X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

David Morrison’s article in the July 6th issue offered a good discussion of credit card portfolio sales. I’d like to answer a couple of questions that were raised. In many cases, a firm assisting buyers with the process is paid even when a credit union goes directly to a buyer. Because of this, it is incorrect to necessarily assume that by going “direct” you will either reduce transaction costs or obtain a higher offer. In any case, what ultimately matters is getting the best transaction possible for the members and credit union. Credit unions should consider multiple buyers and compare the quality of the buyer’s teams, services, products, contract terms, financial offers, and intangibles – such as whether the buyer offers financial products that might compete with those of the credit union. Brokers can help with this comparison. As for the value of brokers, it is like selling your house: Some do “for sale by owner” but many find that professional help is worthwhile in a high-stakes and unfamiliar transaction. As highlighted in the article, our clients seem to be very happy with the value we offer. However, if any credit union would prefer to go direct to buyers, we would be happy to provide them with buyer contact information to do so. Frank Selker President AssetExchange Portland, Ore.

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 © 2021 ALM Media Properties, LLC. All Rights Reserved.