Credit Union Journal articles from December 2007

Credit Union Journal archives from December 2007

Zopa Expands Into U.S. In Deal With Six CUs.
December 3, 2007... SAN FRANCISCO -- Zopa's peer-to-peer lending system is finally launching here in the U.S. with a special twist: to participate in the peer-to-peer (P2P) offering, you must first join a credit union. Zopa describes itself as a "social...

The Odd Decouple: CUs Urged To Be Aware Of Threat To Fee Income, Relationships.
December 3, 2007... BOSTON -- Credit unions are being alerted to what some are suggesting could be a significant threat to their debit card portfolios. At issue is the emergence of "decoupled" debit cards in which one institution issues a debit card that can...

CUs Continue To Struggle With How To Properly Price Deposits.
December 3, 2007... WEST PALM BEACH, Fla. -- Although 40% of credit unions polled by CU Journal reported adjusting what they're paying for deposits, analysts are suggesting many continue to struggle with their pricing and the resulting strain on margins. CU...

Credit Union 24 Deal With Allpoint To Expand Network.
December 3, 2007... TALLAHASSEE, Fla. -- Credit Union 24, the national credit union-owned POS network, will announce this week the addition of the Allpoint network to its CU HERE surcharge-free program, creating what is says will be the largest surcharge-free ATM...

On Deadline.
December 3, 2007... Washington Regulator OK's Holding Visa Stock OLYMPIA, Wash.-The Department of Financial Institutions cleared state-chartered CUs to receive and hold stock in Visa Inc., as long as they receive DFI approval. Each state-chartered credit...

Dodd Proposes Reforms To Bankruptcy Reforms.
December 3, 2007... WASHINGTON -- Senate Banking Committee Chairman Christopher Dodd (D-CT) unveiled a plan last week to introduce bankruptcy reform legislation that would specifically seek to make five changes. Dodd said his bill is meant to provide relief to...

NCUA's Position: 'We Should Stay'.
December 3, 2007... WASHINGTON -- NCUA has sent a comment letter to the Treasury Department that, not too surprisingly, stresses there are numerous reasons to keep it around as an agency. Similarly, NASCUS and CUNA also objected to any proposal to consolidate...

Group of CU Execs Under Age 30 Assembled To Develop Products.
December 3, 2007... MADISON, Wis. -- The Filene Research Institute has named the members of its team of young professionals it has created to develop products and services designed to attract the younger generation to credit unions. Dubbed the "30 under 30"...

Well-Known Univision Personality (& Member) Featured In Ads.
December 3, 2007... SAN FRANCISCO -- Patelco Credit Union is in the middle of an eight-week campaign targeting the Hispanic market in the Bay Area, and it has brought in a local Spanish-language TV star to tell its story. Patelco's "multi-disciplinary"...

STATE STAT-SHOT.
December 3, 2007... Throughout 2007, the Credit Union Journal is profiling the credit unions of each U.S. state and D.C. Rather than appear in alphabetical order, the states are being featured in the order they became states. NEW MEXICO Number of Credit...

Worth Noting.
December 3, 2007... Maxwell, Herring Winners Named MADISON, Wis.-CUNA has announced the national winners of the Dora Maxwell Social Responsibility and Louise Herring Philosophy in Action Awards. First place winners of the Dora Maxwell Award are Great Horizons...

CURIA COUNTER 135.
December 3, 2007... At press time, the number of co-sponsors on the CURIA bill. 217 are needed to have a majority. (c) 2007 The Credit Union Journal and SourceMedia, Inc. All Rights Reserved. http://www.cujournal.com http://www.sourcemedia.com

Credit Unions Only Non-Retailer To Make Top 10 List.
December 3, 2007... CAMBRIDGE. Mass. -- Credit unions were ranked among the top 10 when consumers were asked about their interactions with various providers, the only non-retailer to make the list. The results are part of Forrester Research's 2007 Customer...

Members Lined Up At 4 A.M. To Apply For Holiday Loans.
December 3, 2007... DETROIT -- More than 300 members of Detroit Municipal Credit Union lined up at the credit union's offices by 4 a.m. for a special loan to help with Christmas expenses. By the end of the special promotion, more than 1,000 Detroit area...

Other Holiday Help.
December 3, 2007... DUBUQUE, Iowa -- With winter approaching, Dupaco Community Credit Union reported it helped gather more than 3,300 garments as part of its 17th annual "Coats for Kids" campaign. The credit union teamed with Cumulus Broadcasting, and Courtesy...

Worth Noting.
December 3, 2007... NAFCU, Securian Offer Webcast WASHINGTON-Securian Financial Group, Inc. and NAFCU Services Corp. have released a free educational webcast available to all on the benefits of debt protection. The 11-minute online video also suggests best...

Xerox FCU Has No Plans To Copy Others As It Prepares To Introduce New Brand, Focus.
December 3, 2007... EL SEGUNDO, Calif. -- From the person who brought us Kinecta, the new name and brand for the former Hughes Aircraft Employees FCU, comes a plan to make over the image of Xerox FCU. It's just down the road a bit. Teresa Freeborn, who...

One CEO's Postcard From A Whole Different (CU) World.
December 3, 2007... Planning your summer vacation for 2008? Here's how one CEO spent his this year, and he offers some fodder for those longing for something more meaningful than a frozen margarita machine and a week next to the timeshare pool. Bill Raker,...

Calendar.
December 3, 2007... JANUARY 2008 Jan. 5-9 CUNA Volunteer Institute, Vallarta Palace, Nuevo Vallarta, Nayarit, Mexico. For info: 800-356-9655 ext. 4249 or training.cuna.org. Jan. 16-19 American Association of CU Leagues Annual Meeting, Naples...

How Changes To Reg Z Will Affect Credit Unions And Open-End Lending Policies.
December 3, 2007... The Federal Reserve Board recently closed the comment period for its proposed changes to the open-end lending rules under Reg Z. This comprehensive proposal would change the way credit unions currently do business. The extent of the impact...

Reader Questions.(management of workers)
December 3, 2007... CUJ Reader Question: How can I get our senior management team to accept casual Fridays? Kelley: If you think of some way, please let me know. Roger, can we have casual Fridays? Or even just Tuesdays between 2 and 3 p.m. How about "dress...

Left-Right BRAIN.
December 3, 2007... Have a problem or question you need resolved? Ask your question and get both the left and right perspective-left or right BRAIN that is. The left brain way of thinking is represented by Roger Ball, CEO of Call FCU, Richmond, Va., or as Kelley...

One CU's Path From Conservatorship To Top 10 In ROA.
December 3, 2007... MOBILE, Ala. -- Bob Dobilas took the reins as CEO of New Horizons Credit Union on April 1, 2002. Yet the news he received that day was no joke. Dobilas was aware the credit union had some financial challenges when he took the position, but...

The Numbers From 2004-2006.
December 3, 2007... New Horizons Credit Union 2004 2006 ROA 1.14% 2.17% Capital to Assets 9.71% 11.96% Assets ...

Republican Exodus Continues From Congress.
December 3, 2007... WASHINGTON -- With chances of them regaining control of Congress dwindling, top Republicans continued to make their way to the exits last week, with Senate Majority Whip Trent Lott, of Mississippi, announcing his immediate retirement. ...

Bill Sets Fannie, Freddie Mission To Serve Underserved.(new law of credit unions)(Brief article)
December 3, 2007... WASHINGTON -- Legislation introduced in the Senate last month would establish a requirement for Fannie Mae and Freddie Mac to serve the underserved and set aside millions of dollars each year to fund housing projects for low- and...

Agenda.
December 3, 2007... Comment Federal Reserve system is seeking comment on rules implementing provisions of the Unlawful Internet Gambling Enforcement Act of 2006. Comments are due Dec. 12. FDIC is seeking comment on changes to annual independent audit and...

People.
December 3, 2007... Orange County's Credit Union, Santa Ana, Calif., elected Dan Dillon chairman. Greylock Federal Credit Union, Pittsfield, Mass., promoted Clare S. Klose to vice president of human resources, James H. Wojtaszek to vice president of marketing...

11,000 Unbanked Join CUs.
December 3, 2007... SAN FRANCISCO -- More than 11,000 of the unbanked residents here have joined credit unions or taken out bank accounts through the fledgling "Bank on San Francisco" program, city officials announced. As a result, the city treasurer's office has...

Visa Fines Fifth Third Bancorp.
December 3, 2007... CINCINNATI -- Visa Inc., which had been stiffening its enforcement of card security rules, fined Fifth Third Bancorp $880,000 for its role in the massive security breach at TJX Cos., which forced hundreds of credit unions and banks to reissue...

High-Speed Chase Closes Highway.
December 3, 2007... COLUMBUS, Ohio -- A portion of Interstate 70 was closed for about five hours after a man who allegedly robbed CME FCU led police on a wild chase that reached speeds of 100 miles per hour. The suspect, identified as 58-year-old Herman Hawkins,...

CU Helps Fund Holiday Spending.(Brief article)
December 3, 2007... BATON ROUGE, La. -- Pelican State CU paid its members a special dividend of $300,000, just in time for the holidays. The special dividend was calculated by adding up dividends earned on all deposit accounts and interest paid on all loans...

READER RESOURCES.
December 3, 2007... Credit Union Journal Subscribers can access all content from the print edition every Monday simultaneously with its publication at www.cujournal.com. Additional resources include: * Front-page news stories are accessible by clicking on the...

Experts Say Card Portfolio Sales Trend Still Too Close To Call.
December 3, 2007... ST. PETERSBURG, Fla. -- Credit unions may be thinking twice before selling off their credit card portfolios, looking at ways to grow those portfolios first. A number of credit card portfolio analysts have long suggested credit unions...

Real Estate Turmoil Could Be Credit Card Opportunity For CUs.
December 3, 2007... BOSTON -- With fewer home equity loans being written, consumers are spending with plastic instead of cash, allowing credit unions to grow their card portfolios while helping their members avoid some of the sharks lurking in the credit card...

What's In The Cards.
December 3, 2007... Five CUs Sell Portfolios To TNB DALLAS-Five more credit unions have sold their credit card portfolios to TNB Card Services, pushing the number of portfolios that TNB now owns to almost 140. The latest TNB purchases are Gulf Coast...

Build-A-Card?
December 3, 2007... MCLEAN, Va. -- Capital One, one of the most aggressive card issuers in the country, has launched what it calls the "Capital One Card Lab." The "Lab" is being marketed as a "convenient online tool designed to help consumers select from a...

What's In The Cards.
December 3, 2007... TMG Signs On 11 CUs DES MOINES, Iowa-Four credit unions have chosen The Members Group for their card-processing solutions, while another seven have signed up for its Visa-branded ATIRAgift card program. The four CUs that have selected...

New Study Offers Guidance On Mergers.
December 3, 2007... MADISON, Wis. -- With credit union mergers occurring at the rate of approximately one per day in the United States and no sign of that pace slowing, a new research paper has been released to guide boards of directors in the process. The...

The 30 Members.
December 3, 2007... MADISON, Wis. -- The inaugural group of 30 under 30 members includes: Alex Alexander, Municipal Employees CU of Baltimore; Dustin Allen, Weber State CU; Megan Armstrong, Sunmark CU; Avery Cashman, Service 1st FCU; Julie Cosgrove, Affinity Plus...

How Can Anyone Join 1 of 6 CUs? And What About The Banks?
December 3, 2007... SAN FRANCISCO -- How can six credit unions serve anyone from anywhere in the country who might log onto Zopa? While the long-term vision is that other credit unions will join the Zopa partnership, Zopa's Wade Lagrone said he was confident...

FYI.(management of online social finance company zone of possible agreement)(Brief article)
December 3, 2007... Just What Is Zopa? Zopa, which gets its name from the business acronym for "zone of possible agreement," calls itself the world's first online social finance company. Though Zopa got its start with a slightly different format in the UK, it...

Yes, Virginia, People Still Need To Finance Cars: CUs Change Strategies As Quality of Borrowers, Vehicles Are Changing.
December 10, 2007... AUSTIN, Texas -- Auto sales are declining and the percentage of auto loans funded by credit unions is down from its peak two years ago, but one insider says CUs have responded by diversifying their lending portfolios and leveraging their...

NCUA Nominee Named: But Approval Remains A Big Question.
December 10, 2007... WASHINGTON -- The Bush administration announced it plans to nominate Michael Fryzel, a Chicago attorney and former director of the Illinois Department of Financial Institutions, as chairman of the NCUA Board. Fryzel, who has a long...

CUs Significantly Overcapitalized?: New Study Suggests Too Much In Reserve.(Report)
December 10, 2007... MADISON, Wis. -- A new study seeks to get to the bottom of just how much capital is enough-and too much-for credit unions. New research has concluded that most U.S. credit unions are 30% to 40% overcapitalized. Most CUs, notes the new study...

Happy Holidays, Unhappy New Year? - Members Show Willingness To Borrow During Holidays.
December 10, 2007... FORT LAUDERDALE, Fla. -- Although credit unions have placed different types of holiday loans under their respective trees, they are reporting one common trend--members are definitely borrowing to pay for holiday shopping. Take City County...

Happy Holidays, Unhappy New Year? - Analysts Debate Whether Bah-Humbug Coming In '08.(analysis of economic conditions)
December 10, 2007... ARLINGTON, Va. -- While consumers are in the grip of the holiday shopping frenzy, economists are trying to determine if the country might be in for a lump of coal in the not-too-distant future. At least one analyst believes that probability...

On Deadline.
December 10, 2007... Pacific NW Storms Close, But Don't Damage CUs OLYMPIA, Wash.-The strong storms that roared through the Pacific Northwest last week led to the closings of several credit unions in Oregon and Washington, but no reports of damage to...

TJX Cos. Agrees To Pay As Much As $40.9M In Data Breach Case.
December 10, 2007... SAN FRANCISCO -- The parent company to TJMaxx and Marshalls last week announced it had agreed to pay as much as $40.9-million to settle litigation filed by Visa, Fifth Third Bancorp and other payment card issuers over the retailer's failure to...

Loan-To-Share Ratio Hits 2-Decade High.
December 10, 2007... MADISON, Wis. -- Thanks to a combination of accelerated loan growth and flat savings growth, the CU community's overall loan-to-share ratio has hit its highest mark since 1979, according to CUNA. Data show the ratio rose to 84.3% in October...

Mass. CU, Bank Still Pursuing Merger As Some Question How Deal Came To Be.
December 10, 2007... HAVERHILL, Mass. -- Executives at Northeast Community CU and Haverhill Bank are working with regulators to get the go-ahead for their unusual merger, which some see as by-passing the normal member disclosure procedure for credit unions...

Enterprise Wide Risk Mgmt. Society Is Being Formed.
December 10, 2007... COLUMBUS, Ohio -- Corporate One FCU has chartered a Credit Union Enterprise Wide Risk Management Society (Credit Union EWRM Society), with a mission to educate CUs and develop consensus around enterprise wide risk management. The founding...

STATE STAT-SHOT.
December 10, 2007... Throughout 2007, the Credit Union Journal is profiling the credit unions of each U.S. state and D.C. Rather than appear in alphabetical order, the states are being featured in the order they became states. ARIZONA Number of credit...

Worth Noting.
December 10, 2007... $26M Loan Auction This Week FORT MYERS, Fla.-As reported earlier by Credit Union Journal, NCUA and Boston-based DebtX plan to hold an online auction to sell $26-million in bad loans the agency is managing after taking control of the failed...

CURIA COUNTER 138.
December 10, 2007... At press time, the number of co-sponsors on the CURIA bill. 217 are needed to have a majority. (c) 2007 The Credit Union Journal and SourceMedia, Inc. All Rights Reserved. http://www.cujournal.com http://www.sourcemedia.com

1 CUSO (Wescom Resources) Acquires Another (eCU Technologies).
December 10, 2007... PASADENA, Calif. -- Wescom Resources Group (WRG), a CUSO of Wescom Credit union that provides Internet Banking and other solutions, has acquired another CUSO, eCU Technologies, a unit of Pennsylvania State Employees Credit Union. The...

New Jersey's CUs, Banks Seek To Provide Some Mortgage Relief.
December 10, 2007... HIGHTSTOWN, N.J. -- New Jersey's Department of Banking and Insurance and Department of Community Affairs, along with representatives of financial services institutions in this state, have announced a public-private alliance designed to both...

Now In The Market.
December 10, 2007... CO-OP Moves Anti-Fraud In-House RANCHO CUCAMONGA, Calif.-CO-OP Financial Services announced it has moved its anti-fraud center and its 20 analysts in-house. The new Fraud Service Center was created to focus on CO-OP member credit unions...

Trade Assn. Execs On The Air, In The Air.
December 10, 2007... WASHINGTON -- The CEOs of the two major credit union trade associations are getting some air time. NAFCU President Fred Becker appeared on Washington's 24-hour local cable news channel, NewsChannel 8, as part of a report on identity theft....

Wear Beard, Shoot Photo, And Kids Get 10 Bucks.(Redbeard Communications Inc.)(Brief article)
December 10, 2007... HOLLISTER, Calif. -- Redbeard Communications, a marketing and branding agency, has sent a Christmas card to some 700 credit unions in which it encourages recipients to remove the red beard from the card, take a photo of themselves wearing the...

CUs In World of Sports, World of Banking, World Of Language.
December 10, 2007... As you're all too aware, we are approaching the happiest and most joyous season of the year-by that, I mean, of course, college bowl season. What you may be less aware of is that a credit union is the title sponsor to one of those bowls: the...

Calendar.(Conference news)(Calendar)
December 10, 2007... JANUARY 2008 Jan. 5-9 CUNA Volunteer Institute, Vallarta Palace, Nuevo Vallarta, Nayarit, Mexico. For info: 800-356-9655 ext. 4249 or training.cuna.org. Jan. 13-16 Midwest Management Issues Conference hosted by the Illinois,...

Why Cooperative Finance Models Should Focus On Teaching A Man To Fish.
December 10, 2007... There is no doubt that most people have heard the parable, "give a man a fish; you have fed him for today. Teach a man to fish and you have fed him for a lifetime." Traditional financing models often miss this important psychological element of...

CUs Should Stop Blaming The People They're Supposed To Help.
December 10, 2007... The Credit Union Journal's recent Mortgage Mess coverage (CU Journal, Nov. 26) is not only amusing, but a joke as well as an insult to anyone of average intelligence. Wescom Credit Union reports more than $9 million in losses and...

Will Mistakes Of The Few Outweigh The Good Of The Many?
December 10, 2007... Unfortunately, it has become a truism in the credit union industry that the many will pay for the mistakes of the few. The National Credit Union Share Insurance Fund (NCUSIF) stands to lose hundreds of millions from the speculative real estate...

Research: Do You Really Know What Your Staff Thinks Of Your CU?
December 10, 2007... Many management gurus claim employee satisfaction and accomplishments are keys to organizational success. That's why it's critical to truly understand what employees feel and think. One approach to assessing employee satisfaction is to conduct...

CUs Lobby Against Reforming Mortgages VIA Bankruptcy.
December 10, 2007... WASHINGTON -- Credit unions continued to lobby against themselves last week over solutions to the continued meltdown in the mortgage markets. On the one side were the traditional credit union lobbies, CUNA, NAFCU and NCUA, telling Congress...

Local Government FCU Refinances Subprime Loans.
December 10, 2007... RALEIGH, N.C. -- Local Government FCU said it mortgage refinance program aimed at helping subprime borrowers stay in their homes has refinanced $6 million in mortgages for 50 families. "We understand that some people simply got into a bad...

Federal CUs Can't Self Insure for Collateral Protection.
December 10, 2007... ALEXANDRIA, Va. -- Federal credit unions cannot replace third-party collateral protection insurance and private mortgage insurance with their own internal programs, according to NCUA. Credit unions may not self insure, as was proposed by...

Agenda.
December 10, 2007... Comment Federal Reserve system is seeking comment on rules implementing provisions of the Unlawful Internet Gambling Enforcement Act of 2006. Comments are due Dec. 12. FDIC is seeking comment on changes to annual independent audit and...

People.
December 10, 2007... Greylock Federal Credit Union, Pittsfield, Mass., promoted Cindy Shogry-Raimer and Donald Johnston to vice president and Kevin Zimmer to chief financial officer. FAA Federal Credit Union, Memphis, Tenn., promoted Deloris Jones to...

Layoffs Caused By Mortgage Market.
December 10, 2007... SAN DIEGO -- USA FCU, which reported a third quarter loss of more than $1.1 million, said it laid off 30 employees, about 10% of its workforce. Officials with the $700-million credit union said the losses were attributable to rising...

AFCU Pays Out $5-Million Bonus.
December 10, 2007... TULAHOMA, Tenn. -- Ascend FCU said it will pay a bonus dividend to members of approximately $5 million this month. The refund, the third consecutive year the credit union has made the payment, will be calculated as a percentage of total...

San Francisco Asks Lenders Help.
December 10, 2007... SAN FRANCISCO -- Mayor Gavin Newsom called on the city's lenders to help forestall thousands of expected foreclosures by reaching out to at-risk borrowers and modifying loan terms for those who have made timely mortgage payments. Among the...

SECU Offers Biweekly Payments.
December 10, 2007... RALEIGH, N.C. -- State Employees CU announced it has added a payment option to its mortgage program that will allow homeowners to make semi-monthly payments. Officials with the credit union giant said they believe the biweekly payments-26...

READER RESOURCES.
December 10, 2007... Credit Union Journal Subscribers can access all content from the print edition every Monday simultaneously with its publication at www.cujournal.com. Additional resources include: * Front-page news stories are accessible by clicking on the...

Floundering Home Prices Are Taking A Bite Out Of Home Equity Car Loans.
December 10, 2007... ARLINGTON, Va. -- During the recent run-up in home prices (approximately 2003-2006 in most markets), consumers reportedly were using their home equity to pay off auto loans, or even to purchase cars, but credit unions can expect to see that...

For Members With Credit Issues, 'New Road Loan' Offers 2nd Chance.
December 10, 2007... PITTSFIELD, Mass. -- Greylock Federal Credit Union has launched an auto loan product for consumers with impaired credit but who also have a willingness and ability to make their loan payments. The New Road Loan Program resets every six...

NAFCU Analysis Sees Auto Sales In The Slow Lane.
December 10, 2007... ARLINGTON, Va. -- In his analysis of vehicle lending trends, NAFCU Economist Dr. Tun Wai noted that while vehicle sales actually increased slightly to 16.2-million annualized units in November, the year to date average of 16.1-million units is...

Now In The Market.
December 10, 2007... CUDL To Host Booth At NADA RANCHO CUCAMONGA, Calif.-CUDL said it will represent more than 600 credit unions at the National Automobile Dealers Association (NADA) Convention for the fifth consecutive year, when the group meets in San...

CU Journal Online Survey.
December 10, 2007... Auto lending has traditionally been the bread and butter of CUs, but right now: Our members are busy buying holiday presents, not cars 53% Manufacturers are desperate to sell cars so we're really pushing auto 7%...

How 1 CU Says Thanks To Its Members.
December 10, 2007... SANTA ANA, Calif. -- The only increase Orange County Teachers FCU is seeing this holiday season is in credit card balances. But Erin Mendez, senior VP-Finance, said that's not indicative of the holiday season, just of the economy. Instead...

Now In The Market.
December 10, 2007... Alliant CU Signs On With CU 24 TALLAHASSEE, Fla.-Credit Union 24, Inc., the only national credit union-owned POS network in the U.S., said that the $4.5-billion Alliant Credit Union has become the newest member-owner of the Credit Union 24...

'Fear' Is Driving Investment Decisions.(management of investments by credit unions)(Brief article)
December 10, 2007... DULUTH, Ga. -- The financial markets have all but abandoned the traditional measures used to determine value for investing, with fear becoming the ruling determinant for decisions, according to Sarina Freedland, AVP-Investment Services for...