X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

ALEXANDRIA, Va.-According to NCUA’s Insurance Report of Activity for the month of August, nearly six million potential members were added by credit unions converting to community charters last month. In August, eight credit unions were approved to serve 5,777,203 potential members, the second largest number added in a month by community charters this year. The most potential members added via community charter occurred in July when LA Financial Federal Credit Union was approved for the 10 million-potential member area of Los Angeles County. The largest community charter conversion last month, for Desert Schools Federal Credit Union in Phoenix, encompassed 3.1 million potential members. The $2.1 billion credit union already has nearly one million members. Eight credit unions have been approved for community charters with populations over one million this year, according to the 2004 reports (See chart). Fifty-four credit unions have taken the community charter route so far this year for a total of 37.2 million potential members added. Federal credit unions were also approved to serve 24 underserved areas with nearly 1.7 million potential members. Xerox Federal Credit Union in El Segundo, Calif. captured the largest of these, which was approved for nearly 465,000 potential members in two areas of San Jose, Calif. So far in 2004, credit unions have been approved to serve 139 underserved areas adding 15.3 million new potential members. Southeast Michigan State Employees Federal Credit Union in Southfield, Mich. ($24.5 million in assets) was approved for a TIP charter to serve the state and local governments in Wayne, Oakland, Macomb, Washtenaw, Lenawee, Monroe, St. Clair, or Livingston Counties. The credit union currently has 20,000 members. This is only the 10th TIP charter approved since it was established about a year and a half ago. Another state chartered credit union in Utah opted for the federal charter in August. The $6.2 million Blues Plus Credit Union in Salt Lake City was approved to operate under federal regulations. A large number of credit unions in Utah have made the switch because of the looming threat of taxation. NCUA’s report demonstrated that the merger frenzy continues to wage on. In the month of August, 27 credit union mergers occurred. Among those 27, 12 credit unions under $1 million in assets were merged out of existence. Additionally, 10 credit unions in the $1-$10 million merged, while the remaining five were over $10 million. The assets of the merging credit unions totaled more than $193 million. [email protected]

Complete your profile to continue reading and get FREE access to CUTimes.com, part of your ALM digital membership.

Your access to unlimited CUTimes.com content isn’t changing.
Once you are an ALM digital member, you’ll receive:

  • Critical CUTimes.com information including comprehensive product and service provider listings via the Marketplace Directory, CU Careers, resources from industry leaders, webcasts, and breaking news, analysis and more with our informative Newsletters.
  • Exclusive discounts on ALM and CU Times events.
  • Access to other award-winning ALM websites including Law.com and GlobeSt.com.

Already have an account?

Credit Union Times

Join Credit Union Times

Don’t miss crucial strategic and tactical information necessary to run your institution and better serve your members. Join Credit Union Times now!

  • Free unlimited access to Credit Union Times' trusted and independent team of experts for extensive industry news, conference coverage, people features, statistical analysis, and regulation and technology updates.
  • Exclusive discounts on ALM and Credit Union Times events.
  • Access to other award-winning ALM websites including TreasuryandRisk.com and Law.com.

Already have an account? Sign In Now
Join Credit Union Times

Copyright © 2020 ALM Media Properties, LLC. All Rights Reserved.