If the roughly 73,000 members of Technology Credit Union, a $1.5 billion institution headquartered in San Jose, Calif., vote to convert to a mutual bank charter, they will likely find their increased expenses not restricted to taxes alone, according to CUNA Chief Economist Bill Hampel.
The members of the $193 million HAR-CO Federal Credit Union have voted to approve the credit union's change to a mutual bank charter, according to an announcement from the CU to its members. The credit union did not returned calls seeking comment on the vote.
Members would lose access to network if conversion to bank goes through.
CUNA Chief Economist Bill Hampel says his analysis shows that Tech CU would pay more for FDIC coverage than now for NCUSIF.
Maryland credit union's membership approves charter change.
The board of directors of $1.5 billion Technology Credit Union has written the CU's 74,000 members that they may be better served by converting the credit union to a bank.
California league, CUNA CEO's express misgivings about Tech CU proposed conversion to bank.
San Jose CU says change would enable expansion of more profitable commercial lending business.
The NCUA says it's not developing a contingency plan for helping credit unions that stay deal with any new costs from more departures.
The $330 million Granite Credit Union in Salt Lake City will convert to the FLEX core processing platform soon, according to Computer Marketing Corp.