I have worked at a small credit union for 24 years. I have been the CEO for the past 6 years. When I say small, I really mean tiny, as we are the smallest credit union left in Clinton County, NY.

We have 1150 members, 5 employees, and run around 6 million in assets. My share/loan ratio sits comfortably in the 80% range, and we really don't see delinquent loans very often. Our membership is a mix of blue collar factory workers, retirees, and in the last few years, a lot of young SSI recipients. We know most of them by name, and we have many members that have been with us for all of my 24 years and longer.

We do not have traditional overdraft 'loans'. We do charge $30 as a 'courtesy fee' to save a draft or ACH, and we very rarely return any payments of any kind.

We are not a 'live' credit union. Debit card transactions are not 'instant'. Every single morning, either myself or my Operations Manager download our transmission files and post members drafts, ACH, and debit card transactions. We then take the time to look at every single member that is on the rejection list for insufficient funds. If the member has either a loan with us or direct deposit (and 90% of them do!), we will hand post that payment into the negative. The $30 fee stands. This saves the member the fee on the other side, the negative consequences of having a check returned, and in some cases, the legal ramifications of bouncing multiple checks.

If you have never bounced a check, and suddenly make a mistake, I can guarantee that fee is being reversed. Members that do this often are personally spoken to and encouraged to get on track. We will offer advice, refinance loans, and we return thousands of dollars in fees every year. We also take the time to reverse any fee that is bigger than the amount of the payment, even though our software cannot recognize this for us. We do it all by hand, and yes it does take an hour or more every day.

Despite this, we continually see members that live a week ahead of the paycheck. They actually thank us for saving the check/ACH and they tell us repeatedly they don't mind the fee, that it is better than being returned to the store. They often say that knowing that we will cover a check is what keeps them breathing when they have to pay rent or buy groceries and just don't have the money!

This being said, this credit union made $68,000.00 in overdraft fees last year. We probably reversed another $35,000.00.

I do not enjoy charging this fee. I freely admit that with the low interest rate environment the past 6-7 years, it has been a lifesaver for this credit union as we doubled our money loaned out just to keep our loan interest income level. We do not make money, we scrape by. We would not be in business if we didn't have fee income, but I also admit that I will always feel 'bad' that we have to charge it. I do not charge fees to make up for loss of loan income. I charge fees because we have a core group of members that continually write checks or authorize payments knowing that we will cover it for them, for a fee.

For some reason, 'Personal Responsibility' has become a hated term. I just don't understand how we can be blamed for someone who knowingly and willingly writes a check knowing darn well they don't have the money. 80% of my membership has NEVER written a bad check or paid an overdraft fee. I have members that are in management positions and make 6 figure incomes, and they bounce checks regularly and are head over heels in debt. I also have members that make $30,000.00/year and raise a family in a frugal, responsible manner and have never bounced a check. They have excellent credit and live within their means. It is not being poor that causes this situation. Is it being uneducated? Possibly. But when I offer to hold a class to help members balance a budget and/or a checkbook, I don't get a response. When I meet one on one with members, they listen and they try to get on track, but they rarely are willing to make the sacrifices needed. In this day of instant gratification, saving for a vacation or not spending $2000.00 on Christmas gifts just doesn't work for many people. That credit card is so easy to use, and that new car looks so good in the driveway. And not bringing the kids to Disney World? What an awful parent/grandparent you must be!

I shudder when I hear Congress and the CFPB talk about overdraft reform. We are not the 'big bank'. We see what happens in the trenches every day. We know our members, we help our members, and we really do care. But if I am ordered to limit fees to 1 per day, or no more than 3 per month, then I will have no choice but to return those payments and cause more fees and grief, and even legal issues for many members. How is this helping? The Opt-in mandate for debit cards was bad enough. I don't know who Congress talked to when they said people would rather be denied at point of sale than be charged a fee , but that is not my membership! I don't think Congress has a clue what is means to be middle class and lower class. They don't have a clue what it means to someone to have the rent check saved or that check for groceries covered, even though the credit union takes the risk of it never being paid back. By the way, that risk is why we charge the fee. I also have to look out for this credit union as a whole, not just each individual member.

My husband and I met in high school. We married at 20 and have been together 34 years. We never had financial help from ANYONE. (and yet we never bounced a check. Imagine that?) I never took a class on budgeting. I just always thought that when you had a bill, you better pay it. If you can't afford to buy something, you don't. We lived paycheck to paycheck for many years as we raised 2 sons. I stayed home for 7 years to raise my sons to school-age. We drove an old car and never took big vacations. My husband sacrificed 20 years of his life to law enforcement and all the 'joys' that career brings. I took a job at a credit union as it fell into my lap when I called for a babysitter one day and my neighbor asked if I was interested in working with her. I knew nothing about credit unions. It developed into a 24 year career that I have loved. I truly do care about my members. I would like nothing better than to see each and every one of them be able to have a solid financial life, never pay a fee, never worry about a bill, to have a new car and go on vacation. But I also have to accept the fact that not everyone wants to work hard and make sacrifices. The best I can do is help when I can, treat them like decent human beings, and give them advice. The rest is up to them.

I just want to add that while Bernie Sanders is a nice, honest guy (I have even said hello to him while shopping on Churchstreet in Burlington, Vt), people have a right to be wealthy. People often make life choices that either propel them forward or hold them back. I started with nothing. I could have stayed home with my sons forever. I could have flipped burgers for a living. Or I could take a chance and get out of my comfort zone and take a job at a credit union. I could have remained a teller for my entire career. I decided that I wanted more, so I educated myself. I read everything I could and I paid attention. I never went to college because as soon as I graduated from high school, I had to work full time just to afford rent & groceries. (again, never bounced a check in my life). I never got a dime from my parents once I turned 18. Neither did my husband. We worked hard and we made good choices. While we certainly are nowhere near wealthy, I make more than my entry level teller because I have more responsibility and I have earned it. Please don't disparage people who make money, and remember that if someone didn't own that factory or store, then a lot of jobs would be lost.

Ellen Drollette

Manager/CEO

GP Community FCU

Plattsburgh, N.Y.

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