Dallas-area credit unions get members' OK for merger
Members of Dallas-based Go Federal Credit Union have overwhelmingly voted to merge into America’s Credit Union in Garland, Texas.
Over 1,000 ballots were cast, with 83% voting to join ACU, according to a press release. The deal is still subject to approval from the National Credit Union Administration, which is expected by Oct. 1. The institutions’ operating systems will be combined sometime during the second quarter of next year.
A notice to members of the $140 million-asset Go in advance of the vote explained that the merger was in the institution’s best interest because it would better position the credit union for growth due to ACU’s stronger capital position, a broader branch network, better technologies and additional products and services.
Bert Beal, the current president and CEO of Go FCU, will lead the combined institution. Rebecca McCoy, president and CEO of $244 million-asset America’s CU, will be retiring.
“We believe that our credit unions share similar cultures and commitment to serving our members and communities,” the two CEOs said in a press release. “Together we will be stronger, allowing us to provide our members with the latest in technology, provide them with financial guidance to help them grow progressively, and become more financially secure.”
The combined institution will hold more than $350 million in assets and serve over 37,000 members who live, work or worship in a three-county region.
Go FCU posted a net loss of nearly $63,000 during the first half of 2020, a stark drop from earnings of nearly $345,000 during the same period last year, according to call report data from NCUA. The decline was driven by reductions in interest and noninterest revenue, and a 47% increase in allowances for loan losses, among other factors.