MasterCard Selects
PSCU For PayPass Test
PURCHASE, N.Y.-MasterCard has chosen PSCU to have its credit unions test the credit card company's new PayPass Wallet, a digital wallet that may be sub-branded by credit unions. MasterCard said the new solution will make it faster and easier for consumers to make purchases in stores or online by allowing them to securely pay with a simple click of the mouse, touch of the tablet screen or tap of their smart phone. PayPass Wallet Services delivers three distinct components-PayPass Acceptance Network (PayPass Online and PayPass Contactless), PayPass Wallet and PayPass API.
Lockheed FCU To Change
Name To Logix FCU In July
BURBANK, Calif.-The $3-billion Lockheed FCU will change its name to Logix FCU July 9 as part of an effort to deemphasize its long-time ties to its original corporate sponsor. Lockheed FCU said research showed consumers were confused over who could join the credit union and whether they had to be Lockheed employees.
"This change is one of many steps we are taking to positively position the credit union for sustained, healthy growth for the next 75 years," said CEO David Styler. "We chose the name Logix because it is distinctive, memorable, and suggests a smarter, more logical banking choice."
The name change process was overseen by Weber Marketing Group, Seattle.
Hyland Named Chair Of NeighborWorks
ALEXANDRIA, Va.-NCUA Board Member Gigi Hyland has been named board chair of NeighborWorks America, which concentrates on an affordable housing and community development. Hyland has been the NCUA's representative to the NeighborWorks board since 2008. In the past five years, NeighborWorks' affiliated organizations have generated more than $19.5 billion in reinvestment in their communities, according to the organization.
Trial Begins In Trashed Foreclosed House
SAN DIEGO-A former police officer and his wife began trial last week for allegedly causing some $210,000 of damages to their $700,000 house after their credit union, San Diego Metropolitan CU, foreclosed on them two years ago. Doors, gates, countertops, cabinets, appliances, light fixtures, chandeliers and air conditioners were among the items removed from the house, many of which were found in the days after the rampage in storage space rented by Robert and Monique Acosta. Walls and carpet had been spray-painted and trees and bushes were thrown into the pool and whirlpool spa. Credit union representatives estimate the couple caused $165,000 in damages and stole $44,000 worth of appliances and fixtures. Robert Acosta, 40, and Monique Acosta, 36, are both charged in state court with carrying away or disposing of items from a mortgaged or foreclosed property, which carries a penalty of up to four years in jail.
Class Action Suit Gets Prelim Nod
DETROIT-A federal judge last week gave preliminary approval to a class action suit claiming AAC Community CU failed to disclose the fees charged to non-member users of its ATM, an action brought by a prolific local retiree who has traveled the country to file such suits under the Electronic Funds Transfer Act, or EFTA. The judge's order comes as Nancy Kinder filed two more EFTA suits, against Georgia banks Bryan Bank & Trust and Southeastern Bank, the 36th and 37th such suits she has initiated. Kinder and her boyfriend, Ray Harrison, have filed more than 50 EFTA suits in 15 states, half of them naming Michigan financial institutions.
Last week's order in the AAC Community case clears the way for Kinder to get verification from the 1,155 non-members who withdrew cash from the ATM in question from April 26, 2010, to April 25, 2011. Each of the users will be entitled up to $250 if they can verify they used the ATM during that period. Class members will have 60 days to submit their claims. The Grand Rapids CU has agreed to set aside $46,000 to settle the suit and will reclaim any funds not paid to verified claimants.
Workers' Plans In-Store Branch
FITCHBURG, Mass.-Workers' CU has applied to the Department of Banking to open its first in-store branch, in Hannaford Brothers supermarket in Chelmsford. The $880-million credit union operates 14 branches, including two in Chelmsford.
CU Backs Out Of Bldg. Restoration
LAKELAND, Fla.-MidFlorida FCU has canceled plans to restore the 93-year-old federal building in downtown Lakeland, saying the project became too complicated and expensive. Officials said the credit union's focus changed in the past few years after it acquired credit unions in Tampa and began building additional branches. MidFlorida Federal Credit Union had planned to spend $1.5 million on the vacant building, the city's first post office, to restore its 1919 style. The space would have been used for meetings and conferences. Instead, the $1.3-billion credit union plans to convert the 10th floor of its downtown building into a banquet hall.
Unemployment Insurance Offered
NEW YORK-United Nations FCU said its UNFCU Financial Advisors CUSO will offer private unemployment insurance to help supplement state unemployment benefits for those who have lost their jobs. The product is being offered through Assura Group of N.Y. Ltd, and is underwritten by the Great American Insurance Group. The new offering, called IncomeAssure, replaces 50% of a person's former earnings prior to unemployment. Clients can insure annual between $50,000 to $250,000 against the risk of losing a job.
Ongoing Operations Offers Freebie
LAS VEGAS-Ongoing Operations last week said it will make available free its technical support package to any new CUSO formed by credit unions. Kirk Drake, president and CEO of Ongoing Operations, told Credit Union Journal OGO will provide its cloudworks virtual desktop, hosted e-mail, phone and other business tools designed to help CUSOs launch and minimize the capital required to innovate.
Drake spoke with CU Journal at NACUSO's Annual Conference here.
