Tom Walker, president/CEO of the trust company, said the CUSO is an example of how collaboration can pay off.

"MEMBERS Trust Company represents the very best in terms of what can be accomplished for the good of members when credit unions work together with common goals and interests." Walker said. "Owned and managed by credit unions, [the trust company] constitutes a hybrid entity which embraces both a profitability objective as well as a service mission to members."

Some of the factors that have helped the trust company reach the $500 million mark are the ability to offer life cycle services and meet the needs of an aging population, Walker said. The growing demand for trust services and financial advice has also helped.

A merger in early 2007 with Members Trust Co. of Colorado, which brought in $100 million in assets and expanded the number of trust officers available to credit unions, was also a key growth component, Walker acknowledged. The main challenge of combining the two companies was coming together to operate under the same policies and procedures to eliminate redundancies. Now that everyone is on the same accounting system, Walker said the transition was a successful one.

The trust services options available through MEMBERS Trust is one indicator of the company's growth. Credit unions can chose from two set-ups: the agency office option establishes a trust presence in a particular state and requires a trust officer to be physically located in a credit union; the representative office option is an extension of the credit union's financial services program and does not require hiring a trust officer, but instead, utilizes the services of specially trained representatives to consult and make recommendations for trust services. Walker said 21 credit unions are using the agency office, while 50 have opted for the representative office.

Meanwhile, in November 2007, the trust company's reverse mortgage center made its debut. Three credit unions have entered into agreements with MEMBERS Trust: the $2.5 billion ENT, the $2 billion Visions FCU and the $2.1 billion GTE FCU. Through the center, credit unions can originate and service the Federal Housing Administration's home equity conversion mortgage, as well as a proprietary product, called the "Reverse Equity Mortgage…Payment Freedom for Seniors."

"There are two aspects that present a wonderful opportunity for credit unions–it's a very good loan in terms of asset-liability and it meets the unique needs of the member," Walker said.

MEMBERS Trust is preparing to launch a planned gift giving program in the second quarter to help those members that want to make charitable contributions. Walker said the trust company can also help credit unions that have public foundations.

It's an ongoing challenge for the credit union industry to make their presence known to members who still may not be aware that trust services offered and dispelling the myth that one has to be super wealthy to engage in estate planning. To that end, Walker said MEMBERS Trust will continue to improve marketing programs for credit unions.

"It's always a challenge to change the image of credit unions as a transactional site to one that can provide financial services," Walker said. "We will continue our efforts to educate members."

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