Credit Union Times Magazine October-17, 2001

  • City CU offers a campaign that's heavy on the toppings

    DALLAS -City Credit Union is serving up a checking account that requires no delivery. "We knew we had to build our checking portfolio," said CCU Marketing Assistant Vice President Rick Stokes. "This has been an awesome campaign and so many members have commented that they just get hungrier while waiting...

  • California CUs launch regional ad campaign

    EUREKA, Calif. - A regional advertising campaign to promote awareness of credit unions throughout northwest California has been launched by seven credit unions in the area. The campaign comes about two years after a failed effort by the California Credit Union League to raise funds for an ambitious $12 million...

  • Credit unions, financials face stiff penalties for non-compliance with OFAC

    ST. PAUL, Minn. - Chances are prior to September 11's terrorist attack on the U.S., most credit unions had never heard of the Office of Foreign Assets Control (OFAC) regulations. Those that had, say some experts, probably thought the regulations didn't apply to them. President Bush's September 24's Executive Order...

  • CU insurance vets Shea, Stewart form Members Telcom Services; get back in the CU space

    ELGIN, Ill. - Veterans of the credit union insurance space, Kevin Shea and Phil Stewart are once again working with CUs, albeit with a product miles apart from insurance - telecommunications. Shea and Stewart have teamed up to form Members Telcom Services, Inc. The firm's first major initiative is partnering...

  • CUs aim for balance when sharing member records in aid to stop terrorists

    WASHINGTON - As regulators clamp down on suspected bank accounts that may have ties to terrorist groups, a cautious approach has begun to educate consumers about the type of private financial information that can be shared and in those situations where their permission is not required. The Office of Foreign...

  • CUNA selects EDS as its new Net banking partner; gets deeper into e-com

    MADISON, Wis. - Just two weeks after announcing that its three-year Internet banking alignment with FundsXpress was over, CUNA Network Services has selected EDS to be its new Internet banking partner. CNS will now offer EDS' Virtual Branch Internet banking/bill pay solution to credit unions. Virtual Branch is currently used...

  • CUNA GAC tones down RenComm language

    WASHINGTON-In its efforts to make the Renaissance Commission recommendations "possible, plausible, and realistic," CUNA's Governmental Affairs Committee (GAC) has toned down some of the language initially included in the vision statements. Additionally, the list of 90 different recommendations initially used by CUNA staff to draft the report for the GAC...

  • American Express fees send credit unions looking elsewhere

    CORPUS CHRISTI, Texas - Credit unions across the country were shocked to receive notification from American Express" in late July that the company would begin charging annual fees for participation in the American Express Travelers Cheque program. The fact that fees jumped from nothing to $4,000 in some cases was...

  • A League CU `icon' will `sit and reflect'

    DENVER - It's been 28 years since Carroll D. Beach took over as president of the Colorado Credit Union League, and today his friends, associates and scores of CU executives across the nation call him the most powerful "missionary for credit unions" anywhere. And on Capitol Hill and in the...

  • Hawaii CUs takes a bite out of predatory lenders

    HONOLULU - Who says you can't have fun playing with sharks? As part of a tongue-in-cheek campaign to raise funds for the Oahu Aloha Chapter for credit unions on the island of Oahu, HawaiiUSA Federal Credit Union Marketing Assistant Darren Wong has designed T-shirts that visually capture why credit unions...

  • STATEMENT OF OWNERSHIP, MANAGEMENT, AND CIRCULATION

    STATEMENT OF OWNERSHIP, MANAGEMENT, AND CIRCULATION (REQUIRED BY 39 USC 3685)

  • CUs staying connected with their communities

    WEST PALM BEACH, Fla. - As more competitors crowd the financial services arena community involvement plays a more integral role in credit union success. From hosting seminars with professional speakers to sponsoring a movie, credit unions stand ready to serve. Here is a look at just a few of the...

  • Education, mentoring top list of new CCUL chairman

    SAN JOSE, Calif. - For someone who at one time didn't even know what a credit union was, Patsy Van Ouwerkerk has come a long way. Van Ouwerkerk, now president and chief executive officer of Alliance Credit Union here, is to assume the chairmanship of the California Credit Union League...

  • Reciprocity key component to FOM policy update for out-of-state CUs doing business in Colorado

    DENVER - When the state Financial Services Board meets for its regular monthly October 12, one of the items on the agenda will be is amending the Division of Financial Services' field-of-membership expansion policy of multi-state state chartered credit unions with branches in Colorado. Commissioner David Paul said the policy...

  • PSECU piloting instant access to online deposits

    HARRISBURG, Pa. - Credit unions looking to put some sparkle back in their online banking programs may want to keep a close eye on an instant online deposit program at Pennsylvania State Employees CU. At press time, PSECU was preparing to beta test its new UPost@Home online offering. UPost@Home allows...

  • New Filene study looks at credit union compensation methods; the psychology of keeping employees happy

    MADISON, Wis. - Merit pay. Pay for performance. What are the best ways for credit unions to compensate employees? A new Filene study, "Financial Incentives to motivate credit union management and staff" takes a hard look at these issues and may fly in the face of what some CUs have...

  • Renaissance Commission Vision Statements as amended by the CUNA Governmental Affairs Committee Mission of Credit Unions

    The purpose of credit unions is to promote the economic well being of all people, including those of modest means, through a Credit Union System which is cooperative, member-owned, volunteer directed, not-for-profit, and therefore tax-exempt; to provide a secure financial alternative for all consumers, and to provide financial and related...

  • Take a look ahead at what's on NCUA's fall agenda

    ALEXANDRIA, Va.-Amidst a peppering of the usual community charter conversions, the NCUA Board will take up many contentious items in the remaining months of 2001. Every year the board must approve an overhead transfer rate, the agency budget, the operating fee scale, and the National Credit Union Share Insurance Fund...

  • Two sides of mergers: one CU completes a `friendly' merge, another is forced out after plant shuts down

    AUGUSTA, Ga. - In this Southern town known for hosting golf tournaments and as the birthplace of soulster James Brown, some credit unions are merging to keep pace with competition and to stay alive. Augusta Industrial Federal Credit Union and Metro One Federal Credit Union officially completed its merger on...

  • NCUA authority to set OTR restricted by law

    ARLINGTON, Va. - Hailing it as the first definitive study on the legal authority of the NCUA Board granted by the Federal Credit Union Act to set the overhead transfer rate, NASCUS' long awaited study - "Overhead Transfer: The Authority of the National Credit Union Administration to Allocate Costs to...

  • Money laundering moving quickly through Congress

    WASHINGTON-The House Financial Services Committee was gearing up to mark up the "Financial Anti-Terrorism Act of 2001" (H.R. 3004) just after deadline. A similar bill was already approved unanimously by the Senate Banking Committee late last week and added to broader anti-terrorism legislation. The legislation is aimed at increasing the...

  • Flight for Freedom touches down in the Big Apple with Oregon CU staffers

    NEW YORK -N.Y. Mayor Giuliani made a plea that Oregonians simply could not ignore. While "bright lights, big city" and Oregon are not commonly linked together, this past Columbus Day weekend changed all that when a delegation of more than 950 Oregonians landed in the Big Apple to show their...

  • Ex-Kansas attorney faces Colorado CU `learning curve'

    DENVER - For James D. Holt, the former Wichita lawyer slated to become president of the Colorado Credit Union League in June 2002, the next eight months will be a "great learning period for me," he said. Indeed, the 51-year-old ex-lobbyist for the Kansas Credit Union Association looks on this...

  • Georgia, Pennsylvania leagues consider chapter, board revamps

    HILTON HEAD, S.C. - Credit union mergers and the changing nature of the industry's business is triggering a broad new look at league structure and operations with a particular emphasis on "invigorating" the chapter network, described in some locales as "moribund" through loss of member participation. The issue of league...

  • Industry finding IT professionals still in demand, but job seekers are less demanding

    WEST PALM BEACH, Fla. - IT professionals have fond memories of the late `90s. Those were their glory days when IT demand outweighed supply, allowing these employees to call the shots with employers. Things have changed. "While IT staffing continues to be a challenge, things are much better than during...

  • Mica, Becker bicker over set-up of next coordinating council meeting

    WASHINGTON-The two major credit union trade associations are at a crossroads as to how to handle further consideration of the Renaissance Commission results, to be approved by the board October 30. CUNA's Governmental Affairs Committee has amended its Renaissance Commission's Vision Statements to what NAFCU President and CEO Fred Becker...

  • Key lawmakers criticize SSA loophole for identity theft

    WASHINGTON-House Financial Services Chairman Michael G. Oxley (R-Ohio), Vice Chairwoman Marge Roukema (R-N.J.), and Oversight and Investigations Subcommittee Chairwoman Sue Kelly (R-N.Y.) revealed a government loophole that makes identity theft easier, and they want the Social Security Administration (SSA) to do something about it. The most vulnerable identities are those...

  • NFCDCU Faith-based CU Conference still on

    NEW YORK - The National Federation of Community Development Credit Unions' Fourth National Faith-Based Credit Union Conference will go on as planned at the Radisson Hotel, Birmingham, Ala, on Nov. 9-11. NFCDCU Executive Director Cliff Rosenthal said the federation recognizes that some people may be reluctant to travel and this...

  • Eastern Financial FCU is on storm watch duty

    MIRAMAR, Fla. - There's nothing like a Doppler Radar perched on a rooftop to give a credit union some serious media exposure. South Florida residents who want to know about the weather can now look to Eastern Financial Federal Credit Union. High on the rooftop of Eastern Financial FCU headquarters...

  • CUANJ publishes voter guide for members

    HIGHTSTOWN, N.J. - With Election Day 2001 only a few weeks away, Credit Union Affiliates of New Jersey has published a "Credit Union Voter Guide" to inform and educate its members about the candidates running in the state's gubernatorial and legislative races. Russell Clark, president/ CEO of CUANJ said the...

  • Executive Compensation by position (increase from 2000)

    CEO

  • Credit union awarded entrepreneurial funds

    MANHATTAN-In its first year of granting Social Entrepreneurship Awards, the Manhattan Institute for Policy Research honored Neighborhood Trust Federal Credit Union with a $9,500 check. Neighborhood Trust is a low-income, community development credit union with $7 million in assets and 4,000 members. The awards recognize "those who have taken the...

  • No clear winner in antitrust case

    NEW YORK - In what can be considered a victory for both camps the verdict is finally in regarding the government's antitrust suit against credit card giants VISA U.S.A. and MasterCard International Inc. U.S. District Judge Barbara Jones has ruled that the two credit card companies, which control 75% of...

  • CCUL-backed CU government deposits bill becomes law

    SACRAMENTO, Calif. - A bill passed by the state legislature that allows credit unions to accept deposit funds from local governmental agencies has been signed into law by Gov. Gray Davis. A.B. 743 takes effect Jan. 1, 2002. The law identifies sections of the state education and government codes that...

  • CUNA Mutual plans more Webcasts on tax relief act

    MADISON, Wis. - CUNA Mutual said that due to an overwhelming response by credit union retirement plan administrators, it is planning additional Webcasts explaining the effects of the Economic Growth and Tax Relief Reconciliation Act of 2001. EGTRRA legislation has a direct effect on employee benefit programs. Six free Webcasts...

  • Bush honors fallen firefighters

    President George W. Bush spoke Sunday, October 7, at the National Fallen Firefighters Memorial service in Emmitsburg, Maryland. The ceremony was to add 101 names of fallen firefighters across the country from 2000, plus a few from previous years. Bush thanked the firefighters for their service and noted the hundreds...

  • Boise Employees FCU enters insurance market via purchase of agency

    INTERNATIONAL FALLS, Minn. - Another credit union has entered the insurance realm by purchasing an existing insurance agency. The $46 million Boise Employees Federal Credit Union has purchased Brekke Insurance Agency and renamed it Members-Plus, LLC. "We wanted to offer even more financial products to our members," said BEFCU President/CEO...

  • Community Resource FCU fostering relationships

    LATHAM, N.Y. - To help build awareness, Community Resource Federal Credit Union will host a seminar for the public to learn more about the St. Catherine's Center for Children's Foster Care and Respite Care programs. St. Catherine's Center for Children is a non-profit social services agency that focuses on issues...

  • CU House opening rescheduling troublesome

    WASHINGTON-Since the attacks of September 11, the same day Credit Union House was supposed to have its official ribbon-cutting ceremony, CUNA has had difficulty finding a date to reschedule the "Credit Union House Investor and Dedication Event." CUNA is working to reschedule something, but does not have a date set...

  • Virginia League creates patriotic credit union poster to help raise funds

    LYNCHBURG, Va. - The Virginia CU League has created a 2 foot by 3 foot four-color poster (shown here) to help spur donations for the "Credit Unions Rebuild America" fund, sponsored by CUNA and the National Credit Union Foundation. The League has mailed a poster to each of the D.C....

  • New directors appointed to CUES

    MADISON, Wis.- The Credit Union Executives Society has appointed three directors to serve on the 2001-02 board of directors. Forum Credit Union President Gary Irvin; Gimli Credit Union CEO Catherine S. Robertson; and Kent Credit Union CEO Rose Bartolomucci have each been elected to three-year terms. They will officially take...

  • PSECU's deposit channels

    This box shows just how important the ATM channel is for PSECU member deposits. If that diminishes due to financials dropping out of the deposit-taking program, the CU could have a coverage program. That's what UPost@Home was designed to combat. 1. ACH/Direct Deposit- $3.1 billion annually 2. ATMs- $1.6 billion...

  • Oregon answers Giuliani's tourism plea

    NONE

  • Spending bills fast-tracked; CLF implications

    WASHINGTON-Senate Appropriations Committee Chairman Robert Byrd (D-W.V.) announced that he would like to see final action on seven appropriations bills by the end of this week. One of the bills to be considered is the Veterans Administration, Housing and Urban Development, and Independent Agencies (VA-HUD) bill, which includes the borrowing...

  • Va. Lt. Governor Hager helps kick off Navy Federal's 2001 CFC

    VIENNA, Va.- Navy Federal Credit Union started off its 2001 Combined Federal Campaign (CFC) with Virginia Lieutenant Governor John Hager. CFC is the only authorized solicitation of federal employees in the workplace for charitable organizations. While Navy Federal is not a federal workplace, it participates in CFC under the Department...

  • Deloitte & Touche names DI one of fastest growing L.A. tech firms

    CALABASAS, Calif. - Digital Insight is ranked No. 2 on Deloitte & Touche's "Technology Fast 50'' list for the greater Los Angeles area. It's the second year DI has been ranked high on the list. Last year it was ranked No.1 The Fast 50 list ranks the fifty fastest growing...

In Other News

  • AWARDS

    Card Systems for Credit Unions, has announced the winners of its 2000 Marketing Awards. Award recipients are honored based on their credit union card program excellence. Credit award winners had the most growth in account base between December 1999 and December 2000, the highest percentage growth in outstandings between December...

  • MERGERS

    EECU Credit Union, Fort Worth, Texas, and Santa Fe Fort Worth Federal Credit Union have announced plans to consolidate. Santa Fe FWFCU's 4,7000 members will join EECU's 84,000 existing members. All Santa Fe FWFCU staff will be retained by EECU. EECU has more than $342 million in assets.

  • NAME CHANGES

    Multco Credit Union, Portland, Ore., has changed its name to Point West Credit Union. Southgate Federal Credit Union, Mich., has changed its name to Advantage One Federal Credit Union. Fort Worth Federal Credit Union, Texas, has changed its name to Fort Worth Community Credit Union.

  • MILESTONES

    Indiana Credit Union League, Indianapolis, has held a breakfast to celebrate a 63rd birthday for Dan Burton, Republican Congressman from the 6th District. A longtime friend and supporter of credit unions, Burton was joined by Millie Cox, League Vice President for Governmental Affairs and Indiana Credit Union League President and...

News

  • Business Lending Group weathering soft economy

    NEENAH, Wis. - How long will the economic slowdown last? How deep will the economy soften? These are questions nobody can reliably answer. For now at least, Dave Coggins, president of Business Lending Group can say this: the CUSO's loan portfolio is not showing any symptoms of the troubling economic...

  • Credit Union Statistics

    NONE

  • Power players meet to weigh in on creating a national cooperative trust firm

    DENVER - Whether it's more convenient and cheaper to offer trust services through established firms or to share resources through a new cooperative network became the key question at a brainstorming meeting here between a number of interested players. More than a dozen representatives from trust entities, credit unions, credit...

  • XCU Capital readies for start of equity investment program

    CARLSBAD, Calif. - After doing business for the past 15 years as a broker/dealer CUSO owned primarily by Xerox FCU, XCU Capital Corp. is about to embark on a new phase in its history. If things go as planned and as XCU Capital President/CEO Mark Allen hopes, Xerox FCU will...

  • Film showing "Bank Rage" hits a chord with Australian movie audiences

    SYDNEY, Australia - Road rage is nothing new, but bank rage seems to be alive and well in Australia. When a new film "The Bank," a small budget film written and produced by Robert Connelly, was premiered down under, the audience cheered loudly during a scene when a disgruntled customer...

  • Delay for new Australian credit union regulations

    SYDNEY - Australian credit unions have been advised that they must be in compliance with the new Financial Services Reform Bill approved by Parliament March 11, 2004. Any credit union that introduces a new class of products before then must comply with the new regulations immediately. The regulations refer to...

  • Van Ouwerkerk's education

    Soon to be chair of the Calif. League, Patsy Van Ouwerkerk's mission is to educate. Page 36

  • FSA issues CU Specialist Sourcebook

    MANCHESTER, U.K. - U.S. credit unions are well aware of the problems encountered when adjusting to new regulations, now their English counterparts are in for their own experience. Credit unions in the United Kingdom are facing a whole new regiment of regulations when they change to a new regulatory agency,...

  • Farewell Mr. Beach

    Colorado CU League President Caroll Beach's distinguished CU career is nearing its end. Pages 32-33.

News Briefs

People

  • VENDORS

    The William Mills Agency, a public relations firm serving the financial services industry, has promoted Nichole Bigley to account agent and Allison Smith to account agent. CO-OP Network, a credit union EFT network, has appointed Anheuser-Busch Employees Credit Union President/CEO J. David Osborn board director. TNB Card Services, a card...

  • EAST

    Citadel Federal Credit Union, Thorndale, Pa., has named Rosemary Laird vice president of human resources and Edward W. Maier vice president of retail delivery services. Mid-Hudson Valley Federal Credit Union, Kingston, N.Y., has named Michael Barton vice president of lending; Nan Greenwood, vice president of marketing; and Guy T. Greco...

  • WEST

    Meriwest Credit Union, San Jose, Calif., has promoted Jane Alire to Milpitas branch manager and Yvette Sandez to North San Jose branch manager. In addition MCU has named Mythraeyi Narayanan marketing research manager. Financial 21 Community Credit Union, San Diego, has named Shannon Foster-Ilas community relations officer. Kitsap Community Federal...

In Memoriam

  • Telephone CU of New Hampshire President/CEO Richard "Dick" Mahoney dies

    MANCHESTER, N.H. - Long-time Telephone CU of New Hampshire President/CEO Richard Mahoney died on Sept. 22 at the age of 62 from complications resulting from an automobile accident. Mahoney's credit union career spanned 36 years. Mahoney was scheduled to retire from the credit union in February. He was affectionately referred...

Briefs

  • Corporate One FCU acquires Area Financial Services' share draft processing business

    COLUMBUS, Ohio - Corporate One FCU, one of the largest corporate credit unions in the country has reached an agreement with Area Financial Services Inc. (formerly known as Northwest Ohio Financial Services Inc.), a share draft and item processing CUSO jointly owned by seven CUs in northwestern Ohio, to acquire...

  • Wesco forms technology "Think Tank"

    KENTWOOD, Mich. - Credit union CEOs and CFOs have large think tanks such as Member Development Corporation, Member's Gateway and The Trust for Credit Unions where they can discuss current topics solutions and new initiatives. Now Wesco is inviting CEOs of the more than 50 credit unions that own the...

  • NACUSO Fall Leadership Conference combined with NACUSO 101 conference

    SAN DIEGO, Calif. - Due to September 11's terrorist attack, NACUSO's Trust Services Fall Leadership Conference which was originally scheduled to be held in Kapokei, Hawaii September 19-21, has been rescheduled. It will be held Nov. 4-6 in conjunction with the association's CUSO 101 conference at the Coronado Island Marriott...

Publisher's Column

  • To sell or not to sell is the question

    Not long ago credit unions were debating whether or not they should be offering credit cards. Today the focus has shifted away from controversy over offering credit card programs, to selling those CU credit card portfolios lock, stock, and barrel to a third party. The argument back then was that...

Opinion

  • Leadership efforts by California league put CUs on right course for the future

    Five years ago, credit unions generally assumed a reactive posture toward public policy: we were consumed with business as usual, and engaged our regulators and elected officials only when proposed new laws and rules prevented us from serving our members well. The challenge of addressing and overcoming these obstacles was...

  • Is it membership, or effectiveness?

    After reading Mike Welch's column in the Sept. 19 issue of Credit Union Times, "There are different ways to define membership," it got me to thinking about what it is that really matters about the work we do at CUNA and the Leagues. In particular, I was affected by the...

Tech Bytes

  • CUNA Mutual goes live with Vignette applications

    AUSTIN, Texas - CUNA Mutual Group is now using the services of content management application firm Vignette Corporation (www.vignette.com) to power its Web site (www.cunamutual.com). CUNA Mutual went live in June with Vignette applications. More than 1,100 pages were converted for the site's implementation, and since the site went live...

  • Intrusion detection not enough

    SAN ANTONIO - According to Digital Defense's latest "CU Secure Network Security" newsletter, IT managers shouldn't trust intrusion detection on its own to keep the credit union impervious to hack attacks. Intrusion detection systems can not stand by themselves as and impenetrable security layer, however when they are deployed along...

Letters to the editor

  • Meetings will go on

    Mike Welch correctly points out (CU Time, Oct. 3) that a number of important credit union meetings were cancelled in the wake of the September 11 terrorist attacks. NAFCU's Congressional Caucus was one of those meetings. Simply stated, the NAFCU Board decided it could not send our members to the...

  • We are on track

    I would like to share some points of clarification regarding the Sept. 17 article about APPRO's recent sales force changes and its business strategies. Unlike CUShopper, mentioned in the article, APPRO does not characterize itself as an Internet, dot.com or start-up company. We are a reputable company with more than...

  • Mica: CUNA's policies invite membership

    As I find Mike Welch's weekly columns to be insightful and thought-provoking, it's rare that I feel compelled to clarify or expand on his comments. However, his column of Sept. 19 ("There are different ways to define membership," pg. 10), while making a number of commendable points about how CUNA...

  • Column put things in perspective

    I appreciate publisher Mike Welch sharing his personal perspective on the September 11th tragedy in one of his recent weekly columns. Like your publisher, I also was stranded. I was in Seattle for three extra days and shared his anxiety. I also experienced the compassion of fellow travelers, all of...

  • Wait and see

    I believe it is an excellent idea for NCUA to conduct an open budget briefing and public forum to discuss their budgeting process and listen to comments from the public. I also believe the overabundance of praise being heaped upon NCUA for conducting the forum should be kept in check...

Staking Out the Stats

  • Staking out the Stats

    With security being a top priority, biometric technology may once again be on the rise. According to the International Biometric Group Market Report 2000-2005 biometric revenues are expected to grow from $399 million in 2000 to $1.9 billion by 2005. In addition, Finger-scan and biometric middleware will emerge as two...

Events Calendar

  • 2001 ASSOCIATIONS MEETINGS & EVENTS CALENDAR

    OCTOBER OCTOBER 22-24 CUNA & Affiliates CU Finance for Non-Financials Institute-Part 3, Tradewinds Island Grand Resort, 727-367-6461, St. Pete Beach, Fla. For info: Deb Verdecchia, 800-356-9655, ext. 4249. OCTOBER 25-27 Kentucky CU League's Annual Meeting, JR's Executive Inn, Paducah, Ky. For info: Gail Pickett, 502-459-8023. NOVEMBER NOVEMBER 3-7 CUNA Councils...

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