SEFCU Debuts Facebook Banking Application
ALBANY, N.Y.–In a nod to the social networking movement, SEFCU has created its own page on Facebook.
The SEFCU page provides members and non-members with financial information and with social opportunities among each other.
“This is our latest enhancement to our online experience for members, bringing the convenience of banking with SEFCU in just a click of the mouse to Facebook, the most popular social network on the Web,” said Michael Castellana, president of SEFCU. “This is another way that we’re bringing banking services to our members to meet their lifestyle needs and demands...leveraging the best in banking technology while at the same time using their social networking site.”
The Facebook Banking Application was developed for SEFCU, formerly State Employees FCU, by MShift Inc. of San Jose., Calif, which is also the creator of a variety of voice and online banking applications.
CUDL Seeks A Bigger Embrace Of Auto Lending
RANCHO CUCAMONGA, Calif.–Credit union owners of CU Direct Lending are lobbying NCUA to permit the CUSO to create its own acceptance corporation, which would allow it to finance auto sales directly.
Henry Wirz, president of SAFE CU, told NCUA in a recent comment letter on the agency’s proposed CUSO rule, that CUDL should be allowed to establish an acceptance corporation that would buy large volumes of loans then sell them off to credit unions where the auto buyer was eligible to join. “Credit unions must do what it takes to keep their share of the auto lending market,” said Wirz. “CUDL can help credit unions by forming an acceptance corporation.”
The ability of a CUSO, like CUDL, to finance vehicle purchases, would go a long way to assuring dealers of a “reliable and consistent partnership” with credit unions, said Teresa Halleck, president of The Golden 1 CU.
As the biggest indirect lender for credit unions, CUDL, which is owned by 76 credit unions and eight other credit union entities, arranges auto loans for 660 credit unions in 48 states through 9,200 dealerships. Last year, CUDL arranged 556,000 auto sales worth $12 billion.
SAFE’s Wirz acknowledged NCUA concerns over extending such powers to credit union-owned service organizations, in light of a similar model used by failed subprime auto lender Centrix Financial. The difference with the Centrix model, he said, is that a credit union-owned and operated CUSO “has stronger controls and more transparency than non-credit union-owned third parties” like Centrix.
In the dog-eat-dog world of auto sales, CUDL said the current restrictions from financing auto sales puts it at a significant disadvantage to such competitors as DealerTrack and Route One, which are able to finance large volumes of auto transactions at a time. “Both DealerTrack and Route One are very well-financed and hard-driving competitors,” said Tony Boutelle, president of CUDL, in a comment letter on the NCUA proposal. “Where CUDL is the dominant system in a particular vehicle dealership, DealerTrack and Route One anxiously await for the moment that CUDL loses favor with that dealership.”
Banks, CUs Partner On Mortages
WORCESTER, Mass.–Representatives from 11 area lenders joined city officials last week at the Digital CU Center to launch a new program aimed at pumping as much as $75 million into the ailing local housing market.
Participants in the “Buy Worcester Now” program will be offered financing up to 100% at below market rates with no down payment, low or no monthly mortgage insurance payments, employer assistance and mortgage payment protection in case of job loss.
Participating local retailers are also offering special discounts and deals to new homebuyers on furniture, for cable television and other merchandise.
As part of the program, local companies and colleges are encouraging employees and students to purchase homes through the program and will offer financial assistance of up to $5,000.
The lenders, which have pledged $75 million in mortgage funding, include: Digital Employees FCU, Worcester CU, Bank of America, BayState Savings Bank and Commonwealth National Bank, among others.(c) 2008 The Credit Union Journal and SourceMedia, Inc. All Rights Reserved.http://www.cujournal.com http://www.sourcemedia.com
