DES MOINES, Iowa – TMG Financial Services, a credit card servicer owned by the Iowa CU League, yesterday said it has purchased its first credit union card portfolios, joining a growing competition for credit union portfolios.
The portfolios are from: St. Cloud FCU, St. Cloud, Minn.; MEMBERS 1st Community CU, Marshalltown, Iowa and Wyo Central FCU, in Casper, Wyo., and have a total of 5,000 accounts and $6.3 million in account balances.
TMG Financial, a unit of The Members Group, a CUSO owned by the Iowa league and Iowa Corporate CU, will operate the credit card programs for each of the credit unions under an agent issuer agreement, allowing the credit unions to continue earning income from the cards.
TMG joins an increasingly crowded field vying for credit union portfolios, which includes credit union-owned Town North Bank, Wescom CU, U.S. Bank’s Elan Financial Services, First National (Bank) of Omaha’s InfiCorp., and Bank of America’s MBNA unit.
