Credit Union Times Magazine October-20, 2010

Despite Strong Industry Support, Kanjorski Faces Re-Election Battle

By Claude R. Marx

Kanjorski (D-Pa.), one of the strongest champions of credit unions on Capitol Hill, is trailing his GOP challenger Lou Barletta, who is making his third attempt to oust the veteran lawmaker.

Robo-Signing Fallout Likely to Slow a Sluggish Housing Market

By David Morrison

The news that some large banks have been cutting corners on the foreclosure process will most likely keep the U.S. housing and mortgage markets from recovering as quickly they could, according to housing and mortgage experts.

NCUA Finally Approves First Tech-Addison Avenue Merger

By Jim Rubenstein

Ending a processing period that lasted eight months, the NCUA has approved the nation's biggest interstate merger, the $4.6 billion consolidation of First Tech Credit Union, Beaverton, Ore., and Addison Avenue FCU of Palo Alto, Calif.

Mobile-Specific Guidance and Regulations Surely Lie Ahead

By Marc Rapport

That's according to people who make their living helping credit unions and other financial institutions accommodate new technologies and the compliance challenges that come along with them, as well as shape the rules themselves.

Big Minnesota Bank Attacks Durbin Interchange Amendment in Court

By David Morrison

A Minnesota based national bank has challenged the constitutionality of the law that would, for the first time, regulate debit card interchange.

Anti-Bailout Drumbeat Echoes Across Cable TV, Videos, Internet

The industry's campaign to keep a lid on "credit union bailout" headlines expanded last week with a TV cable show, more online messaging and release of FoolProof literacy packets to more than 1,100 high schools.

NCUA to Release Corp Revenue Rule

By Claude R. Marx

While credit unions are digesting the new corporate credit rules, the NCUA is preparing to release a new one that will address revenue issues.

Foundations Provide an Avenue for CUs Into Local Communities

By David Morrison

Credit unions seeking higher profiles in their local communities are increasingly starting their own foundations as ways to do well by doing good.

Albuquerque-Based Sandia Laboratory FCU Becomes Fynanz's 80th Credit Union Partner

By Joyce Moed

Fynanz Inc., a financial technology company that develops customized private student lending solutions and powers the cuStudentLoans.org private student loan marketplace,

Amid Flap, Alaska USA Expands Wash. Footprint

By Jim Rubenstein

The $4 billion Alaska USA Federal Credit Union is making good on its West Coast expansion strategy this month with the merger of a small but failed Seattle CU.

Chairman Matz Outlines Pricing Formula and Corporate Timetables

By Jim Rubenstein

NCUA Chairman Debbie Matz, speaking to Texas credit union leaders as part of the agency's town hall series last week, reaffirmed an agency pledge to honor expiring service contracts

Nourishing Its Education Roots Helps Apple Federal Credit Union Blossom

By Eileen Courter

Several years ago the Fairfax, Va.-based institution decided to refocus on its roots in education. While many credit unions have adopted community charters in order to grow membership and

Digital Displays Tout Advantage: They Can Be Tailored to Each Branch

By Eileen Courter

Members in the Newtown branch are primarily young families concerned about building savings for their children's college education, while those in Innerburb tend to be empty nesters interested in boosting their retirement savings.

Philadelphia FCU Wins Garden Prize

Philadelphia Federal Credit Union staffers once again have grown green by planting vegetables and herbs in the PFCU Garden.

Paper Mountain Reduced by iPads

Count American Heritage Federal Credit Union as the latest credit union opting to go green with iPads.

Credit Unions May Face a Taxing Dilemma

By Claude R. Marx

As the nation's budget deficit continues to grow, the government may be looking for new sources of revenue. Therefore, formerly sacred cows such as credit unions' tax-exempt status may go the way of VCRs and rotary phones.

Realtors Data Is a Bright Spot in a Confused Housing Market

The short- and medium-term outlook for the U.S. real estate and mortgage markets would probably confound Nostradamus. Have home prices bottomed out?

Credit Unions Will Continue to Rely on Interchange and Overdrafts

By Joyce Moed

Debit interchange and overdrafts are still expected to be the top noninterest income drivers for credit unions, despite changes being made to both sources.

CU Trades Raise Concerns About Overdraft Rules

Credit unions shouldn't have to use the phrase "total overdraft fees," on their statements when describing how much a member has to pay for overdrafts, CUNA and NAFCU told the NCUA.

Foreclosure Market Share

More proof has rolled in that foreclosed property sales are making up a steadily growing percentage of the U.S. real estate market.

State Attorneys General Weighing Foreclosure Processes

Attorneys General in Connecticut, Illinois and Ohio have signaled their interest in looking into how large mortgage holders and servicers have been managing delinquent mortgages through foreclosure or modification.

Survey Shows Online Mortgage Service Popularity, Firm Says

Mortgagebot LLC, a leading online mortgage shopping service, said a recent consumer survey has confirmed that its Mortgage Marvel service is a favorite among mortgage shoppers.

P2P Added To Bill Pay

Person-to-person payment functionality is now a part of the PayLynx online bill payment platform from PSCU Financial Services.

Community Choice CU's Weekend Charity Work Is Barn Burner

By Jim Rubenstein

Michigan's Community Choice Credit Union believes it has come up with the ideal method of aiding local charities: devote a whole weekend to volunteer work during which employees have a

SBA Increases Limits on 7(a) and 504 Loans

Through provisions under the new Small Business Jobs Act of 2010, the SBA said effective Oct. 8, it has permanently increased the 7(a) loan limit from $2 million to $5 million and 504 loans to $5.5 million.

NCUA Repays Loans

The NCUA repaid $10 billion plus interest to the Treasury Department yesterday using proceeds from selling performing assets of U.S. Central and WesCorp.

Merger Kit Offer

A two-year-old guide offered by Westerra Credit Union and Nice Enterprises Inc. to assist credit unions in gauging potential merger partners has gone online.

Grameen Builds N.C. Presence With Grant

Once exploring the launch of a federal credit union in North Carolina, microlending bank Grameen America will receive a $450,000 grant to help spur small business growth in low income communities there.

$10 Million Scheme Scams Church CUs

The FBI said a school district, state municipalities and credit unions that served several churches were among the victims of a $10 million Ponzi scheme run by a Southfield, Mich., investment adviser.

N.C. Gov. Creates Small Biz Referral, Aid Source

Small businesses in North Carolina have another source to turn to through a new program launched by Gov. Beverly Purdue that involves CUs and banks.

New Law Helps Clear SBA $970 Million Loan Queue

The newly signed Small Business Jobs Act of 2010 has helped the SBA approve 1,939 loans totaling nearly $970 million in just one day through new funding for increased loan guarantees and reduced fees.

CUAO Supports Candidate

Oregon's incumbent treasurer, Ted Wheeler, a Democrat, has won formal support from the Credit Union Association of Oregon in the Nov. 2 election.

Moebs Study Finds That Overdraft Revenue Likely to Fall This Year

By Joyce Moed

By the end of 2010, the banking industry is expected to have earned $35.4 billion in overdraft fee revenue, down from $37.1 billion in 2009 and on track with 2008, according to a recent Moebs Services study.

Bill Allows Socially Responsible Investments

The recent introduction of the Federal Employees Responsible Investment Act would permit federal employees the opportunity to select a socially responsible and sustainable investment option in their thrift savings plan.

Trust No One-A New Security Model for Today's New Threat Landscape

By Marc Rapport

Ask many network security professionals where their networks are most vulnerable and they'll say at the perimeter, where it meets the outside world.

Three CUs Share CUNA Tech Council Honors

The CUNA Technology Council once again passed out best practices honors at its 15th annual conference held Sept. 29-Oct. 2 in Las Vegas.

Corporate One To Process VSoft Captures

Corporate One Federal Credit Union will now be offering its credit union clients item image aggregation and settling services through software from VSoft Corp. of Atlanta.

Detroit CU Seeks to Monetize Social Media With Facebook, New Website

By Marc Rapport

Monetizing social media-getting some business out of all that face time on Facebook, in particular-has been something that credit unions have been looking to do ever since the new communications channels became a fact of life.

Phishing Fraudsters Are Apparently Casting for Bigger Prey

Account holders at large banks apparently have become a much more popular target for phishing fraudsters than credit union members, according to RSA, the Security Division of EMC.

Account Opening Tools

A new online membership application and account opening solution is paying off at ORNL Federal Credit Union, the $1.3 billion institution said.

Oh, What a Tangled Web CUs and Regulators Weave

By Sarah Snell Cooke

Credit union executives are in this hurry up and wait mode when it comes to corporate services. Credit unions are being encouraged not to bail out of their corporates, even the NCUA-created bridges over troubled waters,

Commissioner Fryzel's Agenda: Cubbies in the Series, So Long Yankees and $1 Buds in the Stands

Each one of us, during the course of our lifetime, has wished we would have taken a different career path and been what we really wanted to be.

The Movement to Buy Local Is a CU Opportunity

There is a trend in the US-one that seems like a custom-fit opportunity for credit unions, yet one that most credit unions are missing. It's called localization or buy local.

East

GFA Federal Credit Union, Gardner, Mass., recently announced that Sharon Henrickson has joined the GFA team as employee relations officer. Henrickson brings over 12 years of human resources experience in retail environments, with

Cleveland CU Volunteer Joseph Coleman Passes

Taleris Credit Union is mourning the death of Director Emeritus Joseph W. Coleman.

High Marks for CU Retirement Plan

The $791 million 1st United Services Credit Union's 401(k) plan was highlighted for its generous employer contributions in a recent U.S. News and World Report article.

Verbatim

Below is an excerpt from Glenn Beck's Fox News broadcast of Oct. 8.

Social Media Serves Up the Good, the Bad and the Exciting

Social media isn't just for kids anymore. It has become mainstream and we receive more questions about it from our advisers each year.

Documenting Fair Value Determinations in an Uncertain Economy

While the changes made to fair value accounting may seem like yesterday's news, it is still important to maintain a strong control environment and robust documentation over the valuation of financial instruments in order to ensure

Confusion on 401(k) Plans

A Charles Schwab research study revealed that though many 401(k) participants need more guidance with their plan, very few actually use the help offered to them by their employer:

Awards

Arizona State Credit Union, Phoenix, Ariz., received the Peter Barron Stark Companies Award for Workplace Excellence. Although it is the fourth time the credit union has received the award, it is especially significant this year because it

Community Events

Michigan Credit Unions, Detroit, are hosting a 75-part marathon event to provide financial education services to the surrounding community. The weeklong initiative, known as Money Smart Week, was started at a kick-off breakfast held at

Community Events2

Community Resource Federal Credit Union, Latham, N.Y., held a bottle recycling drive throughout the local community to raise money for a donation to the Mohawk & Hudson River Humane.