Credit Union Journal articles from March 2004

Credit Union Journal archives from March 2004

On Deadline.(credit unions briefs)
March 1, 2004... Oregon, Washington CU Leagues Mull Merger FEDERAL WAY, Wash.-Representatives of the Washington CU League are currently in talks with their counterparts from the CU Association of Oregon on a combination of the two state trade groups,...

'New Mortgage Option Needed': Greenspan Makes Pitch Before CU Audience.
March 1, 2004... Federal Reserve Chairman Alan Greenspan lauded the role credit unions play in the financial services market and called on credit unions and other lenders last week to help consumers further by expanding the types of mortgage products they...

Court Hears Recall Arguments: Groups Argue To Keep, Get Rid of Board.
March 1, 2004... A Washington State judge heard arguments from both sides regarding a possible special membership meeting that could result in the recall of the nine board members at Columbia Credit Union, which has sought to convert to a mutual savings bank....

Ex-Members (But Not All) Cut Out From IPO.(credit unions go public through initial public offerings)
March 1, 2004... Two more former credit unions began the process of going public through initial public offerings last week, but with a new twist-the former member/owners of the credit union are no longer being given preference in the stock offerings. Up...

Reg Relief Bill Favored By CUs Expected To Move.
March 1, 2004... The House is expected to vote a broad-based regulatory relief package, which includes more than a dozen credit union provisions, sometime in the next few weeks, and could begin deliberations on a broader credit union bill soon after, key...

CU, Sponsor Co. Partner On Home Ownership.(Tyson Credit Union )
March 1, 2004... Tyson Credit Union employees are $3,000 to $5,000 closer to buying a new home as part of the CU's partnership with Tyson Foods, Freddie Mac, and the National Credit Union Foundation. "We had been talking with Tyson Foods about ways we could...

ABA Launches 'Operation CU' To Lobby Congress.(American Bankers Association campaign)(lobbying for more taxation of credit unions)
March 1, 2004... The American Bankers Association (ABA) is ramping up a new campaign it is calling "Operation CU" to lobby Congress to add more taxes for credit unions. But CUNA CEO Dan Mica said the banks face an "uphill battle." "The bankers are welcome...

Large CUs, federation of CDCUs enter partnership.(charter membership in National Federation of Community Development Credit Unions)(Community Development Partners Program)
March 1, 2004... A dozen large, mainstream credit unions have agreed to become charter members of the National Federation of Community Development CUs' new Community Development Partners Program, under which the two sides will share resources and information...

Worth Noting.(briefs)
March 1, 2004... No Hats, Hoods Expands To S.C. COLUMBIA, S.C.-South Carolina has become the latest state to adopt a "no hats, no hoods, no sunglasses" policy at financial institution branches as part of an effort to thwart robberies. Both the South...

Conversions, Excursions & Other Stuff You Might Have Missed.(Credit Union National Association's meeting)(Editorial)
March 1, 2004... In case you couldn't pull yourself away from American Idol last week, here's some of what you missed during CUNA's GAC: * Not surprisingly, the question of credit-union-to-bank conversions finally started to get some attention during the...

Hollywood CU Members Make Oscar Predictions.(First Entertainment Credit Union)(Brief Article)
March 1, 2004... Members of the Academy of Motion Pictures may have to wait to cast their ballots for this year's Oscars, but not so members of First Entertainment CU. Members of Hollywood's credit union made their choices last month in an online ballot,...

Don't Confuse Subprime Loans With Predatory Lending.
March 1, 2004... Though they are often used interchangeably, sub-prime, or special financing, and predatory financing are not the same thing. While special finance is used to define a legitimate and well-established type of lending to borrowers in certain...

How To Avoid Gaps In Your GAP: Scrutinize Now, Save On Problems Later.(Guaranteed auto protection )
March 1, 2004... Guaranteed auto protection (GAP) programs have grown in popularity with both lenders and borrowers during the past five years, but changes on the supply side of the business could cause concerns for many credit unions. The reasons for...

Tax Threats Seen As Challenge To Dual Chartering.(Brief Article)
March 1, 2004... Credit unions are happy to point out to state lawmakers who are considering imposing taxes on CUs the situation in Utah, where a number of credit unions simply converted to federal charter rather than face the lingering threat of taxation-but...

Some Lessons In Getting The Word Out.(Brief Article)
March 1, 2004... Credit unions know they need to ensure their lawmakers know about all the good things they are doing-but they're not always sure how to get that message out. One case in point was made by Lynette Webb Rambo of Chocolate Bayou FCU, which...

Taxation 'could End Up Right Back On The Table'.(Brief Article)
March 1, 2004... With a number of state legislatures heading toward the end of their legislative session for 2004 and general fear of most lawmakers of anything that would be considered a tax hike, many credit unions are breathing a sigh of relief that their...

Dollar Offers A State Of The Industry Address.
March 1, 2004... Credit unions came through a beleaguered economy with flying colors, according to NCUA Chairman Dennis Dollar, who pointed to a variety of historical statistics that demonstrate the safety and soundness of the movement. "Even in a time of...

If The Tax Man Cometh.(Brief Article)
March 1, 2004... In his remarks to CUNA's GAC, NCUA Chairman Dennis Dollar acknowledged the discussion that always dominates the meeting, the status of the credit union tax exemption. One point often raised is what would happen to credit unions' net worth...

Matthews: No Robot In This Year's Race, Bush Getting Some Bad Advice.
March 1, 2004... Political pundit and television commentator Chris Matthews predicted that John Edwards seems most likely as Democratic presidential candidate John Kerry's running mate, but added a strong caveat that the nod could also go to Missouri's Dick...

Notes, Quotes And Anecdotes From GAC.(Governmental Affairs Conference)(Brief Article)
March 1, 2004... CUNA drew another huge crowd to its Governmental Affairs Conference, straining the Washington Hilton's capacity to handle the turnout approaching 4,000 people. Among the speakers were a number of Washington's power players, including Fed...

Sarbanes: CUs Need To Collect Better Data.(Brief Article)
March 1, 2004... Many of the members of Congress offered little in the way of specifics to credit unions. But Sen. Paul Sarbanes of Maryland told CUNA's GAC that credit unions need to do a better job of collecting certain data in order to better document the...

An 'Interesting Year' Lies Ahead, Says Shelby.(Richard Shelby)(Brief Article)
March 1, 2004... Sen. Richard Shelby (R-AL) had the usual praise for credit unions in his remarks, but offered little insight beyond that. After saying, "I strongly support the mission that's embedded in your credo of 'not for profit, not for charity, but for...

Oxley Says He'll Push For Regulatory Relief.(Michael Oxley )(Brief Article)
March 1, 2004... Rep. Michael Oxley (R-OH) told credit unions he will do all he can to push for regulatory relief for credit unions. "Credit unions shouldn't be burdened by unnecessary regulations," he told the meeting. "Outdated regulations are costly for all...

Bachus: CURIA In The Spring.(Credit Union Regulatory Improvements Act)(Spencer Bachus)(Brief Article)
March 1, 2004... Rep. Spencer Bachus (R-AL), chairman of the House Financial Institutions Subcommittee, said he was "tremendously impressed" with credit union efforts to serve their local communities. "You should be proud of what you've done," he said. ...

People Beat Dollars, Suggests Frank.(Brief Article)
March 1, 2004... Offering remarks more tailored to his audience, Rep. Barney Frank (D-MA) expressed his concern that voters are no longer turning out because they feel they have no voice any longer. Credit unions, however, refute that belief, he said,...

The Lighter Side Of Alan Greenspan. Seriously.
March 1, 2004... Although Federal Chairman Alan Greenspan was all serious business in his address, CUNA President Dan Mica swears the nation's economic guru is quite the jokester, relating to the GAC audience that just before Greenspan went on stage, he asked...

Risk-Based Capital Is Backed.(Brief Article)
March 1, 2004... Rep. Ed Royce (R-CA), with whom the California league has a close relationship, said he would do all he could for the credit union-backed CURIA legislation this year. As part of that, he backed the modernization of the risk-based capital...

IRnet Gets Number of Plugs.(International Remittance program)(Brief Article)
March 1, 2004... WOCCU President Arthur Arnold couldn't have asked for better publicity for the International Remittance (IRnet) program that offers low-fee money transfers to other countries. The program helps save immigrants who wire money home on the...

Not All That Rare Medical Malady Strikes.(Brief Article)
March 1, 2004... In a return appearance, CUNA used local radio and television personality Paul Barry as emcee of its GAC. Barry made his debut at the 2003 meeting. Among the humor employed by Barry to keep the meeting light and moving, Barry shared a story...

CUs Urged To 'Talk From The Heart'.(Credit Union)(Brief Article)
March 1, 2004... During CUNA CEO Dan Mica's welcome address to the GAC, he suggested that "storm clouds are brewing on Capitol Hill," but extolled credit unions as "the white hats" of the financial services arena, suggesting that lawmakers do respond to true...

Likes Being A Fed, But...(Brief Article)
March 1, 2004... Mountain America Federal Credit Union is enjoying its status as a federal charter after converting from a state charter in order to avoid a number of restrictions that were imposed by the state legislature at the behest of the banking lobby....

Duck, Duck, Goose...(Brief Article)
March 1, 2004... Banks have long used the "duck argument" in trying to impose restrictions or taxes on credit unions: if it looks like a duck, walks like a duck, acts like a duck, quacks like a duck, then it must be a duck. But NCUA Chairman Dennis Dollar's...

dead Senator Reappears.
March 1, 2004... During GAC Nebraska State Sen. David Landis performed as U.S. Senator George Norris, who in 1934 was a driving force behind passage of the Federal Credit Union Act. Copyright 2004 Thomson Media Inc. All Rights Reserved....

The Threat From Preemptions.(Brief Article)
March 1, 2004... Could the use of the federal preemption rules put the credit union tax exemption in danger? When NCUA and other federal agencies use the preemption card, it can leave a bad taste in the mouths of state lawmakers-and that's a bad taste that can...

When Passion Is Out Of Fashion.(Brief Article)
March 1, 2004... Any industry that is also recognized as a movement is bound to be full of people who are passionate about what they do, but sometimes that passion can get in the way. "If credit unions want to improve the industry, they need to start...

CU CEO, ABA Chairman Square Off In Debate At GAC.
March 1, 2004... A raucous debate between one of the most outspoken characters in credit unions and the chief of the American Bankers Association was among the most entertaining exchanges at CUNA's GAC. Yet one of the most memorable observations was made by...

One Memorable Exchange.(Brief Article)
March 1, 2004... State Employees CU CEO Jim Blaine got in most of the zingers and applause lines during a debate with ABA Chairman Ken Fergeson. But what many people will remember was the response to a question from the audience. Audience Question: Could...

What You May Not Know About Domino's Pizza.(Brief Article)
March 1, 2004... NCUA Chairman Dennis Dollar did his best Paul Harvey with one of those "Now you know the rest of the story" stories at GAC here. Dollar has long been an admirer of Domino's Pizza founder Tom Monahan. A classic American rags-to-riches...

State Regulator Worried About Fed Preemptions.(Brief Article)
March 1, 2004... NASCUS Chairman Roger Little told attendees at CUNA's GAC that "federal preemption of our state laws has not crept, but rather has leaped into the forefront, presenting a challenge that has the power to undermine the balance between state and...

Johnson Issues Strong Statement Calling For More Conversion Disclosures.
March 1, 2004... NCUA Vice-Chair JoAnn Johnson touched on everything from the controversy over credit union conversions and financial literacy efforts to serving the underserved to "leading with vision" in her remarks before CUNA's GAC. "I strongly believe...

CUs-To-Banks Conversions Draws A Crowd; CEO Shares Story Of Promised Riches.
March 1, 2004... A session on credit union-to-bank conversions drew not just a strong turnout but strong comments during CUNA's GAC here. But as one person observed, it was a little like preaching to the choir, as those who could use a dose of the message...

Also Worth Noting.(credit unions briefs)
March 1, 2004... The bankers efforts to push a credit union tax are doomed to fail, at least for this year, according to U.S. Treasury Secretary John Snow, above. Snow told GAC the Bush Administration has no interest in taxing credit unions. "I understand you...

The CUJ Daily.(briefs)
March 1, 2004... CU Foundation Teams With State FEDERAL WAY, Wash.-The Washington CU Foundation is expected to sign a contract with the state's Office of Minority and Women's Business Enterprise in the next few days to connect minority owners of small...

CUNA Reverses Fortunes, Breaks Back Into Black.(Credit Union National Association)(Brief Article)
March 1, 2004... CUNA announced at last week's board meeting it broke back into the black last year to the tune of $448,000, after two straight years of red ink. "It's been a remarkable turn-round for where we were just 12 months ago," said Allan McMorris,...

CUNA Pac Gives $90K To Campaign Committees.(Credit Union National Association)(Brief Article)
March 1, 2004... CUNA said its political action committee contributed $90,000 to the campaign committees for both the Republican and Democratic parties in January, representing the trade group's annual contribution of the maximum annual donation to each party...

Greenspan Tells Congress To Privatize The GSEs.(government sponsored enterprises)
March 1, 2004... Federal Reserve Chairman Alan Greenspan waded deeply into the growing controversy over the secondary mortgage market last week when he told Congress last week he favors fully privatizing secondary mortgage market giants Fannie Mae and Freddie...

People.
March 1, 2004... The Department of Banking, Harrisburg, Penn., appointed Tim Blase director, supervision and enforcement. Redstone Federal Credit Union, Huntsville, Ala., named Buddy McMullin vice president of the investments and insurance division. ...

Community Page.
March 1, 2004... UOFCU Supports Food Bank FORT WORTH, Texas-Unity One Federal Credit Union held a food drive to benefit the Tarrant Area Food Bank. TopLine FCU Holds Workshop Event Maple Grove, Minn.-TopLine Federal Credit Union held its Winter...

Peak-Performing Credit Unions During 3rd Quarter, 2003.(Callahan & Associates' report)
March 1, 2004... On this page are featured credit unions that have been identified, according to one set of criteria, of delivering superior value to their members. Determining how a credit union stands relative to its peers is a complex issue. Callahan &...

Assets $50 to $100 Million.(Illustration)
March 1, 2004... Total Return To Member Rank Credit Union, State Percentile 1 P. C. M. Employees, WI 100 2 North Star Community, ND 99.88 3 Dow Louisiana, LA ...

Assets $100 to $250 Million.(Illustration)
March 1, 2004... Total Return To Member Rank Credit Union, State Percentile 1 Burbank City Employees, CA 100 2 Popa, CA 99.85 3 Denver Community, CO ...

Assets Over $250 Million.(Illustration)
March 1, 2004... Total Return To Member Rank Credit Union, State Percentile 1 Hiway, MN 100 2 Los Angeles Firemen's, CA 99.80 3 Lake Michigan, MI ...

Banks Form Group To Fight New Rules On CU Conversions.
March 1, 2004... The bankers are banding together to fight efforts to make it tougher for credit unions to convert to banks. A group of state bank associations has joined to form the Coalition for Credit Union Charter Options and hired a powerful Washington...

Product & Service.(briefs)
March 1, 2004... Empire Is 'Getting To Know You' ALBANY, N.Y.-Following the opening of a check processing facility in Linthicum, Md., Empire Corporate FCU plans to host a series of "Get to Know Empire" credit union sessions. The sessions will be held...

The Relationship Of Size & Growth: Simple Question Leads To Complex Answers.(Credit unions)
March 8, 2004... Eight years ago the Filene Research Institute set out to answer what it thought was a simple question: does asset size really matter? The answer to that question has turned out to be a whole lot more complicated. "We were curious about...

The Relationship of Size & Leverage: Rapidly Growing Foundation Pursues New Strategy.(National Credit Union Foundation)
March 8, 2004... The National Credit Union Foundation, on pace to reach its impressive goal of $1 billion in funds, is turning its attention to using its deeper resources to leverage greater returns on the programs it underwrites. Gary Officer, who took...

Judge Orders Special Meeting To Vote On Columbia Board.(credit unions)
March 8, 2004... A state court last week sided with dissident members of Columbia CU and ordered the beleaguered credit union to hold a special meeting where members can vote on the recall of the board of directors. "Defendants (Columbia CU) are compelled...

NCUA Ruling On Donations May Be Too Late For 1 CU.(National Credit Union Association)(credit union)
March 8, 2004... NCUA ruled last week that federal credit unions can make direct donations to other credit unions, but the legal ruling may have come too late for a tiny community development credit union that has been asking neighboring credit unions to help...

ON DEADLINE.(Credit unions)
March 8, 2004... CU-Convert Plans To Offset New Taxes GRAND RAPIDS, Mich.-Officials of Lake Michigan CU say they don't expect to be hurt by the loss of the credit union tax exemption if they convert to mutual savings bank because of potential tax offsets....

'Where's The Beef?' Ask CUs As Bank Profits Soar.(credit unions)(Brief Article)
March 8, 2004... The U.S. banking industry closed out the fourth quarter of 2003 with record performance, making it a record year for profits for banks. And CUNA wasted little time in pointing to the industry's performance, asking where the "competitive...

Study: 55% Of CU Card Portfolios Shrunk During '03.(Credit Union)(Brief Article)
March 8, 2004... Fifty-five percent of credit unions with a card portfolio of $1 million or more saw a decline in the size of those portfolios during 2003, according to analysis by AssetExchange, a brokerage firm for card portfolios. The company said its...

TCUL, Appleseed Foundation In Outreach Program.(Texas Credit Union League)(Brief Article)
March 8, 2004... The Texas Credit Union League (TCUL) has partnered with the Appleseed Foundation to launch a Hispanic Outreach program, with the intent of assisting credit unions in their efforts to bring this underserved segment of the population into the...

Firstmark Backing Parent/Child TV Campaign.(Firstmark Credit Union)(Southwest Mental Health Center)(Brief Article)
March 8, 2004... The $461-million Firstmark Credit Union has joined with Southwest Mental Health Center (SMHC) here to sponsor "15+ Make Time to Listen, Take Time to Talk" parent-child communication campaign. The program will air daily vignettes with...

Worth Noting.(Credit Unions)(Chicago Patrolmen's FCU)(Professional of the Year)(Brief Article)
March 8, 2004... Cosby To Headline NAFCU AC&E VANCOUVER, B.C.-Comedy legend Bill Cosby has been added to the lineup of those who will entertain during NAFCU's 37th Annual Conference and Exhibition July 14-17 here. Cosby will be joined by "Chicken Soup for...

Myths & Justifications For Secondary Term Borrowing.(Credit Unions)
March 8, 2004... Historically, credit unions have been denigrated for considering term borrowings (or any borrowings for that matter) as a non-core activity and a sure sign of weakness in a credit union. In fact, the use of secondary borrowing can provide a...

Worried Over Local Robberies, Utah CU Moves To Cash Recyclers.(Credit Union)(Teller Cash Recyclers)
March 8, 2004... Credit Union One's new branch here is the first financial institution in the state to use Teller Cash Recyclers, or TCRs, in an effort to minimize robberies. The concept is simple: tellers are arranged in a circular "pod," with the TCRs...

Serial Bandit Mistakenly Released.(serial bank robber)(Brief Article)
March 8, 2004... A serial bank robber was mistakenly released for four hours after his capture last week after confessing to 16 area credit union and bank robberies since last July, including 10 in his hometown of Sandy. Three civilian employees at the Salt...

Could Your Credit Union Be Sued For Elder Abuse?(financial elder abuse)
March 8, 2004... Did you know that your credit union could be sued for elder abuse? It is a scary notion, but a true one. Elder abuse, and specifically financial elder abuse, is a topic that has received much attention of late, and the reality is that the...

Product & Service.(Credit Unions)(CU National Mortgage)
March 8, 2004... CSCU Names Six Winners CLEARWATER, Fla.-Winners of Card Services for Credit Unions' (CSCU) Card Marketing CAMEO awards for 2003 were: Under 5,000 accounts: Human Services Employees' CU, Atlanta, and Bellco FCU, Wyomossing, Penn.; 5,000 to...

Conversion Foes Square Off In Newspaper.(Credit Unions)(Excerpt)
March 8, 2004... The two sides in the fight over Columbia Credit Union's attempted conversion to a mutual savings bank squared off with separate opinion pieces in The Columbian newspaper last week. Below are excerpts from spokespersons for the two sides: Karen...

CUNA Board Takes Stance On Conversions.(Credit Union National Association)(Brief Article)
March 8, 2004... CUNA's board has adopted four new resolutions, one of which is related to credit union-to-bank conversions. Based on its own Government Affairs Committee's recommendations, CUNA's conversion resolution is made up of six provisions,...

Deposits Flood Into Ex-CU Going Public.(Credit union)(Brief Article)
March 8, 2004... Kaiser Federal Savings Bank, the converted CU in the process of going public, reported a tremendous inflow of savings prior to the announcement of its initial public offering as speculators from around the country sought to qualify for what is...

Columbia CU Victim Of Proposal Gone Bad.(credit union)
March 8, 2004... As an attorney who represents banks, thrifts and credit unions and served as counsel to 10 credit unions that converted to thrifts I have seen first hand the advantages that my converted clients have realized. When I helped author the...

Storm Clouds Rising Over Tax Exemption.(Credit unions)
March 8, 2004... A powerful lawmaker raised a red flag last week over the credit union tax exemption, announcing he will probe into whether credit unions and other tax-exempt organizations continue to be worthy of their exemptions. Rep. Bill Thomas, the...

Time Running Short For NCUA Nomination.(National Credit Union Association)(Brief Article)
March 8, 2004... The window is closing fast on the period in which a new member of the NCUA Board will be confirmed to succeed Chairman Dennis Dollar, who has been serving as a holdover since his six-year term expired last April. That's because, even if...

People.(Credit unions)
March 8, 2004... Spokane Teachers Credit Union, Spokane, Wash., named Tammy Flieger employee of the year. Greater Warren Credit Union, Warren, Ohio, named Brian McCue executive vice president. Security Service Federal Credit Union, Colorado Springs,...

The CUJ Daily.(Credit Union Journal)(Vought Heritage Community Credit Union)
March 8, 2004... Texas CU To Join Dallas Free-For-All GRAND PRAIRIE, Texas-Vought Heritage Community CU has become the latest credit union to seek to serve the lucrative Dallas market. The $400-million credit union, which converted from a federal...

Deposits Flow Into Branch In Retirement Community.(Credit unions)(Brief Article)
March 8, 2004... Credit unions often steer away from senior citizens as they usually don't borrow, but management at nuVision Financial FCU said it is pleased with the recent opening of a branch in the Leisure World-Seal Beach retirement community here. ...

New NCUA Website Offers Nearly 300 Best Practices.(National Credit Union Association)
March 8, 2004... On the one-year anniversary of NCUA Board Member Deborah Matz' introduction of the PALS program, Matz unveiled a new website developed as a result of the PALS workshops featuring best practices on everything from member business loans and...

CEFCU, FHLB Team To Help With Down Payments.(Citizens Equity Federal Credit Union)(Federal Home Loan Bank)(Brief Article)
March 8, 2004... In conjunction with the Federal Home Loan Bank of Chicago, the $2.6-billion CEFCU has introduced an affordable housing program called Downpayment Plus. The program provides up to $200,000 in financial assistance to qualified low-income...

Product & Service.(Credit Unions)(Interface to Credit Union Direct Lending's Workflow Manager)(Interim Servicing)
March 8, 2004... IntegraSys Adds Overdraft Option PLANO, Texas-IntegraSys, a unit of Fiserv, Inc. and Houston-based John M. Floyd & Associates (JMFA) have entered into an alliance that adds JMFA'S Overdraft Privileges program to IntegraSys' offerings....

Online Repo Firm Adds Category For 'Rough' Cars.(Econo-Lot)(TitleAuctions)
March 8, 2004... TitleAuctions, a technology company that helps credit unions auction repossessed cars on the Internet, has added a new feature that it says credit unions can use to increase their return on "rough" inventory. The new service is known as...

Credit Union, Radio Station In Joint Credit Card Promotion.
March 8, 2004... In what could be the first partnership of its kind for the credit union industry, First Service FCU has teamed up with local radio station CD101 to promote its new VISA card, which awards listeners points that can be exchanged for concert...

Product & Service.(InfiCorp Holdings Inc.)(credit unions)
March 8, 2004... InfiCorp Purchases 7 Portfolios ATLANTA-InfiCorp Holdings, Inc. said it has purchased $33 million in credit union card portfolios from seven credit unions. The seven that have sold their cards to Inficorp, which is a subsidiary of First...