Banking Wire articles from May 2002

Banking Wire archives from May 2002

Calif. CUSO Acquires Large Insurance Agency.
May 1, 2002... Arrowhead Financial Group, the CUSO of Arrowhead Credit Union, has acquired Sawyer, Cook & Co., one of the largest insurance agencies in the Inland Empire. The acquisition of the Redlands, Calif.-based firm will boost AFG's insurance revenues...

Russert Headlines Empire's 25th Annual.
May 1, 2002... Empire Corporate FCU marked its 25th anniversary during its Economic Forum here, with more than 300 in attendance at The Sagamore Resort in Bolton Landing, New York. Tim Russert, host of NBC's Meet the Press, keynoted the meeting. CEO Joseph...

Minnesota Corporate Overhauls Its Website.
May 1, 2002... Minnesota Corporate FCU has unveiled an enhanced and improved website at www.corporatecu.org. The new website features updated and expanded functionality, new components and an entire facelift, according to Karen Jacoby, member services...

Community Charters Spread To Scotland.
May 1, 2002... The U.S. trend toward larger, community charters for credit unions has crossed the pond. Capital Credit Union here has been given the OK to switch to a community charter and serve anyone living or working in this market, including a large...

Software Helps Track Robber.
May 1, 2002... Computer software developed especially for the case by Space Coast CU is being credited by police for helping to track and arrest a suspect in the April 4 murder of a local resident. The software helped authorities trace the movements of...

Would-Be Robber Changes Mind.
May 1, 2002... A man entered the Register-Guard FCU last week and declared, "This is a robbery," as he pulled out a gun, only to lose his nerve and flee when questioned by employees. The would-be robber turned around and ran out the door, tearing off his...

in Deal, Man Gets Probation.
May 1, 2002... A man convicted of helping launder millions of dollars for the perpetrators of the biggest ATM fraud ever was sentenced to probation and a $12,000 fine, thanks to his cooperation in the case. Authorities said testimony from David McGrath,...

Tip Leads To Arrest Of Suspect.
May 1, 2002... A suspect in the March 27 robbery at CU Service Center here and a separate robbery at Old National Bank recently was arrested after a call to the local Crime Line. Justin Craver, 24, was charged with two counts of robbery and one count of...

Suspect Arrested In ATM Case.
May 1, 2002... A Poughkeepsie, N.Y., man was arrested for allegedly making several attempts to break open a Hudson Valley CU ATM here. Geoffrey Gravell, 27, was charged with attempted burglary, criminal tampering, criminal mischief and misdemeanor petty...

Branch Hit For 4th Time In Year.
May 1, 2002... A man suspected in the March 23 robbery at Pawtucket CU and five other bank heists in the area over the past three weeks is the fourth different robber to hold- up the Broadway St. branch of the credit union over the past year. "All four...

CU Anytime Merges With Co-op.
May 2, 2002... The rapidly expanding CO-OP Network, the nation's largest credit union-owned electronic funds transfer (EFT) network, said Friday it has agreed to merge with CU Anytime, an Albuquerque, N.M., EFT network owned by 19 credit unions and...

NYCE Delays POS Rate Increase.
May 2, 2002... NYCE Corp. said it is postponing its planned April 1 effective date for a point-of-sale debit interchange rate increase until May 1, but increases to the electronic funds transfer (EFT) network's ATM fees went into effect on April, 1, as...

Two Juveniles Arrested In Florida.
May 2, 2002... A 15-year-old suspect and his 17-year-old accomplice were arrested by the Clay County Sheriff's and charged with the Jan. 17 kidnapping and robbery of a Jax Navy CU (now Vystar CU) member. The two teenagers and a third accomplice still...

Member Phones Police.
May 2, 2002... Police are hunting for a man who allegedly robbed Campus USA CU of "several thousand dollars" during an armed hold-up. A member was leaving the credit union at around 2:42 pm when she noticed a man armed with a handgun walking in. As she...

CUJ News Review: CUNA Rebukes ABA Statements.
May 2, 2002... Statements by the American Bankers Association to House Financial Services Committee Chairman Michael Oxley (R-OH) are "misleading and inaccurate in its characterization of Rep. Brad Sherman's proposed amendment allowing additional capital for...

CUJ News Review: 2 New England CUs Join Network.
May 2, 2002... Two large New England credit unions have entered into shared branching agreements with Financial Service Centers Cooperative (FSCC). The $1.6-billion Digital Federal Credit Union here and the $700- million Service Credit Union, Portsmouth,...

CUJ News Review: Video A Finalist; Deposits Flow In.
May 2, 2002... WesCorp's video production of "Living the Dream: Ordinary People, Extraordinary Credit" has been recognized as a finalist in the 23rd Annual Telly Awards competition, which showcases non-network and cable TV commercials, film and video...

CUJ News Review: Wisconsin Gets New MBL Reg.
May 2, 2002... Wisconsin has become the fifth state to gain the National Credit Union Administration's (NCUA) approval of its own member business lending regulation, Chapter DFI-CU 72. The proposed regulation, which according to the Wisconsin league is...

CUJ News Review: Ventura Signs CU Protection Act.
May 2, 2002... Minnesota Gov. Jesse Ventura has signed the Credit Union Protection Act into law. Strongly supported by the Minnesota CU Network, the law expands the ability of state- chartered credit unions to grow via conversions to community charters, an...

Community Page.
May 2, 2002... RI CUs Sponsor Basketball Event WARWICK, R.I.-Rhode Island Credit Union, the Rhode Island Credit Union League, and Empire Corporate FCU were joint sponsors of the annual Credit Union Classic High School Basketball Championships. ECU...

CCUL Names Room After Johnson.
May 2, 2002... In recognition of Richard M. Johnson's service to the credit union movement and his pending retirement as president of WesCorp, the California league named the training facility at its offices the Richard M. Johnson Training Center. League...

Iowa Ruling Could Effect Shazam.
May 3, 2002... Last month's federal court ruling lifting the state's law banning ATM surcharges could also loosen the Shazam EFT network's grip on ATM transactions in the state. Another Iowa EFT law that requires ATM transactions to be routed through one...

CUs Investing In Mortgage Backed.
May 3, 2002... The ongoing mortgage boom caused an explosion in the issuance of mortgage-backed securities, one of the favored investments for credit unions, in the first quarter of 2002. Data compiled by Thomson Financial shows that new issues of mortgage-...

CU Savings Rates Bottom Out.
May 3, 2002... Credit union savings rates, which have plummeted to record lows over the past year, have stopped their free-fall and have held steady over the past three weeks. Data compiled by DataTrac Corp. shows the average CU rates stopped at 1.68% for...

The Plain, Old Stuffer Can Still Offer Grand Results.
May 3, 2002... Whatever the marketing skill level of your credit union, there are certain "unforgivable" marketing errors that sometimes plague even the largest and most sophisticated, as well as the tiniest, credit unions. Those errors are found in...

Police Get Break In Robbery.
May 3, 2002... A police detective driving to investigate an armed robbery at America First CU last week just happened to encounter a suspect matching the description of the robber in the heist-driving the other way. "I knew it was probably the same...

Suspects Captured Within Minutes.
May 3, 2002... Four suspects in an armed robbery at Family CU were captured within minutes of fleeing the credit union with almost $16,000 in cash, when pursuing police cornered their getaway car in a nearby alley. Two of the suspects, Nathan Neese, 18, of...

Man Says He Only Offered A Ride.
May 3, 2002... Police arrested two men here after one of them was seen getting into a car outside Burbank City Employees FCU with a fistful of cash just after a robbery at the credit union. Police arrested both the passenger and the driver of the car who...

Hunt For Robber Ends In R.I.
May 3, 2002... Local police spent most of a weekend in a futile hunt for a suspect who robbed Pawtucket CU on a Saturday afternoon. The suspect entered the credit union around 11:40 am and handed a teller a note demanding money, then fled by foot after...

Marines Charged In Check Scam.
May 3, 2002... Three U.S. Marines and a civilian woman were charged with check fraud for allegedly creating phony checks on a home computer, then cashing the checks at Navy FCU and Marine FCU. The four, Benjamin Graves, Richard Summerlin, Gordon Samuel,...

Wrong Photo Used In Mix-Up.
May 3, 2002... Police are apologizing for using the wrong photo for the right idea to publicize what they thought was a thief using another person's ATM card to withdraw $200. The photos, which appeared in local papers, were of a regular customer making a...

DNA Leads To Arrest Of Suspect.
May 6, 2002... DNA taken from the glove left behind during a Feb. 27 armed robbery at Guardian CU led police to charge an inmate in the state prison for the heist. Brian Walls, 33, was charged with armed robbery, kidnapping and brandishing a firearm in...

Examples Of Alternative Capital? Look To Us, Urge State Charters.
May 6, 2002... Federal credit unions can learn from their state-chartered brethren when it comes to alternative forms of capital, according to NASCUS. The National Association of State Credit Union Supervisors (NASCUS) has established a task force to...

Wis. Takes Several Steps on Financial Education.
May 6, 2002... The Wisconsin league reported the state's credit unions will "redouble" efforts to educate youth on financial matters. The decision comes at the same time a state task force is meeting to address the pressing need for better financial...

Maine CUL Unit Overhauls Look, Features Of Site.
May 6, 2002... The Maine league's service subsidiary, Synergent, has re-designed its website to include a new look, enhanced features and an emphasis on current information. Among the new features of the site (www.synergentcorp.com) are product descriptions...

Community Page.
May 6, 2002... DCCU Sponsors Poster Contest DUBUQUE, Iowa-In conjunction with Earth Day, April 22, Dupaco Community Credit Union has teamed with Mediacom to sponsor the 14th Annual Earth Day Poster Contest, which is open to tri-state- area students in...

ON DEADLINE.
May 6, 2002... Calif. CUs Oppose Privacy Bill RANCHO CUCAMONGA, Calif.-The California league said its Government Relations Committee voted to oppose a privacy bill in the state Assembly that contains "opt-in" language. The league indicated it plans to...

Corrections & Clarifications.
May 6, 2002... *An item in the March 18 edition of the CU Journal incorrectly stated that Southern Massachusetts Telephone Workers CU, Fairhaven, Mass., obtained permission from the state banking department to serve Barnstable, Bristol, Dukes, Nantucket,...

NCUA Won't Intervene In Case Where Member Says He Was Expelled From CU In Order To Be Kept Off Board.
May 6, 2002... NCUA said it will not intervene on behalf of a credit union member who was expelled from the credit union. In a new legal opinion letter, NCUA said in internal credit union disputes, such as expulsions, there is no right of appeal to the...

XP Systems Adds Overdue Account Info.
May 6, 2002... XP Systems, a unit of Fiserv, Inc., and a provider of processing solutions to credit unions, has entered into a strategic alliance with The Guthrie Phillips Group Inc. (GPG), a leader in overdue account collections systems. GPG's WinCAT TM...

Rep's Surprise Move Part Of Secondary Capital Bid.
May 6, 2002... It was quite a strategy staged by little-known Congressman Brad Sherman two weeks ago during the mark-up, or drafting, of the deposit insurance reform bill. The California Democrat stood up before the Financial Institutions Subcommittee of...

But Will Fee Be Charged To Watch The March?
May 7, 2002... Talking about the banking lobby: how 'bout this for a truly frightening thought-tens of thousands of bankers clad in their three- piece suits and wing-tipped shoes marching down Pennsylvania Avenue to rally at the foot of the Capitol. ...

Prediction: Smart Cards To Zoom In 2003. Really. They Mean It.
May 7, 2002... Analysis released by TowerGroup here indicates that smart cards may finally begin achieving over the next year the high expectations long held for them. There are an estimated 17.5-million smart cards (cards embedded with a computer chip)...

Why One CU Turned To Software For Security Compliance.
May 7, 2002... Security compliance can be a baffling and costly task-but Palisades Federal Credit Union took control of the wheel in January with a product suite that speaks to NCUA guidelines, according to Adam Lambert, information systems coordinator. ...

InfiCorp Buys 2 CU Card Portfolios.
May 7, 2002... InfiCorp Holdings, Inc., a unit of First National Bank of Nebraska, said it purchased two more credit union credit card portfolios, buying the loans of the $72-million Evergreen CU, Westbrook, Maine, and the $113-million Lake State FCU, Moose...

KeyCorp Offers CUs ATM Access.
May 7, 2002... Three credit unions in central Ohio have signed with KeyCorp to give their members access to the regional banking giant's fleet of 2,400 ATMs across the country. The signing of the three credit unions, Nationwide FCU and Telhio CU, and CME FCU,...

CUs Seek Long-Term Deposits.
May 7, 2002... Credit unions have begun raising rates paid on longer-term deposits, even as short-term rates keep tumbling to all-time lows. Data compiled by DataTrac Corp. shows that average rates paid by credit unions for five-year CDs have climbed 15 basis...

CU Lending Tips Upwards.
May 7, 2002... Credit unions expanded their loans by about 0.4% in January, a normally slow month for lending when members are usually paying down debt from holiday spending. Data compiled by CUNA shows that's the highest loan growth for any January in more...

Police Hunt Elderly CU Robber.
May 7, 2002... An elderly man believed to have robbed several credit unions and banks in recent months, continued his crime spree last week with a heist at Bank of the West here. The man, believed to be in his 70's is suspected in at least five area...

ATM Con Snares CU Member.
May 7, 2002... A fort Stewart Georgia FCU member lost $740 last week when two con artists convinced her to withdraw the cash from her ATM in hopes of greater rewards. The two con artists promised the credit union member a share of $20,000 they had allegedly...

Bay State CUs Get Large Community Grants.
May 7, 2002... The state credit union supervisor said Monday it approved an application from Southern Massachusetts Telephone Workers CU, Fairhaven, to serve about two million people in the state's Barnstable, Bristol, Dukes, Nantucket, Norfolk and Plymouth...

Two More California CUs Get State Charters.
May 8, 2002... State regulators with the Department of Financial Institutions said Monday they approved two more credit union conversions to charter, the first two of the year. They are: California Bear FCU, Los Angeles ($88 million) and Fiscal FCU,...

Mass. CUs Win Big Communities.
May 8, 2002... The state credit union supervisor approved an application from Southern Massachusetts Telephone Workers CU, Fairhaven, to serve about two million people in the state's Barnstable, Bristol, Dukes, Nantucket, Norfolk and Plymouth counties, one...

Two More Calif. CUs Convert.
May 8, 2002... State regulators with the Department of Financial Institutions approved two more credit union conversions to state charter, the first two of the year. They are: California Bear FCU, Los Angeles ($88 million) and Fiscal FCU, Glendale ($125...

Community Page.
May 8, 2002... New Credit Union Branches Open The following CUs opened new branches: * Arizona Federal Credit Union broke ground for a new Glendale, Ariz. branch. * Arkansas Federal Credit Union purchased land to build a new branch facility in...

Banks Balk At CUs' Bid For FHLB.
May 8, 2002... America's Community Bankers urged lawmakers to reject a measure that would allow privately insured CUs to join the Federal Home Loan Bank System. In a letter to Rep. Spencer Bachus (R-AL), chairman of the House Financial Services Financial...

3 Plead Guilty To CU Identity Theft.
May 8, 2002... Three individuals, including a former call center representative at The Golden 1 CU, pleaded guilty to an identity theft scheme in which hotel rooms in Sacramento and Las Vegas were charged to accounts from credit union members, then sold at a...

CU Acquires HR Solution.
May 8, 2002... Government Employees CU of El Paso said it has signed with Exametric Corp. of San Diego, for its Click2Staff forecasting and scheduling software for workforce management. The software, which employs customer-prediction methodology, will...

Harland Signs Simpson CCU.
May 8, 2002... Simpson Community CU said it has licensed Harland Financial Solutions' Touche customer relationship management (CRM) solution. Touche provides enterprise-wide access to all customer interactions, issues and resolution tracking, automated task...

Diebold Unveils Iris Identification ATM.
May 8, 2002... ATM manufacturer Diebold Inc. said Wednesday it has introduced a biometric machine that uses iris, or eyeball, verification technology to identify users. The iris verification technology was developed by Joh. Enschede Security Solutions, a...

Consortium Eyes Next Generation Aggregation Framework.
May 8, 2002... The Financial Services Technology Consortium, a group of financial institutions and service providers, is launching a pilot program to prove the feasibility of the next-generation of account aggregation framework. The framework will provide the...

Interest Worth Checking: The Debit Card, Whose Acceptance Has Lagged Expectations, Is Suddenly Poised To Surpass Credit Cards-At Least In Usage.
May 9, 2002... How much is debit card usage growing? Debit cards are poised to surpass the almighty credit card in number of transactions (debit still trails in dollar volume), and are rapidly displacing checks and other payment systems while heralding an end...

A Taxing Conundrum: Despite Benefits, Survey Finds Members Unaware of CU IRA Options; Credit Unions Report Varying Successes In Marketing Product This Year.
May 9, 2002... Between the recent changes in the IRA contributions rules and the fact that April 15 is looming, IRAs represent a significant opportunity for credit unions right now, according to a variety of credit union CEOs and consultants. Yet many...

CUs Critical Of ALLL Proposal, Want It Simplified.
May 9, 2002... Credit unions are criticizing NCUA's proposed new guidance for setting allowance for loan and lease losses (ALLL) and asked the agency in comment letters on its proposed ALLL guidance to simplify the process, instead. "We do believe that...

Corporates Urge NCUA To Address Capital Standards.
May 9, 2002... Corporate credit unions are calling on NCUA to rationalize the different capital standards it has for the corporates and to institute a risk-weighed capital system, under which reserves are set aside based on the risk-weight of each asset....

ON DEADLINE: Group Won't Push CRA For Credit Unions-Yet.
May 9, 2002... While the National Community Reinvestment Coalition would like to see the Community Reinvestment Act applied to credit unions, it will not push to include credit unions in the CRA Modernization bill it is currently trying to push through...

After Sharp Rise In Robberies, Penalties Are Toughened.
May 9, 2002... Washington Gov. Gary Locke has signed a bill into law that toughens penalties for bank robberies in the state, which ranks No. 1 in per-capita bank robberies in the U.S. HB 2511 makes robbery of a financial institution a class A felony,...

Consumer Federation, Bank Backing Savings Program.
May 9, 2002... The Consumer Federation of America and Bank of America announced the availability of an interactive America Saves website (AmericaSaves.org), free membership for individuals in America Saves, and a $200,000 Bank of America Foundation grant...

WesCorp Solar Panels To Provide 4% Of Electric Needs.
May 9, 2002... Wescorp has installed a photovoltaic electric system at its corporate headquarters in San Dimas, Calif. The solar-powered system is made up of 154 120-watt panels, covering 1,900-square feet of roof space. It will generate from 14 to 18...

Indiana League Enters Into Partnership With Mid-States.
May 9, 2002... The Indiana Credit Union League and its subsidiary Servicecorp have entered into a formal business partnership with Mid-States Corporate FCU. While Mid-States is headquartered in Illinois, it is owned by the credit unions of both Illinois...

FDIC 'Discovers' $42 Million In Deposits At Failed Bank.
May 9, 2002... The FDIC said $42 million and perhaps more in deposits have been "discovered" at the failed Oakwood Deposit Bank here. The bank failed in early February after its CEO allegedly stole $40 million and used it toward a South Carolina casino....

Lackland FCU Changes Its Name To Air Force Federal.
May 10, 2002... Lackland Federal Credit Union has changed its name to Air Force Federal Credit Union. The formal announcement was made during the annual membership meeting. "Only our name is changing," said Tom Whitmore, AFFCU CEO. "We will continue to...

PSECU's Long Named Tech Exec Of Year By CUES.
May 10, 2002... Richard Long, VP-IT services with Pennsylvania State Employees Credit Union, Harrisburg, Pa., has been named the 2002 CUES Technology Executive of the Year. The award is sponsored by CUES Tech Port and was presented during the...

1st Class Graduates OH Financial Ed Classes.
May 10, 2002... Twenty-five people have been awarded certificates for completing all four parts of the Spanish- language financial literacy classes being offered by the Ohio Credit Union Foundation, four Columbus credit unions, and Ohio State University....

IRS Rulings Lead To Name, Structure Changes In Texas.
May 10, 2002... A recent IRS ruling has led the Texas league to change the structure and name of its TCUL Services subsidiary. The unit is now called Credit Union Resources. "When we looked at recent Internal Revenue Service rulings and some of the...

What CUs Must Do To Close Business Lending Gap.
May 10, 2002... Many CUs are just awakening to the tremendous opportunity to gain wallet-share as the next wave of the Internet revolution transforms the financial services industry. Some of the greatest opportunities are in the small business sector. ...

Fannie and Freddie: The Kids Are Out Of Control.
May 10, 2002... Is it the case of the two-headed monster that devoured its creator. That's the ongoing controversy swirling around Fannie Mae and Freddie Mac that raises the frightening specter of government progeny out of control. The two companies,...

CUNA's Chief Lobbyist, McKechnie, Recognized.
May 10, 2002... The Hill newspaper, a weekly publication for inside-Washington- types, finally discovered what many in the credit union movement already knew when it cited John McKechnie, chief CUNA lobbyist, as being among the top association lobbyists....

People.
May 10, 2002... REGION V BELLCO Credit Union, Denver, Colo., recently announced that President Doug Ferraro has been approved by the state Senate to an appointment to the Financial Services Board of the division of Financial Services. Southwest IBM...

Events Change, But Strategic Management Must Not.
May 10, 2002... September 11. There is absolutely no doubt that the events of that day changed the way life will be lived and business will be conducted for many years to come. One thing, however, has not changed-strategic management must continue to be a...

Product & Service.
May 10, 2002... FirstCorp Passes $1B In Assets PHOENIX-FirstCorp, which has now exceeded $1 billion in assets, is now making available online access to images of cleared member share drafts to all participants in its share draft program. EasCorp Plans...

In No Hurry To Return.
May 13, 2002... Six Months After Terrorists Brought Down The World Trade Center In Which She Worked, One CU Employee Still Hasn't Visited What's Become Known As Ground Zero, And Says She Doesn't Know When She Will. Sharon Brimmer still has not gone back...

Living & Working In A Small Town.
May 13, 2002... For Shirley Waller, Manager of a Small CU In A Small Town, The Job Means Forwarding Member Calls To Her Home on Weekends, And Even Opening Up The Credit Union On Sunday For A Member Who Needs Cash. This can't be a financial institution. ...

Worth Noting.
May 13, 2002... Shared Centers Open In Philly HARRISBURG, Penn.-Pennsylvania Credit Union Service Centers (PaCUSC) reported that five Shared Service Outlets have been opened in the greater Philadelphia area by American Heritage FCU. Following an initial...