CO-OP Financial Services Declares $25M Dividend
RANCHO CUCAMONGA, Calif.-CO-OP Financial Services said last week it is paying its members a $25.9-million patronage dividend this year, up 73% from last year's $15 million, as transaction volume soared on the credit union-owned payments network. The dividend will be paid to CO-OP Financial's 1,200 credit union owners.
"The substantial increase in patronage for 2012 compared to the previous year is partly attributable to the success of the series of mergers, acquisitions and partnerships we entered at the end of 2011," said Stan Hollen, president of CO-OP Financial. "Throughout 2012, we have been dedicated to making sure those investments contribute to a bright future for our movement."
Lake Trust CU Becomes First To Deploy MasterPass
LANSING, Mich.-Lake Trust CU last week became the first credit union in the U.S. to deploy MasterCard's MasterPass digital wallet service. The $1.6-billion Lake Trust has been participating in a MasterPass pilot through cards processor PSCU since late February. Credit union processors CO-OP Financial Services and TMG are also offering the new online card. The three credit union card processors also joined with Visa in November to offer Visa's V.me digital wallet service to credit unions.
Lake Trust's implementation of MasterPass provides online shoppers with a simple check-out process by eliminating the need to enter detailed shipping and card information with every purchase. In addition to MasterCard cards, consumers can use other branded credit, debit and prepaid cards.
Lake Trust's members can register their payment cards, store their payment, billing and shipping information and set their security credentials and preferences through the credit union's own branded MasterPass site. Once registered, members can select MasterPass as their payment method at participating merchants and speed through checkout.
Judge Recuses Self In NCUA Lawsuit
WICHITA, Kan.-One of two federal judges scheduled to hear NCUA's numerous suits against Wall Street banks over the corporate credit union failures has disqualified himself because of a potential conflict of interest in the cases.
The self-disqualification comes as all of the cases filed in Kansas-because they involve Lenexa, Kan.-based U.S. Central FCU-were reassigned to the same two judges, John Lungstrum and James O'Hara. But O'Hara disqualified himself because one of the dozens of defendants in the cases, Residential Funding Mortgage Securities, is represented by a law firm that employs the judge's daughter. Even though the daughter is not working on the case, Judge O'Hara decided to disqualify himself because of federal rules requiring disqualification when a judge's impartiality could be reasonably questioned.
Johnson Named Idaho League CEO
BOISE, Idaho-Chris Johnson has been named the new president/CEO of the Idaho CU League, replacing Alan Cameron, who will retire June 30. Johnson will officially begin June 3. Most recently, Johnson was associated with The Collingwood Group as an independent consultant providing legal expertise on mortgage purchase and servicing clients as well as compliance consulting services. Johnson previously worked as VP-state governmental affairs from 2006-10 for CUNA, and prior to that was a legal counsel with Fannie Mae
Oregon CUs Pilot Deposit Plan
BEAVERTON, Ore.-Credit unions in Oregon are participating in a "Credit Union Public Funds Collateralization Program" with a goal of helping qualified CUs to accept public funds deposits exceeding federal insurance limits, according to the Northwest Credit Union Association. The NCUA said it is the first time such a collateralization pool would provide insurance coverage to deposits above the NCUSIF cap of $250,000.
Participating credit unions would post securites as collateral against uninsured public funds balances. The 10 participating credit unions are United Community, Pacific Crest, OSU, OnPoint, Advantis, MaPS, Northwest Community, Old West, Wauna, and Oregon Community.
