PORTLAND, Ore. - In just one year of operation, HaciendaCommunity Credit Union has become more than just a place wherepeople come to make deposits and obtain loans. "They come to us forthe most incredible things," admitted Yolanda Karp, president andchief executive officer. Like the time a mother brought herdaughter, who had just been fired from her job, to the credit unionso that Karp could comfort and console the young woman. "That's thekind of relationship they build with us," Karp said. Or the manwho, thinking that the credit union was somehow connected toWashington Mutual Bank, came in desperately seeking help because hehad lost his wallet with his bank debit card, driver's license andother papers. "What was I going to do, say, `No, I'm not going tohelp you,'" Karp said. Then there was the member who brought in twocredit card applications he had received, trying to decide whetherto apply for one or both. (The credit union doesn't yet offercredit or debit cards). "I asked if he really needed one," Karprecalled. "I showed him the things he needed to be concerned about.That's what we do. We help people." It is just that kind of helpfuland caring attitude that has helped the credit union become a muchneeded and valuable resource in the Latino community it serves."The greatest success has been the staff and how they haveestablished relationships with the members," Karp said. "The staffmakes the members feel as if they're all important." Some memberswho have accounts at banks "don't feel that relationship," Karpsaid. "They don't feel it at all." One member who felt that waycame to the credit union with $5,000 stuffed in an envelope that hehad withdrawn from his account at a local bank. He had declined thebank's offer to give him a cashier's check for a fee of $27. "They(community members) are starting to move some of their funds here,"Karp said, noting that her advice to them is, "If you have yourpiggy bank elsewhere, bring it over here." Established in October2002 to serve the large Hispanic population in Clackamas, Multnomahand Washington counties in the Portland area, Hacienda Community CUbecame Oregon's first state-chartered credit union in 22 years.Karp, who admitted she wasn't sure how well the credit union wouldbe received in the community, said Hacienda is now trying to copewith its success. It initially began with $750,000 provided asno-interest deposits from nearly two dozen credit unions throughoutthe state. Portland Teachers Credit Union also provided otherresources, including training, computers and office furnishings.The credit union is located in a small office in the Baltazar OrtizCenter formerly occupied by the Hacienda Community DevelopmentCorporation. With help from other credit unions and member depositstotaling some $200,000, Hacienda Community today has assets of $1.8million and has attracted 1,000 members. "We are booming," Karpsaid. Loan demand has reached $1.2 million with 40 to 50 new loanapplications coming in for review each week, she reported. "Demandis larger than what we can do," she said. "We're losing the battlewith loans. There are way too many people who want to get a loanwith us." One reason is the low rate the credit union offers,compared to rates as high as nearly 40 percent that some lenderscharged as they preyed on people with little or no credit historyand little financial education, Karp said. When it first opened,the credit union attempted to educate members and potential membersabout financial matters. It still does that today, but mostly on aone-to-one basis because of time and staff constraints (besidesKarp, the credit union has 2.5 full-time employees). "When theyapply for a loan, we talk to the member about credit issues," Karpsaid. Hacienda Community was patterned after the Latino CreditUnion in North Carolina, which was chartered in 2000. Althoughlimited in the services that it can initially offer-generally basicsavings accounts, certificates of deposit, club accounts andpersonal and auto loans - Karp said the credit union plans toexpand its services next year. Among the planned offerings will bechecking accounts, debit cards, online banking and ATMs. Haciendaembarked on a radio and television advertising campaign usingSpanish-language stations when it first opened. It has also beenfeatured in the Oregonian, the state's largest daily newspaper.Much of the credit union's success is now due to word-of-mouthamong those in the Latino community. Karp, who came to the creditunion after a stint as a bank mortgage loan officer and before thatas a bank teller, said she has been gratified by the communitysupport. "I'm overwhelmed," she said. "I can't tell you howgrateful I am. I have received so much goodness, it's incredible.There's been so much interest from the local community." She alsopraised the credit union industry for making Hacienda a reality andfor its ongoing support. "Credit unions have just been wonderful,"she said. She recalled her experiences of attending chaptermeetings prior to the opening of the credit union and of getting toknow other credit union leaders. "I was so elated. This is anincredible group," she said. "Everyone is so vibrant and so nice.It's so different from the banks, which are so starchy." -

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