ATLANTA — Credit unions here joined by Georgia Credit Union Affiliates were again ramping up safety and soundness campaigns in the wake of the state's fifth bank failure, the second this month.
"Our goal is not to take advantage of banking's troubles down here but to continue our own message that we're safe and the source for loans," declared Kelly Gamon, vice president of marketing at $1.2 billion Georgia's Own CU, as local media splashed news over the weekend of the failure of the $572 million Haven Trust Bank of Duluth, taken over by BB&T Bank of Winston-Salem, N.C. under an FDIC purchase deal.
Apart from her CU's own safe/sound messaging, Garmon said Georgia's Own is participating in the co-op awareness TV/radio campaign launched last month by the league under the banner, "Belonging to a Credit Union is Easy. Your Money Will Thank You."
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In a statement, the Georgia Bankers Association blamed the Haven bank failure Friday which follows a Dec. 5 collapse of the $197 First Community Bank of Jackson on the "prolonged real estate" difficulties.
"Some of our banks that have focused heavily on the real-estate development and building industries are unquestionably hurting," said Joe Brannen, president/CEO of GBA noting that five Georgia banks have closed since August.
Based on current FDIC data, said Brannen, "non-performing bank loans are more than double the national average, non-current loans have risen to over $7 billion and foreclosed real estate properties on bank books are up significantly."
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