Credit Union Times Magazine May-27, 2009

Fryzel Uses Grilling by House Panel To Serve Up Corporate Proposals

By Claude R. Marx

WASHINGTON -- A day after approving a stabilization fund for corporate credit unions, members of a congressional subcommittee asked Chairman Michael Fryzel why the NCUA hadn't done more to prevent the multibillion-dollar crisis facing credit unions.

Chrysler and GM Dealer Closings Force CUs to Refocus Relationships

By Lindsey Siegriest

The closing of more than 3,000 GM and Chrysler dealerships this year won't shock the credit union auto lending system, but it will force credit unions to refocus and restructure.

Not Shrinking From a Tough Issue, The Golden 1 CEO Coordinates Layoffs

By Myriam DiGiovanni

The economy is making for some tough decisions for employers.

Travel Expenses Under Glare After New Jersey Whistle-Blower Suit

By Jim Rubenstein

Travel perks of credit union directors came under new scrutiny this month following revelations surrounding a whistle-blower's suit brought last December by the fired CEO of a New Jersey credit union.

Audit Blames Norlarco, NCUA And State Regulators for Failure

By Claude R. Marx

Norlarco Credit Union's top executives mismanaged its residential loan program and relied on it too heavily as a source of income while state and federal inspectors weren't rigorous enough in their examinations.

Claims in Hannaford Suit Dismissed

By David Morrison

A federal district court judge in Maine dismissed almost all of the legal complaints of consumers whose credit and debit card data were compromised in the Hannaford supermarket data security breach.

Woeful Investment, Planning Habits Drive Wisconsin CU 18-Month Project

By Michelle A. Samaad

When a member turns to his or her credit union for help with long-term financial planning and investment goals, it would help if the employees are able to speak some of the lingo.

NCUSIF Reserve Balance And Assets Rose in April

By Claude R. Marx

The NCUSIF's reserve balance was $5.3 billion last month and the fund lost $2.5 million in income, NCUA Chief Financial Officer Mary Ann Woodson told the board last Thursday.

Technology Credit Union Marketer Relishes the Role of Provocateur

By Myriam DiGiovanni

It pays to be aggressive. According to Technology Credit Union Vice President of Marketing and published author Kathleen Litman, proactive marketing and public relation moves have helped the credit union's new-member growth while building brand awareness.

Shell Federal Credit Union Targets Gen Y With iSave Account

By Lindsey Siegriest

To go along with its Gen Y-centered iLife program, Shell Federal Credit Union in Deer Park, Texas, has added an iSave account.

Cutbacks Take Bigger Bite on Charities and PACs

By Jim Rubenstein

Credit unions' budget crunch, hitting credit unions more sharply after the NCUA's assessment, is now taking its toll on charities, financial education and lobbying.

Retail Investment Programs Managing to Navigate Downturn

By Michelle A. Samaad

While credit unions have seen some hits in their investment programs, some have reported steady growth over the past three years.

SEC Seeks Experts to Help Identify and Assess Market Risks

By Claude R. Marx

The Securities and Exchange Commission is looking for a few good men and women.

First Carolina Adds Share Guarantee

By Staff Writer

The $2 billion First Carolina Corporate Credit Union joined all other corporates except the $100 million Iowa Central Corporate CU in participating in the Temporary Corporate Credit Union Share Guarantee Program.

In Quest for Efficiencies, Experts Say HR Technology Is Ripe for Review

By Myriam DiGiovanni

With the economic squeeze affecting all businesses, now is the time for human resource departments to shine by helping their organizations.

AIG Investors To Get $843M

By Michelle A. Samaad

A federal court has approved the distribution of $843 million to more than 257,000 harmed investors stemming from an American International Group SEC accounting fraud enforcement action.

New Reg Z Requirements Effective July 30

The Federal Reserve Board on May 8 approved revisions to its Regulation Z mortgage disclosure requirements that implement provisions of the July 2008 Mortgage Disclosure Improvement Act.

NAFCU Pushes Video Spots

By Myriam DiGiovanni

NAFCU is doing its part to get people talking about credit unions with free, 30-second video awareness spots made available by NAFCU Services Corp

1st Financial Federal Credit Union Makes Friends Furrever

By Claude R. Marx

Doggone it, 1st Financial Federal Credit Union of Wentzville, Mo., scored well with pet lovers this month by sponsoring an "Adopt a Best Furrever Friend Day" at four branch locations.

Mortgage Rates Continue at Near-Record Lows, but for How Long?

By Heather Anderson

The 30-year fixed mortgage rate has held fairly steady, maintaining near record lows since December and sending most credit union originations straight to Fannie Mae and Freddie Mac.

Remember That There's an Alternative to 'the Sky Is Falling' Mentality

"The sky is falling, the sky is falling!" cried Chicken Little. Chicken Little jumps to a conclusion. Her friends are gullible. Panic ensues. Bad things happen. Then, as with all fables, we're presented with the moral of the story.

Time to Stare Down the Fear and Speak Up on Corporates

By Sarah Snell Cooke

Happenings on Capitol Hill kept credit union groups hopping last week, not the least of which was the glimpse that NCUA Chairman Michael Fryzel gave into the agency's plan for the corporates.

Providers Nix 401(k) Withdrawals

By Michelle A. Samaad

For a number of reasons, some 401(k) plan providers are turning down withdrawal requests from investors.

Single Federal Regulator Could Increase Credit Union Strategic Options

In her May 13th column Editor-in-Chief Sarah Snell Cooke ended with the statement, "Fortunately, the credit union community is working to find a credit union solution to a credit union problem.

LOOKING BACK

Credit Union Times takes a look back this week to 1993 to review predictions made at that time for the future of credit unions.

Penny-Wise, but Pound-Foolish: The Importance of Meetings and Conferences

In these unprecedented economic times, there are really only two ways to deal with this financial crisis: increase revenues or cut operating expenses.

Merchant Issuer Panel Throws Off Sparks at Fed Payments Conference

By David Morrison

CHICAGO -- An executive with MasterCard Worldwide came out swinging in defense of card interchange at an international payments conference last week, arguing that current rates are not too high and a strong case could be made to raise them.

Surcharging Up, Rewards Down in Overseas Interchange Experiments

By David Morrison

CHICAGO -- U.S. consumers would likely face credit or debit card surcharges and see their credit and debit card rewards programs disappear if the federal government decided to cap or cut credit and debit card interchange.

Consumers Better Off Using Cash

By David Morrison

CHICAGO -- An executive with the Consumer Federation of America told payment industry executives attending the Payments Conference that cash is the consumers' best and safest method of payment today.

People

By Staff Writer

OnPoint Community Credit Union, Portland, Ore., named James Hunt its new chief financial officer. Hunt will be responsible for the accounting and finance business lines of the credit union.

Community Events

By Staff Writer

Community Resource Federal Credit Union, Troy, N.Y., employees for the fifth consecutive year bowled in the Capital District Community Gardens' Garden fundraiser.

Corrections

In the May 6 article "To Merge or Not to Merge? Ponder The Financials," George Frerichs' paraphrased quote should have read: