible target cities for its new headquarters. Worldwide Boeing employs 200,000 people, including 78,000 in the Pugent Sound area in Washington. The headquarters...

  • Boeing Employees CU to the rescue for lawmakers' financial service

    OLYMPIA, Wash.- State legislators, lobbyists and staff, who have scarce time to travel far for access to a cash machine, have depended on Washington State Employees CU's ATM located in the state Capitol building for convenient access to their money. So when the credit union's ATM was put out-of-service after...

  • A study in bipartisanship or politics as usual?

    WASHINGTON-Capturing the essence of the bipartisan spirit necessary to pass anything this Congress, the Senate passed the bankruptcy abuse reform bill (S. 420) by a vote of 83-15. Now the legislation is heading for what is expected to be a brief pit stop in conference before moving on to the...

  • NASCUS, state and federal regs, league officials confer on international branching

    SACRAMENTO, Calif. - Discussion of issues concerning field-of-membership and branching expansion by credit unions within the borders of the 50 states is almost an everyday occurrence. But what about international branching? This and related issues were the subject of discussion at a day-long, intensive meeting held March 21 at the...

  • Lower interest rates mean more refinance dollars for some CUs

    MADISON, Wis. - It's too soon to predict how much the latest round of interest rate cuts announced by the Federal Reserve on March 20 will spur consumers to put money back into a softening U.S. economy (see related story page 1.) Just as much uncertainty hangs over credit union...

  • NCUA not shying away from tech issues these days

    ALEXANDRIA, Va. - NCUA has taken its lumps in the past for not being tech savvy enough to deal with emerging technological issues credit unions are facing, but today's NCUA seems to be turning things around in the tech arena. The regulator recently sent a letter to credit unions actually...

  • The credit union significance of latest rate cut

    WASHINGTON - Not as rate sensitive as banks, credit unions still have a large stake in the Fed's actions these days as the dreaded "r" word is bandied about regarding the state of the U.S. economy. Most would agree that a recession is good for no one, whether it's a...

  • LaFalce introduces Consumer Bill of Rights

    WASHINGTON-Congressman John LaFalce (D-N.Y.) wants consumers to have a fighting chance in today's complex financial marketplace. On March 15, LaFalce introduced 11 bills that he said would expand the protections in current law for financial services consumers. He argued that with the increasingly complex financial arena, consumers need additional help...

  • Cutting through red tape: Bacino's proposed advisory council

    WASHINGTON-Since CUNA's Governmental Affairs Conference (GAC), NCUA Board Member Geoff Bacino has been taking steps to create the advisory council he proposed in his remarks. The purpose for the NCUA/Credit Union Advisory Council is to discover how the agency can better relate with the credit unions it regulates. Bacino said...

  • Eastman CU no longer staffed by borrowed labor from sponsor

    KINGSPORT, Tenn. - For the past 67 years, since it was founded in 1934 by employees of Eastman Chemical Company, $900-million Eastman Credit Union-the largest credit union in the Volunteer State-has been operated by full-time workers considered employees of the sponsor company. Starting Jan. 1. 2002, that policy will be...

  • Fair, Isaac, Equifax team up, provide consumers full access to FICO scores

    SAN RAFAEL, Calif. and ATLANTA - It's taken months of dissension and debates that pitted Fair, Isaac and Company against consumer advocates, online lenders and state legislatures who argued that consumers should have online access to their credit scores. Last week, Fair, Isaac and Company, together with Equifax launched an...

  • IRnet wire transfer system expands to Arizona credit unions

    TUCSON, Ariz. - Arizona credit unions, recognizing the strong Latino influence in their membership, began signing on to the new IRnet wire transfer system which lets members wire funds to individuals or businesses in foreign countries at a lower rate charged by other wire transfer services. The program, being pushed...

  • Fed court to hear CU fraud case

    WASHINGTON-The U.S. District Court for the District of Columbia will begin hearing a fraud case next week concerning American Samoa Government Employees Federal Credit Union. Former Manager Bernard Gurr has been brought up on 20 charges, including embezzling, conspiracy, lending fraud, filing false reports, obstructing an investigation, witness tampering, and...

  • CU groups support savings initiative

    WASHINGTON-Congressmen Rob Portman (R-Ohio) and Benjamin Cardin (D-Md.) have reintroduced their bill to increase permissible Individual Retirement Account (IRA) and 401(k) contributions with an allowance for persons over 50 to catch up and simplify current pension law complexities. Credit unions have rallied behind H.R. 10, the Comprehensive Retirement Security and...

  • WESCO unveils CUPN

    KENTWOOD, Mich. - WESCO, a credit union data processor owned by 50 CUs, has introduced WESCO NET, a Credit Union Private Network (CUPN), to its CUs using its CU*BASE processing solution in either an ASP or self-processing environment. "Imagine the power of a credit union-coordinated network. WESCO NET is not...

  • Increase in late card payments for 4th Quarter

    WASHINGTON - The American Bankers Association Consumer Credit Delinquency Bulletin shows that the number of credit card bills paid late increased in the fourth quarter. Fourth quarter credit card delinquencies, based on total dollars outstanding, was 4.25% up from the previous quarter's 3.93% but lower than 1999's 4.28%. The number...

  • Shopping for credit cards

    LAS VEGAS - Consumers now have an online marketplace to search for the right credit card at CardClues.com. CardClues.com boasts that it is the only site on the Internet where consumers can easily find their perfect credit card "match." The Web site asks visitors questions about their affinity ties and...

  • Consumer Action issues credit card fee data

    SAN FRANCISCO - A recent survey released by Consumer Action, a consumer education and advocacy organization that monitors credit card companies, shows that credit card companies are steadily charging higher interest rates and more late fees. For the first time in years, all 109 credit cards issued by the 45...

  • CUNA introduces permission e-mail service

    MADISON, Wis. - CUNA continues to play up the online channel. The trade association has launched a new permission-based e-mail service that e-mails information focusing on various topics to CUNA members who opt-in for the service. The free service is only available to CUNA members. "It all started about a...

  • NACHA rules on Net ACH

    HERNDON, Va. - Comp-anies may now originate Automated Clearing House Network debits that have been authorized by consumers over the Internet thanks to new NACHA operating rules that recently became effective. The new operating rules define the rights and liabilities of all parties to Internet initiated ACH payments while addressing...

In Other News

  • MILESTONE

    Credit Union Central Falls, R.I., has announced reaching a new milestone of $617 million in assets. In addition, CUCF has awarded over $16 million in dividends to members for the past thirteen years. CUCF serves over 35,000 members.

  • BRANCHING OUT

    Fort Community Credit Union, Fort Atkinson, Wis., has held a ribbon cutting ceremony to celebrate the opening of its new Whitewater facility. The 3,800 square-foot building, designed by The Redmond Co. in Waukesha, features interactive self-service kiosks in the lobby, four drive-up lanes and an ATM. FCCU has $66 million...

  • AWARDS

    Pawtucket Credit Union, R.I., has been presented the "Credit Union with the Most Heart" award by the American Heart Association for selling the most hearts to PCU members. Fifteen credit unions across the state helped raise money for the association by selling hearts for $1 each. PCU's 540 Broadway branch...

  • DONATIONS

    NRL Federal Credit Union, Oxon Hill, Md., has hosted its fourth annual credit union education day at the Naval Research laboratory. Over 1,500 NRLFCU members were able to meet and talk with staff members about products and services. Local vendors such as GEICO Insurance, United Buying Service, Enterprise Car Sales...

Tech Bytes

  • FedComp releases VirtualCu.net

    FAIRFAX, Va. - FedComp, a credit union data processing firm, has launched a new e-business solution, VirtualCu.net. The solution features an Internet banking function, known as Internet Teller, which allows members to check balances, transfer funds, open new accounts, and perform other transactions online. The second piece of VirtualCu.net is...

  • Community Federal chooses Digital Dialogue

    PLYMOUTH, Mich. - The $217 million Community FCU here has selected Digital Dialogue to provide the CU with overflow and evening call center support for its lending activities. Digital Dialogue provides financials with an Internet-based multi-channel call center that provides 24-hour support. Community Federal members will now be able to...

  • Premier System Inc.'s MyKeptData.com provides a virtual vault for member statements

    WEST DES MOINES, Iowa - Credit union data processor Premier Systems Inc. not only wants to empower members to view their monthly statements electronically, but let them go as far back as five years. PSI has launched a new electronic Internet vault service - MyKeptData.com - that it is marketing...

  • Prologic changes name

    VANCOUVER, British Columbia - Prologic Corporation, a provider of Web-enabled solutions for the financial industry and a company that has said it is focusing more of its energy on CUs in the U.S., has changed its name to Fincentric Corporation. The company said the new name, which went into effect...

  • Digital Insight updates AXIS commercial solution

    CALABASAS, Calif. - Digital Insight has released version 3.1 of its AXIS Cash Management solution, which is geared at providing cash management services for financials' commercial customers. The new version of AXIS Cash Management supports expanded ACH and wire transfer capabilities. Other enhancements include an upgraded customer maintenance feature, giving...

  • Power 1 Credit Union's new portal site

    MIAMI - Power 1 Credit Union here has launched its portal site at www.p1cu.org. The portal allows members to get information on stocks, weather, news, entertainment and more. The portal also features transactional pieces such as Internet banking. and online brokerage services. "By combining all the services in one place,...

Briefs

  • Wescom CU partners with Omega Performance

    PASADENA, Calif. - Wescom Credit Union has selected Omega Performance, a provider of training and consulting services, to provide staff training aimed at improving member satisfaction. "Wescom's mission is to exceed our member's expectations in everything we do," said Wescom CU President/CEO Darren Williams. "One way that we can do...

  • Mon-Oc FCU builds a fan base

    TOMS RIVER, N.J. - For Mon-Oc Federal Credit Union increasing membership meant attracting fans- so they took out a billboard. Inspired by the new BlueClaws Class A minor league baseball affiliate of the Philadelphia Phillies, this year's billboard encourages members to "Join Mon-Oc CU's Fan Club." The billboard is displayed...

  • Netkey and Yahoo bring kiosk to another level

    NEW YORK - It's big and purple, but it is not Barney the Dinosaur-it is a Web-enabled cow-kiosk. Yahoo and Netkey, a San Francisco-based kiosk company, have created two "cowsks" as the latest attention-grabbing promotional campaign in keeping with Yahoo's goal to provide the public exciting, unexpected encounters. Called "Moo-Mail"...

  • CU marketing resource: itsProfound.com

    COLUMBUS, Ohio - Credit Union marketers stumped for creative, innovative or successful marketing campaigns can tap ItsProfound.com for ideas. The new subscription site is to serve as a meeting place for marketers to gather ideas, network with colleagues and help strategically position the credit union's marketing function as a profit...

  • Study points to benefits of optimizing marketing efforts

    SAN DIEGO - The Knowledge Capital Group has published a new report on how marketing optimization can help companies be more competitive. Sponsored by HNC Software Inc.; E.piphany; NCR; PrimeResponse; and Unica, the study shows a shift from a mass-market approach toward a more engaging, personal, and interactive form. "World-class...

People

  • WEST

    California Credit Union League, Rancho Cucamonga, has promoted Cindy Cavanaugh from director of accounting to controller. First Financial Credit Union, West Covina, Calif., has named Gary D. Skyraba vice president of marketing. Colorado Credit System League, Arvada, has named James D. Holt executive vice president. Portland Teachers Credit Union, Ore.,...

  • VENDORS

    Irwin Mortgage Corporation, a full service residential mortgage lender, has named Cheryl L. Corey credit union division mortgage loan officer. Executive Leadership Group, Inc., a management consulting and training company, has named Gordie L. Ellison chief operations officer. Witt, Mares & Company, a regional accounting firm, has named Eric Hemmings...

  • IN MEMORIUM

    Connecticut Credit Union Association, Wallingford, has announced that former Chairman Alfred Tong, who served from 1958-1960 has passed away at the age of 91. In addition to his tenure as president of the then Connecticut Credit Union League, Tong served on the board from 1946 to 1974 and after his...

  • SOUTHWEST

    Security Service Federal Credit Union, San Antonio, has named Keith Sultemeier manager of financial services of its new subsidiary, Security Service Investment Group. Arizona State Savings & Credit Union, Glendale, has named Joseph A. Meza vice president of human resources & associate development.

  • MIDWEST

    Deere Harvester Credit Union, Moline, Ill., has appointed the following officers to the board: Ron Trice, chairman; Bill Lauper, vice chairman; Bob Jecks, secretary; Floyd Mitton, director; Charles Baird, director; Steve Kratzberg, director; Vince Papish, director; Patrick Walton, director; Dorothy Johnson, director; and Byron Taylor, director. Anoka Hennepin Credit Union,...

  • SOUTH

    Louisiana Credit Union League, Harahan, has promoted Kate McPike to director of training and development. Fort Campbell Federal Credit Union, Ky., has named Michael P. Anderson members financial services representative. Alabama Credit Union League, Birmingham, has named Don Casselman executive vice president of marketing services. SAFE Federal Credit Union, Sumter,...

  • EAST

    Charter Oak Federal Credit Union, Groton, Conn., has named Timothy M. Murray members financial services representative. SeaComm Federal Credit Union, Massena, N.Y., has named Forrest R. Kimball Chief Executive Officer. Members 1st Federal Credit Union, Mechanicsburg, Pa., has named George Nahodil senior vice president of marketing and communications.

Opinion

  • Practical Thoughts on CRM

    For credit unions, the ability to store and mine key member information and locate unseen opportunities has never been better. This is due, in part, to CRM (Customer Relationship Management) technology. The CRM acronym is used to describe any number of business practices and database applications designed to help credit...

  • Let's preserve our uniqueness

    It is probably unwise to get into a written debate with someone who publishes a newspaper, but I feel compelled to respond to Mike Welch's recent Op-Ed column titled "CUs must stop internal bickering and unite" (CU Times, March 14). I am bothered by several off-target comments in the column....

Publisher's Column

  • CUs play key role in bankruptcy reform

    Barring any unforeseen Congressional or Presidential land mines, the very lengthy struggle by credit unions to put some common sense and a lot more fairness for CUs into the nation's bankruptcy laws is about to pay off. Once again the proposed legislation passed both the House and Senate by substantial...

Quotes Worth Quoting

  • Quotes worth quoting

    "International branching for credit unions is not a one-way street. Cross-border activity goes both ways." - NASCUS President Doug Duerr speaking on the on-going discussions between NCUA, NASCUS and state regulators concerning allowing state-chartered CUs to operate international branches. "The unemployment rate and inflation, both of those are incredibly well-behaved....

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