Banking Wire articles from November 2004

Banking Wire archives from November 2004

Flood Puts One CU In The Money-Laundering Biz.
November 1, 2004... When flooding left Ohio Valley Credit Union officials with a vault full of some $200,000 in dirty money, they did what any respectable business leaders would do-they laundered it. "It was a sight to see," said Robyn McGuire, OVCU Human...

Group ID'd As Future Leaders Of CUs Meets; Identifies Opportunities.
November 1, 2004... The Filene Institute's i3 program has met and released an update on its initiatives. The i3 program, for Ideas, Innovation, Implementation, is an assemblage of senior credit union executives identified as "future leaders" within the...

Idaho Latest To Adopt Dress Code For Security.
November 1, 2004... Idaho's credit unions have become the latest to adopt the "No Hats, No Hoods, No Sunglasses" policy for people entering branches. The program is already in place in at least two other states, including Missouri, which is reporting a 36%...

5 Ideas On Partnering: Shared At NCUA Economic Summit.
November 1, 2004... 'It Can't End Here' TAMPA, Fla.-NCUA showcased a variety of ways credit unions can work with advocacy groups and government agencies to improve the communities they serve at a recent Economic Empowerment Summit here. The Summit was...

HUD Secretary Says Most Banks Too Big For Communities, Applauds CUs.
November 1, 2004... With the presidential election looming, Housing and Urban Development Secretary Alphonso Jackson used NCUA's Access Across America Economic Empowerment Summit here to praise both credit unions and President George Bush. "Two and a half...

House Members Support CU Tax Exemption.
November 1, 2004... The leading credit union groups appeared last week to come to a consensus on capital, endorsing NCUA's efforts to convert its current net capital rules under prompt corrective action into a risk-based system of capital. But agreement...

People.
November 1, 2004... Georgia Central Credit Union, Duluth, Ga., appointed Richard E. Yarbrough to its board. Diamond Lakes Federal Credit Union, Malvern, Ark., named Lorraine Baisdon marketing and business development director. University Federal Credit...

The CU Journal Daily.
November 1, 2004... Diversity Projects Get CU Backing DES MOINES, Iowa-John Deere Community CU said it has awarded a total of $25,000 in small grants to seven local non-profit organizations promoting community diversity. The grants, ranging in size from...

Community Page.
November 1, 2004... SSFCU Honors Employee With Trip SAN ANTONIO, Texas-Security Service Federal Credit Union honored Senior Account Officer Shirley Arnold for her dedication and 30 years of service with a plaque and a trip to Hawaii for her and her husband....

CU Behind Mexico's 1st Non-Bank ATM Network.
November 1, 2004... Mexico's second largest credit union has launched the country's first non-bank ATM network, LIBERred. The network comes 18 months after the World Council of Credit Unions launched a one- year technical assistance program at Libertad, with...

CU Officials Meet With European Commission.
November 2, 2004... The World Council of Credit Unions, Inc. (WOCCU), the Irish League of Credit Unions, Great Britain Association of British Credit Unions, and Poland's National Association of Co-operative Savings and Credit Unions met last week with European...

Treasury Official Gets Demonstration Of Remittances At CU.
November 2, 2004... Treasury Assistant Secretary for International Affairs Randy Quarles met with members and staff at Guadalupe Credit Union here to see the international remittance process in action. A Guadalupe Credit Union member since 1989, Louis Alvarez...

MasterCard Is Offering COMMUNITYcash Program.
November 2, 2004... MasterCard has entered into an agreement with Nietech Corp. to give MasterCard cardholders the ability to convert accumulated rewards points into cash donations for the nonprofits and schools of their choice. The program, known as...

Survey Reveals Salaries At Smaller Credit Unions.
November 2, 2004... CUNA has released new data on the salaries being paid management by small credit unions. But what the new data can't do anything about is the dilemma over finding qualified people willing to work for the salaries being offered. CUNA's...

CUNA Mutual, CUDL Join To Offer Gap Protection.
November 2, 2004... CUNA Mutual Group said it is joining with CU Direct Corp., which runs the Credit Union Direct Lending (CUDL) program, to offer Guaranteed Automobile Protection (GAP) to members buying new and used cars at dealerships participating in the CUDL...

Banks Criticized For 'Hypocrisy' After Vote.
November 2, 2004... The Senate has approved a bill that expands subchapter S provisions used by banks to cut their tax liabilities. The legislation was included as part of the broader corporate tax legislation. The bill would increase the maximum number of...

No Smoking Section: CUs Watching But Not Worried Over Mt. Saint Helens.
November 2, 2004... Mount St. Helens has been causing a stir in recent weeks when it expelled clouds of steam and ash, but no credit unions are in any immediate danger. The volcano, which erupted violently in May 1980, is in southwest Washington state, about...

No April Fool's Joke on ATMs.
November 2, 2004... MasterCard International said it has ordered all ATM switch providers to turn off machines not compliant with the new Triple DES encryption standards next April 1, in order to ensure protection of sensitive cardholder information during the...

NAFCU's PAC Picking Up Steam, Makes Donations.
November 2, 2004... After stagnating a few years after the campaign for HR 1151, NAFCU has grown its political action committee to once again become the second largest among credit unions. NAFCU's PAC, which had fallen behind several PACs run by state credit union...

America's CU Museum Exhibit Honors Defense CUs.
November 2, 2004... A new exhibit recognizing the The Defense Credit Union Council is now on display at America's Credit Union Museum here. The exhibit was underwritten by Service Credit Union, Portsmouth, N.H. "Defense credit unions have honorably served...

Burd Designated A Sagamore of the Wabash.
November 3, 2004... Indiana Gov. Joe Kernan has designated Loretta Burd, CEO of Centra Credit Union, a Sagamore of the Wabash.The award was presented during the Indiana league's Large Credit Union Roundtable here. The award is the highest honor the governor's...

Update On CUs Merging, Expanding & Changing.
November 3, 2004... Among the credit unions that are involved in mergers, expansions or name changes are: Ent FCU, Coloardo Springs, Colo., which has been approved to expand into low-income areas of Denver County, along with census tracts in Adams and Arapahoe...

How Moving To Web-Based Solutions Can Pay Off.
November 3, 2004... Imagine implementing a technology solution at your credit union that's maintenance-free, platform- and core processor- independent, easy for both members and staff to use, and will always be fully supported throughout the industry. What is...

6 Reasons Web-Based Tech Solutions Work For CUs.
November 3, 2004... If your credit union is looking for a cost-efficient and low maintenance technology to complement its core processing system, you might want to consider browser-based technology. More and more credit unions today are turning to web- based...

Vulnerability Assessment Software Upgrade Lets CUs Control Scans.
November 3, 2004... Credit unions can immediately get their hands on vulnerability assessment data and can control network scanning with last week's general release of Frontline 3.0, a subscription-based vulnerability management service offered by Digital...

Check 21 A Certainty: Less Certain Is Host Of Other Issues.
November 3, 2004... There's no problem creating substitute checks that will meet the requirements of Check 21. But the picture gets a little fuzzy as to how those checks will be electronically processed, according to Doug Tangwall, product manager at CUNA....

Houston CU Can Document How Eliminating Documents Saves Time, Money.
November 3, 2004... You won't catch Houston Postal CU employees shuffling paper. In October, the $128-million CU started working-in real time-with electronic images of all but about 5% of its documents, according to Vladimir Stark, CEO at Houston Postal CU....

Worldwide Interactive Systems Unveils eZ App.
November 3, 2004... Worldwide Interactive Systems said it has completed the development of the most advanced product in online application systems on the market. "eZ App from YourMSR.com is a tool that credit unions will use to offer online loan applications to...

Exstream Software, MSI In Partnership.
November 3, 2004... Exstream Software, Inc. has entered into a distribution agreement with MSI Systems Integrators, an Omaha, Neb.-based integrator of comprehensive information technology solutions. Under the terms of the agreement, MSI will sell and service...

FiTECH Clients Move To e-Commerce Banker.
November 3, 2004... Open Solutions Inc. announced that seven credit unions that use its FiTECH MANAGER GOLD core processing system have signed contracts for its e-Commerce Banker(e-CB) suite of web-based financial services. They are: 1st Choice CU, Atlanta;...

Freedom Credit Union Selects AFTECH.
November 4, 2004... The $265-million Freedom Credit Union has chosen the Advantage core processing system from AFTECH. The Philadelphia-based FCU has also chosen number a of additional AFTECH products and services, including Internet credit reporting, Advantage...

Smart Financial Installs Mosaic's Postilion.
November 4, 2004... Mosaic Software, a processing solutions provider, said that Texas- based Smart Financial Credit Union (formerly First Educators) has installed Mosaic's industry-leading Postilion software to provide in- house ATM driving as well as transaction...

Bronco FCU Selects OSI's TCCUS Solution.
November 4, 2004... Bronco Federal Credit Union has selected Open Solutions Inc's The Complete Credit Union Solution as its core data processing platform. Open Solution's relational data processing and enterprise system will enable the Franklin, Va.-based Bronco...

Peppercoin, Moneris Solutions Enter Alliance.
November 4, 2004... Peppercoin and Chicago-based Moneris Solutions have entered into an alliance to meet the small payments processing needs of merchants with a small payment processing product suite that enables profitable small payments, the companies said....

qbt Adds Equifax, Experian Interfaces.
November 4, 2004... qbt, a provider of real-time financial systems integration, has added the Equifax and Experian interfaces to its MultiPoint adapter library. qbt's MultiPoint Integrator already has established adapters to ATM and debit card networks, shared...

Summit Offers Real-Time Collections Interface.
November 4, 2004... Summit Information Systems said it will offer its clients a real- time interface to the TopNotch overdue-loan-collection system from The Guthrie Phillips Group (GPG). The data integration between the Summit Spectrum core processing system and...

More Than 420 At USERS EdCon 2004.
November 4, 2004... USERS Inc. hosted more than 420 attendees at its EdCon 2004, the company's 21st annual educational conference. The meeting at the Hyatt Regency Huntington Beach in California focused on "Winning Together." EdCon is one of two annual meetings...

USERS Releases Commercial Integrator Solution.
November 4, 2004... USERS Inc. has released its new Commercial Integrator solution, which gives users of its core system access to the full range of deposit and lending functions required to serve member business accounts. The $661-million Columbia Credit Union,...

Two Select WRG's CU Integrator Solution.
November 4, 2004... Wescom Resources Group (WRG), a CUSO of Wescom Credit Union, said that two CUs have selected its CU Integrator Software Development Kit (SDK) for integration with Symitar's Episys system. Choosing the solution were $946-million Baxter Credit...

BeanStalk Networks Releases e-Doc Manager.
November 4, 2004... Beanstalk Networks has released e-Doc Manager, a digital document management system for its OpenClose MTG web-based loan origination and document management software for wholesale, retail, and correspondent channels. "The e-Doc Manager is...

With Most Glitches Resolved, Video-Tellers Become Common Technology.
November 5, 2004... Video tellers aren't just used for kicks by billion-dollar, high- tech credit unions. Take $120-million TEG Federal CU, which in two weeks will open up a new branch with three Remote Teller Systems (RTS)-and just one walk-up teller, said...

CU Rolls Out Direct Deposit App For Business.
November 5, 2004... MidWest Financial Credit Union and its subsidiary operation, UMHS Financial, have launched a Direct Deposit origination program called EZ Pay. The program allows businesses to use the CU's web-based EZ Pay application to access the...

Survey Examines Consumers' Perceptions, Behavior Of Card Reward Plans.
November 5, 2004... Why do consumers leave a loyalty or rewards card program after signing up? A new survey indicates the biggest reason is the time it takes to earn those points. In a poll conducted by Maritz Loyalty Marketing, 70% cited the length of time...

Study: Building Branches The Easy Part; Strategy Is Challenge.
November 5, 2004... Most community banks see branch building as the next big step in their strategic development, but many admit to being unsure about how to reach customers once they open new doors, according to a survey conducted by Newground. Newground...

Where The Low-Tech Holes Are Found In The High-Tech Security Solution.
November 5, 2004... Two security experts told credit unions that while the Internet seemingly presents a new security challenge every day, and that while credit unions are responding with expensive software solutions and firewalls, good security often starts with...

Airport Runway Extension Leads Minnesota CU Network To Move Downtown.
November 5, 2004... An expanded airport runway has driven the Minnesota Credit Union Network to move its offices to downtown St. Paul in early 2005. The MCUN has leased the remaining commercial office space in the Saint Paul Public Housing Agency's new building at...

Chartway FCU Raises $215,000 For Make-A-Wish Through Tournament.
November 5, 2004... Chartway FCU raised a whopping $215,000 for the Make-A-Wish Foundation of Eastern Virginia through its 6th annual Golf Classic. The Classic includes a glossy event program full of local sponsors (including presenting sponsor, Certegy, Inc.), a...

CUNA Management School Class Raises $4,000 To Help Homeowner.
November 5, 2004... As part of the community service project required during their second year, 88 students at CUNA Management School's class of 2005 were bussed up to Marshall, Wis., to paint the homes of three elderly and disabled individuals as part of...

Community CU Kicks Off Hispanic Marketing Initiative With Fiestas.
November 5, 2004... Community CU here kicked off an Hispanic marketing initiative with a series of fiestas celebrating Mexican Independence Day at four of its in-store branches. The fiestas featured the credit union's prize wheel, visits by Rex the Sav-A-Saurus,...

The CU Journal Daily.
November 5, 2004... CUSO Aids Housing Efforts EL PASO, Texas-The Affordable Housing CUSO has joined several other community groups in a project that will help homeowners secure the deed to 22 rundown trailer homes and build new homes in their place. The...

Meeting of Minds.
November 8, 2004... Autumn is peak conference time for many industries, and this autumn has been no exception for the bank securities business. Within the space of a few weeks, the American Bankers Association put on a conference covering wealth management,...

To The Editor.
November 8, 2004... In regard to your story on third-party marketer rankings (BIC, Sept., 2004, page 11), I believe that Bank Investment Consultant should have more clearly explained the process that was used to gather the American Bankers Association survey data,...

The Innovators & Ingenuity Of 2004: Profiling those whose imagination has had impact.
November 8, 2004... Every year presents a different array of challenges than the year before. While some issues stick around, they tend to take on greater importance as the pace of change quickens and unforeseen changes in the market and economy require fast, yet...

Crime: Steal A Little Off The Top: Skimming is a danger that's below the radar.
November 8, 2004... In the movie "Office Space," the main characters exact their revenge on The Man by writing a computer program that pilfers fractions of pennies off of corporate transactions by rounding off monetary amounts to the nearest cent, then depositing...

Credit Unions Share Some Unique Endeavors.
November 8, 2004... Helping Addicts GHS FCU is showing that one way to overcome addictive behavior is to regain your good credit. The Binghamton, N.Y., credit union has teamed with a local addiction treatment facility, Fairview Recovery Center. The...

Can Members Afford To Borrow: In 2005 The Median House Price in California Is Projected To Surpass $500,000, Raising The Question.
November 8, 2004... How difficult is it to enter the high-priced housing market in the San Francisco Bay Area? According to the CEO of one credit union here, the best mortgage loan her average loan officer could qualify for would only allow him or her "to buy a...

Bank, CU Harmony In Hawaii Unfortunately Not The Model Everywhere, CUs Reminded.
November 8, 2004... Even in paradise, there are snakes. Though CUNA CEO Dan Mica tried to avoid bashing banks, in keeping with the Aloha Spirit of the host city of CUNA's Future Forum, Mica still felt a need to issue yet another call to arms to credit unions...

Penn. Merger Will Create Near-$1-Billion CU.
November 8, 2004... Citadel FCU and Atlantic CU have announced plans to merge and form a credit union with assets approaching $1 billion. The new organization will retain the Citadel name and will be approximately $950 million in asset size, serve more than...

Rant sand Raves.
November 8, 2004... Amex's Merchant Processing The central theme of your October article "With Its Long Green Arm, Amex Reclaims Processing" is inaccurate and I am writing to ask that you set the record straight. Here are the facts. Processing is not a...

Influence Defined By Those Who are Living It: The crossroads of finance and community can make the difference between whether a town, a family or a small business thrives or languishes. And women are on the frontlines of this revolution.
November 8, 2004... In corporate America, many who desire power may well attain it, yet lack the influence necessary to impart real change. But those individuals who possess power and influence, anchored by outstanding professional and personal achievement, are...

Banks Have a Way to Go, Study Says.
November 9, 2004... Banks' trustworthiness, retail presence and apparent cross-selling opportunities have long supported their rationale for entering the investment business. A recent study by Forrester Research, however, suggests that bank reasoning may be...

New Regulations Worry Industry.
November 9, 2004... Possible regulatory moves in the areas of insurance sales and customer privacy are worrying members of the Bank Investment and Securities Association. Addressing the association's community banking conference in Chicago in late September,...

Mortgage: Web Services Are Lenders' New Legacy: Players like First Franklin make upgrades easier.
November 9, 2004... The mortgage industry changes fast, with volume going from peak to valley with each interest rate cycle-business tides that come complete with their own waves of new products, customer acquisition strategies and technology plays. Keeping...

Taking a Closer Look Into IT Governance Globally.
November 9, 2004... The strategic value of IT governance isn't lost on the financial services industry, yet until recently no entity had a beat on whether institutions globally are making inroads in the area. That changed when the IT Governance Institute...

CUNA Backs Two Last-Minute Efforts For Candidates.
November 9, 2004... Taking advantage of one of the loopholes in campaign finance law, CUNA last week paid for two last minute advertising campaigns for credit union-favored congressional candidates that were independent of the candidates' campaigns. The ads,...

On Deadline.
November 9, 2004... Johnson Wants To Expand Reg-Flex ALEXANDRIA, Va.-NCUA Chairman JoAnn Johnson said last week that she decided after the agency's 'Summit' on capital to move to expand the Reg-Flex program, which eases regulations on the healthiest credit...

Navy Fed's 'Green' Call Center Wins Acclaim.
November 9, 2004... Navy Federal Credit Union's new state-of-the-art call center in Pensacola has become Florida's first commercial building to receive LEED (Leadership in Energy and Environmental Design) "Gold" Certification, making it a certified environmentally...

SECU To Underwrite Scholarships At All NC High Schools.
November 9, 2004... In what has become the most ambitious education endowment ever for credit unions, North Carolina State Employees CU said it plans to provide college scholarships to every one of the state's 330 high schools through its newly formed SECU...

Succession Planning: Is Sallie Krawcheck Ready For Citi's Big League?: Everyone's got a theory about her rise to CFO.
November 9, 2004... When Sallie Krawcheck, chief executive of Citigroup's Smith Barney brokerage unit, was named the most powerful woman in banking by this magazine in 2003, she protested vociferously-via a spokesperson-saying she wasn't a banker. No such luck...

Outsourcing: Return to the Mother Ship: UBS, JPMorgan to bring long-time contracts in-house.
November 9, 2004... Taking a hard-line stance on curbing IT costs, two banks announced plans to reintegrate billions in outsourced work. Market observers say this may signal an IT "in-sourcing" trend. JPMorgan Chase terminated a $5 billion, seven-year contract...

An Army of Three: SunTrust's John Taitague explains how his three-man partnership is growing business independently within the bank.
November 10, 2004... As bank reps build books of a significant size, the nature of their business changes. That means reps must adjust - which is precisely what John Taitague has done. Taitague, a senior vice president at SunTrust in Richmond, Va., realized...

Get a Life...: A life insurance marketing plan, that is. The potential is enormous, but few smaller banks are profiting. Here's how to go for the gold.
November 10, 2004... The wrong products. Ineffective marketing. Non-existent expertise. Ever wonder why bank life insurance sales are so disappointing? There are more reasons than just those three, but also terrific opportunities. And panelists...

Outsourcing: Jobbed-Out Work Returns To The Mother Ship: UBS, JPMorgan to bring long-time contracts in-house. And that could be just the start of an insourcing trend.
November 10, 2004... Taking a hard-line stance on curbing IT costs, two banks announced plans to reintegrate billions in outsourced work. Market observers say this may signal an IT "in-sourcing" trend. JPMorgan Chase terminated a $5 billion, seven-year contract...

News Makers.
November 10, 2004... Bank of America Deploys VOIP tech Bank of America is beginning to deploy 180,000 Cisco Internet Protocol telephones throughout its 5,800 banking and enterprise centers in 29 states and the District of Columbia. The deployment, in phases...

National CU Foundation Names 2005 Herb Wegner Honorees.
November 10, 2004... The National Credit Union Foundation has named the recipients of its 2005 Herb Wegner Awards. Recognized for their work were: * James Likens, president and dean of Western CUNA Management School, who will receive the Lifetime...

Worth Noting.
November 10, 2004... Christmas Club Pays Out DUBUQUE, Iowa-It's that time of year. Dupaco Community CU said it is paying out $3 million in Christmas Club deposits to some 3,300 members who have been saving up for the holidays. "As we approach the holiday...

Lessons In How To Demonstrate The Value of Collaboration.
November 10, 2004... There is a lot to be learned about leadership from traditions. One such lesson is apparent from the annual Returns Day Celebration in Georgetown, Del.-purported to be the only such celebration that still occurs each election year. The...

Scranton Closes Thoroughfare For CU's Vehicle Sale.
November 10, 2004... This wasn't your average credit union vehicle sale. Tobyhanna Army Depot FCU not only got the city's permission to drape a double-sided banner across a major thoroughfare announcing the one-day event, it convinced city officials to block...

Mergers: With Santander OK, Europe says yes to Deals: Will domestic consolidations speed up first?
November 10, 2004... Santander Central Hispano's purchase of British mortgage lender Abbey National, which recently received approval from regulators, may be the largest cross-border merger in European history and a strategic move for the Madrid bank. But it's...

Pipeline.
November 10, 2004... This Duck Fits the Bill The AFLAC spokesduck, quacking its way through many a TV commercial over the past several years, has been inducted into the Advertising Walk of Fame. The insurance firm's feathered mascot is credited with elevating...

Product & Service.
November 12, 2004... AIG Offering Discount On Games GREENSBORO, N.C.-AIG United Guaranty is offering three new interactive training CDs for mortgage professionals and said it is also offering a "substantial discount" on its teaching games, "Deception...

PSCU-FS Urges Caution Following Court Ruling.
November 12, 2004... PSCU Financial Services is urging credit unions to be cautious and to not rush in with new credit card portfolios following a U.S. Supreme Court decision allowing financial institutions to issue all brands of major credit cards. As...

Georgia Central Buys Stake In MBL CUSO.
November 12, 2004... Georgia Central Credit Union is purchasing an ownership stake in Member Business Solutions (MBS), LLC, a CUSO formed by Southeast Corporate Credit Union to help credit unions serve the financial needs of member businesses. "We are joining MBS...

A New Direction in Investments: How can a small bank or credit union compete with the giants? Sarasota Coastal Credit Union hopes to turn around its investment business by marching to a different drummer.
November 12, 2004... Growing an investment business has been difficult for Sarasota Coastal Credit Union. Located on the affluent Gulf Coast of Florida, SCCU - with 25,000 members, $177 million in assets and 72 employees - was facing stiff competition from giant...