ARLINGTON, Va. – Two independent brokerage firms that track the market for credit union credit card portfolios have split slightly this year on how the market performed in 2005. Asset Exchange, the brokerage headquartered in Portland, Oregon, analyzed NCUA’s Call Report data and found that 70 credit unions, five more than in 2004, sold their card portfolios to banks but that the aggregate value of the portfolios sold dropped from $475 million in 2004 to $470 million last year. Brookwood Capital, a card brokerage headquartered in Peterborough, New Hampshire, analyzed the same data and reported that the number of portfolios sold dropped last year, from 67 in 2004 to 65 last year and that the total value of the portfolios sold hit $481 million, up from $459 million in 2004. Brookwood also reported the average size of a credit union card portfolio sold in 2005 was $7.4 million. But even though credit unions continued to outsource their credit card portfolio issuing and management in 2005, NCUA’s data also indicated that credit union card portfolio performance also improved, according to a leading card brokerage’s analysis. Asset Exchange examined NCUA’s 2005 data and found that 2,150 credit unions have card portfolios of over $1 million and that, overall, a smaller percentage of credit union members had their credit union’s credit card in 2005 (18.1%) than in 2004 (18.6%). But the broker’s analysis also found that credit union card portfolios’ value increased by 2.9% in inflation adjusted dollars, from $22.0 billion in 2004 to $23.4 billion in 2005. The percentage of overall credit union assets which those portfolios represent also rose last year, from 4.22% at end of 2004 to 4.31% at the end of 2005. For its part, the Kessler Group, formerly Kessler Financial Services, took credit for the sale of more than half of the card outstandings that were sold in 2005 and claimed to have helped credit unions sell 18 of their portfolios in the fourth quarter of 2005. Long associated primarily with MBNA, Kessler brokered many portfolio sales to Elan in 2005. The firm said it has brokered the sale of more than 130 credit union card portfolios. “This year continues the trend of steady growth for the outsourcing credit card solution in the Credit Union market,” says Steven Fuld, Senior Vice President with Kessler Group.

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

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

  • Critical 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 and

Already have an account?


© 2023 ALM Global, LLC, All Rights Reserved. Request academic re-use from All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.


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 and

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

Copyright © 2023 ALM Global, LLC. All Rights Reserved.