DALLAS -- TNB Card Services, the card processing and purchasing arm of credit union-owned Town North Bank, continues to purchase credit union card portfolios over $10 million. The firm announced the purchase of the card portfolio from the $177 million FAA Eastern Regional Federal Credit Union, headquartered in Clark, N.J.
The credit union has branches in four states and has 22,000 members. At the time of the sale, the CU's 6,000-card program had a penetration of 27%.
"We were impressed with TNB's approach and understanding of the credit union system, as well as their experience and knowledge of the credit card market," said Paul Perez, vice president of lending for FAA Eastern Region Federal Credit Union. "We sold our portfolio in order to grow it. With TNB we are confident that we will now be able to offer a stronger card product to our members."
Perez added that the CU had at first planned to keep the portfolio, but changed its position when they came to believe TNB could manage it better. "Even if we added staff and invested, we wouldn't have the knowledge that TNB has about growing the portfolio effectively," Perez added.
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