CUs that Convert to Banks can Remain in CO-OP Network, Hollen Says

ANAHEIM, Calif. – The CO-OP ATM network recently amended its bylaws to reflect its position on whether or not credit unions that convert to mutual savings banks should be allowed to remain in the system. According to President/CEO Stan Hollen, credit unions that convert to mutual savings banks will be allowed to remain in the network. However, member institutions that take the additional step to convert to a stock bank or holding company will be forced to leave the system upon the expiration of their contract or within six months, which ever comes first. Additionally, credit unions that are not a part of the CO-OP system that convert to a bank charter, then ask to be a part of the CO-OP, will not be allowed to do so. “I think this decision keeps the network a credit union network, which is how it should be,” Hollen said. Hollen made the announcement during the California Nevada Credit Union League CU Leadership Summit. Hollen was participating in a panel addressing the topic of where the credit union movement is going. He also announced that CO-OP Network has renewed its partnership with 7-11 convenience stores. According to Hollen, the CO-OP plans to activate ATMs in 5,000 7-11 stores nationwide on November 1. Of those 5,000 machines, 1,500 will accept deposits. The renewal of the CO-OP/7-11 agreement will increase the total number of CO-OP ATMs to 25,000, Hollen said.