Sharon Updike, CEO of the $217.9 million Eagle Community Credit Union, first heard of the effort more than a year ago during a meeting of an area credit union CEO group she belongs to. She explained that Hanley brought up the initiative and several immediately asked how they could help.

"One thing we're doing is training staff–pretty much Luis…They wanted to give him an idea of the kinds of things our credit union would do with our employees off the street," she said. Valerio started his training at OCTFCU, which has $6.5 billion in assets, but went over to Eagle Community to get a feel for a smaller credit union.

"That's what credit unions are all about," Updike said. "We told him how we put together our training and our system."

Valerio was in Eagle Community for several months–long enough to learn that robberies are not just for banks. While he was there, he witnessed a robbery during which he was pistol-whipped, he said.

He also did some "reality-based training" at $34.6 million Health Associates Federal Credit Union. "We were involved in terms of training the new manager with Symitar and some of the systems we have here," CEO Tom Vigueras said. As the process moves forward, he said, the credit union plans to support the grand opening, and continue to provide training and the document support the fledgling institution will need.

Eagle Community is putting its money where its mouth is, literally. The credit union will be making a $100,000 noninterest earning deposit in the Comunidad Latina, which it has committed for five years, Updike added. Sure, there will be missed opportunities, she agreed, adding, "You know what? We have so much cash sitting around…What's an extra $100,000?" Updike's credit union will not really be losing much, she said.

This is a different type of investment. "As far as I'm concerned this is a community effort and credit unions help each other," Updike concluded. "The big thing is, it's the right thing to do. A lot of us don't have the capacity to do what Rudy's doing on this scale…It gives us the opportunity to participate when we couldn't do it on our own at our size."

According to Valerio, 13 credit unions in addition to Eagle Community have committed $100,000 in noninterest earning deposits for a total of $1.4 million. The credit unions have also contributed for the 2,000 square-foot office space and donated computers and office furniture. The Underserved

The Santa Ana area, which has a population of about 340,000, is 74% Hispanic, Hanley said, with 49% using Spanish as their primary language. They have unique needs so they really needed their own credit union, he explained. They have a lack of trust for banks and large financial institutions and Hanley is hoping the democratic control of Comunidad Latina will help them assimilate more easily.

Valerio himself is the son of first generation Mexican immigrants. "The first year is going to be very conservative," he said. "We have to be sure not to over-promise and under-deliver." Assimilation is crucial during this time.

Hanley explained, "As is the case in many areas, check cashing outlets and payday lenders abound."

"We want to give another avenue other than the payday lenders in Santa Ana," Valerio followed up. He noted that they often charge 200% on a $300 loan. Education will be important, both on wise financial choices and the member-ownership of the credit union.

To start with, the credit union will be offering basic savings and checking, ATM cards, traveler's checks, wire services, and auto and signature loans. Credit cards are planned in the future. The Politics

"I may be unique in my thinking, but I still believe in credit unions with a clearly defined niche and the support of the credit union community," Hanley said of the project. Sometimes smaller, more focused credit unions can fulfill their mission more effectively so they do not require a large asset size to properly serve their members, he said. "Every one of us was that size at one time," he remarked.

Hanley said he hopes "success breeds success;" he took his model for Comunidad Latina from State Employees Credit Union CEO Jim Blaine and Latino Community Credit Union that Blaine helped start down in North Carolina. He also noted that there have been fewer occupational-initiated credit unions, but that could change with the NCUA being forced to limit the adoption of underserved areas to multiple common bond credit unions. Occupational-based credit unions, Hanley said, could establish a preconditioned "loyalty and identity" bond.

Valerio pointed out that Comunidad Latina and others are making the loans that the banks will not touch. "I think what it's going to signify to credit unions and Congress is that credit unions are serving members of modest means," he stated.

Updike said aside from the "glow inside" it gives her, this credit union community effort helps the industry from a number of angles like gaining a new credit union and making a visible, tangible cooperative effort to help ward off the bankers' attacks. It shows credit unions are earning their tax-exemption. "It's the perfect one." –[email protected]