MIDLAND, Texas -
One credit union CEO is ready to share his secret about running a successful, growing CU.
Ray Boss, CEO of Midland Community Federal Credit Union, says that he helped his CU grow through acts of community involvement. Boss plans to talk about what he did–and offer suggestions to other credit unions–at the Credit Union Journal’s Grow Show on April 28.
“I’m choosing this topic because I believe if you want to be a viable credit union, you’ve got to find a way to connect with the people out there because they have so many choices,” he said.
Boss, who has followed in the footsteps of his father who worked as a credit union manager, said the growth of Midland Community FCU can be attributed to the credit union’s community involvement. “I think that is what has helped us significantly,” he said. “It’s something we’ve done for several years, but recently we have been more focused on it.”
The 28,000-member credit union has developed relationships throughout the community, Boss said, including with the sheriff, the mayor and hospitals. He says that community involvement can be achieved by any credit union, and on any budget.
“A lot of credit unions don’t actually connect to their communities,” he said. “The things we are doing have been valuable to the community, not just our members,” Boss said, noting a child-safety program the credit union just hosted, where McDonald’s supplied the food and Albertsons supplied the beverages. “It wasn’t a huge budget for us,” Boss said.
Boss said it’s also important to create an opportunity for members to meet the CU’s staff “on a personal level, instead of just coming to cash a check.”
“We may not have the best rates,” he said. “But there is a relationship here. We want to attract the person to us. We’re not concentrating on having the best rate in town; we don’t need to be. I don’t have to cut my margins so thin to compete.”
Midland is also planning to change its name, and is getting the community involved in that, too, with the help of a suggestion box in the credit union’s lobby. So far “My Community Federal Credit Union” has gotten the most votes.
When Midland Community FCU hosts a community event, the CU calls local radio and television stations hoping for publicity. It also sends fliers to local schools, childcare centers and the YMCA.
“It just takes a little bit of man hours, but not a lot of money,” said Boss, who added that he it is also helps to have volunteers. “We find ways to get somebody involved.”
Boss has been involved in many aspects of the credit union movement throughout his 12-year career with CUs. In 1996, he served as an auditor for the Texas Credit Union League. Later that year he worked for Kelly Community FCU had vice president of operations–a position he held for four years. In 2000, he because CEO at Chemcel FCU, where he moved that credit union from a single sponsor based credit union with declining membership into a community focused credit union growing assets, loans and members.
During Boss’ first year with Midland Community FCU, credit union membership increased 11%, loans increased 32% and the CU has maintained an average ROA of 2.8%. (c) 2008 The Credit Union Journal and SourceMedia, Inc. All Rights Reserved. http://www.cujournal.com http://www.sourcemedia.com
