CU National Mortgage Selects CMG Mortgage Insurance as Primary Insurance Provider

PINE BROOK, N.J. – CU National Mortgage, a subsidiary of U.S. Mortgage Corp., has tapped CMG Mortgage Insurance Company to be the company's exclusive mortgage insurance provider and to make available a full-range of mortgage services to its credit union clients and their members As a result of the partnership, CMG Mortgage Insurance, a joint venture between CUNA Mutual and PMI Mortgage Insurance Co. and licensed nationwide, will work with CU National Mortgage to offer a variety of affordable home ownership options to CUs. CU National has relations with 75 credit unions in all 50 states including credit unions with out-of-state branches. CU National Mortgage President/CEO Michael McGrath Jr. said, "CMG brings the most value to the credit union market from the mortgage insurance perspective. They're known throughout the U.S. as being the primary provider of mortgage insurance to credit unions. "Part of our cost structure is providing cheaper alternatives for members compared to other mortgage insurance companies, so aligning ourselves with CMG is good for us and our client credit unions because it will reduce the cost of mortgage insurance for members," he added But McGrath stressed that CU National wasn't just looking for a "cheap alternative. We wanted a partnership where we could broaden the opportunities for the memberships of our client credit unions including providing them with new loan products and different avenues for members to use to borrow." CU National provides credit unions with a full range of mortgage services the company offers transparently to members in the credit union's name. McGrath said each credit union has full autonomy over their lending program and "can do with the program whatever they want. It's self molded." CU National originated $500 million in mortgages in 2004, and McGrath predicts the company will do more in 2005 despite rising interest rates and appreciating home values because CU National is increasing its client base of credit unions.