Credit Union Journal articles from May 2004

Credit Union Journal archives from May 2004

Projections See Stronger Economy; Effect Of Rising Rates Is Questioned.(interest rates)
May 3, 2004... There was wide agreement that the recession dragging on the U.S. economy is over. But as a group of economists and other analysts made clear to credit unions here, there is also wide disagreement over how long that recovery will last, and what...

The Ubiquitous Solution: Provincial Limits Lead Canadian CU To Charter Bank.(Ubiquity Bank)(Prospera Credit Union)
May 3, 2004... Unable to expand beyond its geographic field of membership in the Canadian province of British Columbia, Prospera Credit Union has chartered an online financial institution that knows no boundaries: Ubiquity Bank. With just three...

NCUA Examiners Get The OK For Union Elections.(National Credit Union Association)
May 3, 2004... Federal labor authorities last week rejected an NCUA bid to prevent examiners from joining a proposed union, setting the stage for agency employees to hold a union election. "This is the last step (of the appeals process). Now we move to...

Columbia CU: 'Members Depositors, Not Owners'.(Columbia Credit Union)(Brief Article)
May 3, 2004... The ongoing legal battle in the wake of the attempted conversion of Columbia Credit Union to a mutual savings bank took a new turn recently, as attorneys for the credit union asserted members are merely depositors-not owners-and therefore have...

On Deadline.(credit unions)(Brief Article)
May 3, 2004... Riverside County's CU OK'd For Broad FOM RIVERSIDE, Calif.-Riverside County's CU said it received approval from state regulators to add five million residents in several surrounding communities to its field of membership. Under an order...

Americans Given A 'D' For Financial Knowledge.
May 3, 2004... For the second consecutive year, Americans were given a "D" by Bankrate.com in its Financial Literacy Survey. The company described Americans as in "debt denial" and as being generally unwilling to admit credit is a problem. The survey of...

California League VP, Bannan, Dies.(Kim Bannan)(Brief Article)(Obituary)
May 3, 2004... California Credit Union League Vice President Kim Bannan has died following complications from a heart attack. A 10-year veteran of the CCUL, Bannan oversaw the league's various diversity programs and was very involved in programs to assist...

Union, CUNA Mutual Remain At Odds.(Brief Article)
May 3, 2004... The union representing 1,400 CUNA Mutual Group employees has filed a charge with the National Labor Relations Board accusing the company of engaging in illegal acts during the negotiations over a contract proposal that was rejected by the...

Worth Noting.(Maryland credit union league)
May 3, 2004... 2 Keynoters For PALS Meeting BOSTON-Two new keynote speakers have been added to share their ideas on reaching first-time homebuyers as part of NCUA Board Member Debbie Matz' PALS workshop to be held here June 2. Nelson Merced, New England...

Read This Column, Then Send Me A Few Thousand Bucks.(credit unions)
May 3, 2004... I begin with an upfront disclaimer: With the exception of the aged, I have difficulty mustering up much sympathy for those who lose thousands of dollars-and sometimes more-after receiving an anonymous e-mail from someone they've never heard of...

Editor's Bias On Conversions Reflected In Coverage.(credit union to bank charter)
May 3, 2004... The April 5, 2004 editor column once again made it clear that Co-Publisher/Editor Frank J. Diekmann of The Credit Union Journal personally opposes any credit union's conversion to the bank charter. Thus, newsroom staffers, following his...

Product & Service.(New York State Credit Union League, VSoft Corp. )
May 3, 2004... CenCorp Cuts Processing Costs SOUTHFIELD, Mich.-The $2.3-billion Central Corporate Credit Union (CenCorp) said it is reducing its share draft pricing by 13%, which will reduce total charges paid by members by about $600,000 annually. The...

Getting Into The Trust Business: Trusts Offer Great Promise, But Only If Certain Steps Taken First.(credit unions)
May 3, 2004... Over the past three decades, the range of financial services that credit unions offer has grown in complexity and sophistication to keep pace with members' needs. The next logical step in expanding that continuum of financial products may be...

Where The Advantage Lies In Examining Tax Exemption.(credit unions)
May 3, 2004... There has been quite a bit of discussion recently concerning the taxation of credit unions. It seems as if this issue is once again rearing its ugly head and it is, of course, the banking industry that is holding a magnifying glass to it. ...

Wescom CU Expanding Into Commercial Real Estate Lending.(Wescom Credit Union)
May 3, 2004... Wescom Credit Union recently opened a commercial real estate division, with an emphasis on loans for small-to mid-size apartment buildings. While many credit unions have avoided commercial lending because of the risks involved, Cathy...

2 Penn. CUs Seek Communities.(Trumark Financial Credit Union)(Brief Article)
May 3, 2004... Two of this state's largest credit unions have applied with the state regulator for community charters. Both Freedom Credit Union and Trumark Financial Credit Union, Trevose, Penn., are seeking community charters for five Pennsylvania counties...

Clyde Padgett Is Recognized.(Brief Article)
May 3, 2004... Clyde Padgett, the long-time volunteer for Truliant FCU (formerly AT&T Family) and known to many for his work on Capitol Hill in the run-up to the vote on HR 1151, was given a surprise "roast" to honor his 50-plus years in credit unions,...

Acting DISRUPTIVE: Once A 'Disruptive Technology' Themselves, Are Credit Unions At Risk Of Falling Into The Trap That has Ensnared Others?
May 3, 2004... When credit unions were founded in the U.S. in the early 20th century, they were a "disruptive technology." The challenge now, says one person, is to continue to disrupt their own business model or fall prey to the same complacency that...

Recommended Reading.(Brief Article)
May 3, 2004... The Filene Institute's Mark Meyer has become the latest conference speaker to urge credit unions to give "The Innovator's Dilemma" by Clayton M. Christensen a read. Like the others, Meyer recommended the book as a means of helping credit...

Examples of Disruptive Innovations.(Brief Article)(Illustration)
May 3, 2004... (part 1 of 4) Company Disruptive Innovation Compaq Personal Computer Dell Direct-Order PC Toyota Small Cars Sony Portable Radio, TV Honda ...

Focus Group Finds New Americans Know Little Of CUs.(credit unions)
May 3, 2004... Focus groups comprised of Hispanic consumers and conducted across this state by the Texas league have discovered this rapidly emerging group needs something from credit unions-an introduction. The league said that the focus groups found...

CUNA Mutual Rolling Out Seven CU Advisory Panels.(CUNA Mutual Group)(credit union)(Brief Article)
May 3, 2004... CUNA Mutual Group is expanding its Owners Advisory Council through the development of seven Credit Union Advisory Panels that the company said will help shape the company's strategy, focus, and product and service development. According to...

NCUA: Site Overhaul Means More Info Available.(National Credit Union Association )(Brief Article)
May 3, 2004... NCUA has redesigned its website following suggestions and comments from credit unions, onsite testing, input from internal and external users and historical tracking results. The agency said that much more information is now available for...

CUNA Mutual: Content Reorganized To Reflect Needs.(Credit Union National Association)(Brief Article)
May 3, 2004... CUNA Mutual Group said it has redesigned its site at www.cunamutual.com to "Solutions Online." "Solutions Online is CUNA Mutual's approach to reorganizing its website content and services to reflect a more comprehensive way to meet the...

WesCorp: Site Now More Interactive, Expansive.(Brief Article)
May 3, 2004... WesCorp has refurbished its website (www.wescorp.org) with a goal of making it more user-friendly, interactive and expansive. WesCorp said that foremost among its improvements is a series of interactive online demos, offering users a...

Product & Service.(credit unions)(GCC Servicing Systems)
May 3, 2004... Two CUs Sell Card Portfolios PORTLAND, Ore.-AssetExchange, an independent credit card portfolio brokerage firm, facilitated the sale of two credit union credit card portfolios to two buyers. Selling their portfolios were the $150-million...

Mica: CUNA Not Over-Stating Threat To Status.(Credit Union National Association)(Brief Article)
May 3, 2004... Dan Mica wants credit unions to know the threat of tax on credit unions is growing more tangible every day. The CUNA president disputed assertions in this column two weeks ago that CUNA may be overstating the threat. Mica said the various...

Dollar Makes One Last Appeal For Risk-System.(Dennis Dollar)(National Credit Union Association)(Brief Article)
May 3, 2004... In one of his last official acts as NCUA Chairman, Dennis Dollar called on lawmakers to enact a risk-based capital system for credit unions as part of their regulatory relief initiative. In separate letters to Senate Banking Committee...

NCUA: Medical Info May Not Be Used In Decision.(United States. National Credit Union Administration)(Brief Article)
May 3, 2004... NCUA and the other financial regulators issued a regulatory alert Friday notifying credit unions and other lenders that the use of medical information to determine a borrower's creditworthiness is prohibited under the Fair and Accurate Credit...

NCUA Lays To Rest Plan To Buy A Funeral Home.(National Credit Union Association)(Brief Article)
May 3, 2004... NCUA denied a request by a federal credit union to acquire a funeral home, ruling the initiative is not a permissible activity for a CUSO. In a new legal opinion letter, NCUA told Members Cooperative CU, in Cloquet, Minn., that owning a...

People.(RIA Federal Credit Union)(appointments)
May 3, 2004... RIA Federal Credit Union, Rock Island, Ill., named Kristel Jones vice president of credit, and elected Ted Olson, Anthony Scoyners, and Larry Coverstone to its board. Nevada Federal Credit Union, Las Vegas, elected to its board: Dennis...

Community Page.(Maine State Employees' Credit Union)
May 3, 2004... MSECU Contributes To Trail Project AUGUSTA, Maine-Maine State Employees' Credit Union contributed $25,000 to help complete the Kennebec River Rail Trail, a 6.5- mile pathway for walking and cycling between Gardiner and Augusta. UTFCU...

The CU Journal Daily.(credit union)
May 3, 2004... Samples Claims Insanity Defense ST. PAUL, Minn.-A decorated Navy veteran was temporarily insane from medications treating his post-traumatic stress disorder that he couldn't tell right from wrong when he robbed Red Wing CU in a...

Stadium To be Named For Eastern Financial After $500K Donation.(Eastern Financial Florida Credit Union)(Brief Article)
May 3, 2004... Eastern Financial Florida Credit Union has donated $500,000 toward construction of a new stadium here at Everglades High School. The stadium, which is also being funded with $150,000 each from the city of Miramar and the local school board,...

On Deadline.(Brief Article)
May 3, 2004... CO-OP Announces $7.5M Dividend ONTARIO, Calif.-The CO-OP Network said it will make a patronage dividend to member/owners this year of $7.5 million, 7% more than last year's. "Despite an unsettled marketplace, CO-OP Network was able to...

Corrections & Clarifications.(Correction Notice)
May 3, 2004... *A headline on page 3 in the April 26 issue was incorrect, and should not have appeared over the story on the California Credit Union League's response to community banks' suggestions credit unions are responsible for a decline in the industry....

Heading For The Penalty Box?: Credit Card Squeeze Forces Focus On Pricing, Fees.
May 10, 2004... In most cases, members at credit unions that have sold their card portfolios are seeing changes in the attractive pricing that attracted them in the first place. "If you don't want your portfolio to be repriced, then don't sell your...

Checking Up On Credit Counseling: CUs Beware: Nonprofit Agencies Not Always What They Seem.
May 10, 2004... Credit unions, particularly those that have partnered with credit counseling organizations, need to keep an eye on the ongoing examination of the consumer credit counseling industry, which has drawn fire since allegations of abuse have cropped...

New NCUA Chair Outlines Priorities.
May 10, 2004... New NCUA Chairman JoAnn Johnson said she has identified four priorities for the agency and her chairmanship. Speaking to NACUSO's annual conference here, she said her first priority is to ensure the safety and soundness of credit unions....

Texas CUs Win 1st Round In Tax Battle.
May 10, 2004... State-chartered credit unions were victorious last week in the first round of what promises to be a multi-stage tax fight, helping defeat a bill that would have dragged them into a new payroll tax on employers. The bill was introduced in a...

Suncoast Revamps Its Card Portfolio.
May 10, 2004... At a time when many credit unions are selling off their credit card portfolios, a decision by Suncoast Schools FCU to redouble its credit card efforts has led to some remarkable results. SSFCU is reporting that outstanding balances grew 35%...

On Deadline.(case of Red Wing CU robbed by Navy veteran Mark Samples)(Brief Article)
May 10, 2004... Metavante Acquires New Check Exchange MILWAUKEE-Metavante said it has agreed to acquire Advanced Financial Solutions (AFS), the parent of CheckClear LLC, which owns and operates the check imaging network Endpoint Exchange. Endpoint Exchange...

Calif. CUs Raise $15K For CMN In Yacht Race.(credit unions are for fundraising program of Children's Miracle Network)(Brief Article)
May 10, 2004... A group of credit unionists crewed a boat in the Newport to Ensenada yacht race to raise $15,000 for the Children's Miracle Network. Representatives of Honda FCU, LBS Financial CU, Arrowhead CU, CUNA Mutual Group, The Members Group,...

CU Changes Name To Tennessee CU.(Tennessee Teachers Credit Union has changed its name to The Tennessee Credit Union)(Brief Article)
May 10, 2004... The Tennessee Teachers Credit Union has changed its name to The Tennessee Credit Union. The credit union was formed in 1950 by a group of teachers and principals and is now the largest CU in Nashville with $200 million in assets, 13...

Oxychem Becomes Niagara's Choice.(Oxychem Niagara Federal Credit Union has changed its name as Niagara's Choice Federal Credit Union)(Brief Article)
May 10, 2004... Oxychem Niagara FCU, which started out as Hooker Employees FCU, is adopting yet another new name: Niagara's Choice FCU. Formed in 1953 to serve employees of Hooker Chemical Co., the credit union is changing its name after converting to a...

TEFCU Drops Employees From Name.(Tropicana Employees Federal Credit Union is now Tropicana Federal Credit Union)(Brief Article)
May 10, 2004... Following its conversion to a community charter, Tropicana Employees FCU has changed its name to Tropicana FCU. Dropping the "Employees" from its name follows the credit union's expansion to serve all of Manatee County. The $25-million CU...

MCTFCU Now Western Rockies.(Mesa County Teachers Federal Credit Union has changed its name to Western Rockies Federal Credit Union)(Brief Article)
May 10, 2004... Mesa County Teachers Federal Credit Union has changed its name to Western Rockies FCU. The $60-million credit union's membership voted on and selected the new name designed to reach out beyond the teaching profession. In addition to...

Worth Noting.(credit unions)
May 10, 2004... CUES Forum Raises CMN Funds MADISON, Wis.-Members of the CUES Financial Suppliers Forum and attendees of the 2004 CUES Marketing, Operations & Technology Conference and CUES Expo 2004 helped to raise $2,552 for the Children's Miracle...

On The Road To CU Wisdom... Or At Least To Something.(Editorial)
May 10, 2004... A rash of thoughts while traveling the credit union road.... Among the things I learned while in San Antonio for the Texas league's annual meeting: * Had Davy Crockett and the other defenders of the Alamo only hidden out near the...

Recent Economic News Good, But Watch 2005.
May 10, 2004... The U.S. Gross Domestic Product (GDP) performance in the second half of 2003 and first quarter of 2004, along with the recently announced creation of 308,000 jobs, has many toasting an expanding economy. The cheering is perhaps loudest in the...

How To Select The Right Research Tool To Get The Info You're Seeking.
May 10, 2004... Research is a marketing tool that drives credit union growth. The most popular types of research include telephone surveys, mail surveys, Internet surveys and focus groups. Each one can generate valuable information and has distinct...

Mass Media Being Used To Raise Awareness Of 2nd Chance Auto Loans.
May 10, 2004... Digital Federal Credit Union believes in giving people second chances. Especially when it could save them money. The $2.2-billion credit union that serves more than 500 SEGs has launched its annual 2nd Chance Car Loan" campaign last month,...

California Financial Ed Seminars Target Women.
May 10, 2004... Two managers from the California Credit Union League joined two business development officers from Riverside County's CU in leading a financial education workshop for women here. The four speakers were Rita Fillingane, project manager for...

Ohio CUs Experiment With Branch.(Credit Union of Ohio )(Brief Article)
May 10, 2004... When Credit Union of Ohio opens the doors of its newest branch in Grove City here it will include office space for a BMI FCU employee to work full time. According to officials with both credit unions, this shared branch partnership is the...

Product & Service.(credit unions)
May 10, 2004... Community CU Invests In CUAC PLANO, Texas-The $1.6-billion Community Credit Union has invested in Credit Union Acceptance Corporation (CUAC), at the same time it will become a client. CUAC is a CUSO founded by eight Houston-based credit...

Iowa CUL Changes Governance.(Iowa Credit Union League )(Brief Article)
May 10, 2004... Affiliates of the Iowa Credit Union League have approved a number of bylaw changes that will change the league's governance structure, including shrinking the board. During its annual meeting members approved moving to board representation...

Answering Whether Card Portfolio Is Viable-And How To Get There.
May 10, 2004... Is your credit card portfolio viable? That question, said one expert, is the only question worth discussing. The answer, he said, lies in the effort the credit union is willing to make to making that portfolio work. "One of the things...

News Briefs: Fiserv Debuts Combined Debit, Credit Solutions.
May 10, 2004... Fiserv has introduced a combined debit and credit processing solution it says will enable financial institution clients to consolidate all of their card-based product offerings, including credit, debit and ATM cards, with a single-source...

News Briefs: Clark American Checks Feature Wyland Artwork.
May 10, 2004... The work of Wyland, the artist who specializes in underwater scenes, is now available on checks from Clark American. The products feature whales, dolphins, manatees, orcas, sea turtles, sharks, and other sea life. For info:...

News Briefs: Community One Launches Platinum VISA Promo.(Brief Article)
May 10, 2004... Community One FCU is offering a Platinum VISA at 0% APR for six months, and no annual fee. After the first six months, the card's APR reverts to a fixed 9.9%. CU Rewards, redeemable for travel and merchandise, are earned with every purchase....

News Briefs: TNB Rolls Out Business Credit/Debit Cards.
May 10, 2004... TNB Card Services has rolled out new credit and debit card solutions aimed at serving credit unions' small business members. The new offerings are part of of MasterCard Working, a comprehensive set of solutions for small business. According to...

Credit Unions With The Largest Credit Card Loan Balances.(Illustration)
May 10, 2004... (part 1 of 2) CU 2002 2003 1 Navy FCU, VA $1,604,03 $1,458,394 2 Pentagon FCU, VA 557,937 529,483 3 Boeing ECU, WA ...

Fallout Continues Over Fannie And Freddie.
May 10, 2004... The controversy over Fannie Mae and Freddie Mac continues to expand by the day, with the latest manifestation being efforts announced last week by the Department of Housing and Urban Affairs to better document the two companies' efforts to...

Toll Grows For Small CUs As Mergers Continue.(credit unions)(Brief Article)
May 10, 2004... NCUA said it approved another 34 credit union mergers in March, including 25 involving one or more small credit union under $5 million, one of the biggest monthly tolls ever for small credit unions. Through the first quarter of the year, 50 of...

Military CUs Branch Into Local Communities.(Barksdale FCU has received approval from National Credit Union Association)(Brief Article)
May 10, 2004... Barksdale FCU, which was chartered to serve military personnel at Barksdale Air Force Base in Louisiana, has received approval from NCUA to branch into local communities. The $500-million credit union is now authorized to serve 400,000...

March Sees Deposits Still Flowing Into CUs.(credit unions)(Brief Article)
May 10, 2004... Another $5.2 billion of new shares moved into credit unions in March, making a total of $17 billion in new deposits for the first quarter of the year, according to CUNA. Though first quarter share growth was strong at 3.1%, it was still...

People.(appointments)
May 10, 2004... Integrated QSG, Birmingham, Ala., named Elise Holston vice president-business development. Washington Capitol Mortgage Group, Olympia, Wash., promoted Randy Guidinger to assistant vice president of credit union services. Texas Dow...

Smallest 125 Credit Unions By Total Assets At Year-End 2003.(Illustration)
May 10, 2004... (part 1 of 2) Credit Union 1 Central Dallas 2 Trinity A.M.E. Church CU 3 Beckstrand And Associates 4 Camphor Memorial FCU 5 Vapor CU 6 Holy Trinity Baptist FCU 7 ...

Community Page.(credit unions)
May 10, 2004... GHCU Raises $3,000 For Hospitals WEST BEND, Ind.-Through its Chain of Hearts campaign, Glacier Hills Credit Union raised more than $3,000 to benefit sick and injured children treated at local hospitals of the Children's Miracle Network....

The CU Journal Daily.(credit unions)
May 10, 2004... CO-OP Bids Aloha To Hawaii CUs ONTARIO, Calif.-The CO-OP Network said it reached an agreement to serve 27 credit unions in Hawaii and Guam, the first South Pacific credit unions to join the credit union-owned ATM network. The CO-OP has...

RVCU Offers Good Samaritan Loan Program.(River Valley Credit Union)(Brief Article)
May 10, 2004... River Valley Credit Union has created a Good Samaritan Loan program to support local non-profits and, at the same time, boost its vehicle loan portfolio. The $117-million, community-chartered CU will give back 1% of any car loan...

Nevada CUs To Host Campaign Academies.(credit unions)(Brief Article)
May 10, 2004... Credit unions in Nevada are partnering with electrical co-ops to host three "campaign academies" for people considering a run for public office. The Nevada Credit Union League, the Nevada Rural Electric Association, the Credit Union National...

FSCC Reports Overseas Shared Branching Growth.(Financial Service Centers Cooperative Inc.)
May 10, 2004... Financial Service Centers Cooperative, Inc., reported that overseas credit union shared branching transactions grew by more than 220% over the past year. In remarks before the European Credit Union Conference, FSCC CEO Sarah Canepa Bang...

RVCU Offers Good Samaritan Loan Program.(Brief Article)
May 10, 2004... NCUA Board Member Debbie Matz, in remarks before Fannie Mae's Credit Union Advisory Council, encouraged credit union leaders to "partner with organizations that can help you offer affordable mortgages to first-time homebuyers. These potential...

NCUF Disburses $296,064 To States.(National Credit Union Foundation)(Brief Article)
May 10, 2004... The National Credit Union Foundation (NCUF) issued $296,064 in first quarter 2004 disbursements through the Community Investment Fund (CIF), bringing the total amount disbursed to states by NCUF to $1.3 million. The balance of the fund has...

NAFCU names its 2004 annual award winners.(National Association of Federal Credit Unions)
May 10, 2004... NAFCU has announced the winners of its 2004 "Beyond Expectations" awards honoring professional of the year, federal credit union of the year and volunteer of the year. Dow Louisiana FCU was named Federal Credit Union of the Year for FCU's...

Worth Noting.(credit unions briefs)
May 10, 2004... USAFCU Offers Business Services AUBURN HILLS, Mich.-The $580-million USA FCU here is now offering lending and deposit services to small business members through a venture with CU Business Partners, LLC, Chatsworth, Calif. The credit...

Fed Agents Search Ex-Officials' Homes.
May 17, 2004... Federal agents searched more than two-dozen homes and businesses of former officers of D. Edward Wells FCU last week as a criminal probe of the failed community development credit union widened, a year after the troubled institution was...

Four Rulings Made In Columbia Case.
May 17, 2004... The ongoing legal battle over Columbia Credit Union's attempted conversion to a mutual savings bank continued last week as the judge presiding over the case issued four key rulings. Superior Court Judge Roger A. Bennett granted Columbia...

Winning On 'Survivor': Small Credit Unions Get Advice, Warnings About What It Takes To Prosper & Grow.
May 17, 2004... For many small credit unions, "Survivor" is more than just a popular TV show-it's their frame of mind every day. As The Credit Union Journal reported May 10, 25 credit unions of $5 million in assets or less were involved in mergers during...

The Evolution Of CUSOs: Gathering Of CUSOs Shows Ongoing Shift In Nature Of Business Offerings.(credit union service organizations)
May 17, 2004... There is a subtle but definite shift occurring in credit union service organizations (CUSOs). Long dominated by lines of business offering insurance and investment services, increasingly CUSOs are being formed to offer services to small...

One Credit Union's Deliberate Approach To Installing Business Process Mngmt.(School Employees Credit Union)
May 17, 2004... Having withstood the initial riptide of Business Process Management (BPM) automation, School Employees Credit Union of Washington is ready for rollout across the organization. "BPM has taken a little bit longer than we originally planned...

On Deadline.(National Credit Union Association)
May 17, 2004... NCUA Employees Get Ballots For Union Vote ALEXANDRIA, Va.-NCUA has reached an agreement with the National Treasury Employees Union on the parameters of a vote on whether agency employees will organize a union under the auspices of the NTEU....

Inside This Special Report.
May 17, 2004... FedComp, Above, Has Captured A Large Segment Of The Small CU Market Page 10 Getting Control Of Vulnerability Analysis Page 7 How EDI Is Cutting Insurance Paperwork Page 8 Stored Value Cards Get New Usage ...