WASHINGTON — Despite the loss of interchange income and mountingcompliance requirements, overall credit unions feel more confidentabout their future than in recent years. CUNA President/CEO BillCheney opened GAC last week by telling member credit unions thatthe cooperatives are on the rise thanks to recovering financialsand unprecedented media attention.

“I can't remember a time when credit unions have received somuch media attention,” Cheney said, adding that the phones at CUNAhave been ringing off the wall with calls from reporters.

On Tuesday, National Journal, a publication widely readin Congress, reported on GAC, saying that because of grass-rootssupport and PAC donations, credit unions have gained clout onCapitol Hill.

“That's huge,” CUNA's master of ceremonies Paul Berry told thegeneral session audience.

The CUNA leader briefly brought Bank Transfer Day founderKristen Christian to the stage, calling her the industry's “secretweapon” in gaining attention from the media and consumers.

Thanks to Christian's social media movement and a renewedconsumer interest in credit unions, the financial cooperatives arewell positioned financially to gain market share, Cheney said.

“We can see the light at the end of the tunnel,” he said,referring to corporate assessments that are expected to drop from25 basis points in 2011 to as little as 8 basis points this year.CUNA anticipates credit union net worth will rise to an average of10.6% by year end, loans will grow by 6%, and the industry willreach $1 trillion in total assets. And, corporate assessments areexpected to drop to less than 11 basis points this year, down from25 basis points last year.

NCUA Chairman Debbie Matz echoed Cheney's positive message inher address, saying that just two years ago, the credit unionindustry “teetered on the edge of collapse,” with hundreds of CAMEL4 and 5 institutions.

“But today, what a change,” she said. “Now that the system isstabilized, we must work together to move forward.”

However, not all credit unions are experiencing a strongrecovery yet.

Charles Alston Sr., director for the $950 million AberdeenProving Ground FCU, said his Aberdeen, Md.-based cooperative ishaving difficulty generating new loan volume. Alston said hismembers lack confidence in the economy and are cautious to take onnew debt. He planned to speak to his elected officials aboutimproving the economy.

“We are slowing getting there,” he said, “but we still need morehelp.”