Two Large New Mexico CUs Disaffiliate From League
SANTA FE, N.M.-The $570-million Kirtland FCU and the $1.04-billion New Mexico Educators CU have disaffiliated from the Credit Union Association of New Mexico and CUNA. CUANM Chairman William Jacobs told Credit Union Journal the disaffiliations were due to long-standing political disagreements between the two CUs and the league, though he declined to enter into specifics.
At press time, representatives for New Mexico Educators and Kirtland did not return calls seeking comment. Both CUs posted positive net income for 2010.
In a letter to CUANM's affiliated CUs, Jacobs wrote, "No association is going to be completely in agreement with all of the opinions of its members and never will. Disagreement is healthy when it is voiced, but disassociation for the good of a few is detrimental to all."
CUANM caps its dues at $25,000 annually, meaning the association will lose $50,000 in annual revenue. However Jacobs said the league is well capitalized and will not be making any changes as a result. "As long as we're united, we have a very strong voice across the nation," said Jacobs. "Once we start dividing, we weaken the group. There's no other way to say it."
NCUA Intro's MyCreditUnion Site As 'One Stop Toolbox'
ALEXANDRIA, Va.-NCUA last week unveiled a new financial education site, MyCreditUnion.gov, that the agency said "offers a one-stop toolbox of educational information and personal finance tips designed to help individuals in making smart financial decisions and better choices for their money." In addition, the site explains how credit unions work, where to find a CU to join, and even how to start a CU.
Merger Creates Mountain West Assn.
DENVER-The Arizona, Colorado, and Wyoming leagues will be named the Mountain West Credit Union Association once the leagues finalize their merger, said Dan Finerty, director of marketing and communications for the Credit Union Association of Colorado. League members voted last week to formally combine operations and the results will be announced March 24-26 at the Colorado league's annual meeting. If the merger goes through, operations will be formally combined this June. Scott Earl, CEO of Arizona league, will become president of MWCUA.
Filene, Brooklyn Coop Win Grants
CHICAGO-The Center for Financial Services Innovation last week awarded $1.5 million in Financial Capability Innovation grants to five groups, including $300,000 to the Filene Research Institute and Brooklyn Cooperative FCU, which as part of the Grow Brooklyn project and Piggymojo, and is studying how to use goal visualization, social dynamics and mobile technology to help low-income savers turn impulse buying into impulse saving.
The Filene project, "Lift: Lower Interest for Timeliness," is a loan concept that provides incentives for healthy financial habits. As users make timely payments on their loan, they are rewarded with a lower interest rate. The concept allows users to pay off their loans faster and reduce the amount of interest paid. It also helps them establish healthy financial behaviors and earn the opportunity to bring down their interest rate.
Industry HealthScore Declines
WILMINGTON, N.C.-One company's Credit Union Industry HealthScore for Q4 2010 declined to 2.263, a -2.85% change from Q3 2010 and a -5.34% change from Q4 2009. The score is calculated and maintained by Glatt Consulting, LLC here and is based on a five-point scale, with five being most health. Components include earnings, capital, growth, member relationship, liquidity, asset quality and efficiency. Glatt Consulting said the Q4 data was dragged down by poor scores for growth, efficiency, and earnings.