As many as 30 credit unions in West Virginia and Ohio haveshifted more business to their corporates after a regional andnational bank terminated their correspondent account relationshipslast month.
The $1.4 billion Volunteer Corporate CU and the $3.7 billion Corporate One FCU both reported the closed accounts, and inboth cases said members reported the banks cited Bank Secrecy Actand money laundering risk for the decision.
Charlie Thomas, VolCorp's senior vice president of West Virginia operations, said the Nashville, Tenn.-basedcorporate first became aware of the terminated correspondentrelationships a few weeks ago. He said the two banks were theColumbus, Ohio-based Huntington Bank and New York-based JPMorganChase Bank.
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