Fake CU Ads Scam Spreads To Wisconsin
PEWAUKEE, Wis. -The fake credit union scam has spread to Wisconsin. Ads for the non-existent "First Rate Credit Union," said to be located in Middletown, N.Y., ran in six major daily newspapers in the state. The ads, similar to those that have appeared in other markets, target consumers with credit problems and promise loan rates as low as 6.9%, hassle-free approval, and free and confidential consultations. At least one of the ads used an 866 phone number, the Wisconsin league reported. A number of people in other areas have already been victimized by paying hefty upfront deposits via Western Union wire transfers. Victims also received what appeared to be a valid loan application that requested personal and financial information.
'Predator' Law Latest To Get Preempted
ALBUQUERQUE, N.M.- Federal regulators with the Office of Thrift Supervision have ruled that portions of New Mexico's new predatory lending law are preempted and not applicable because of federal jurisdiction over nationally chartered savings and loans, the latest in a growing list of federal preemption battles. The Independent Community Bankers Association is also seeking a federal preemption for federally chartered banks, which would also have the affect of exempting federally chartered credit unions. Federal regulators have issued opinions preempting new predatory lending laws in North Carolina, Georgia and the District of Columbia, over the past two years, and in California and Connecticut on separate issues. The new preemption battle comes as Congress is preparing to reauthorize broad federal preemptions of state credit laws.
Another NY CU Gets Big FOM
CORINTH, N.Y.-Hudson River CU has received approval from the state Banking Department to convert to a community charter encompassing almost 600,000 residents in four upstate counties, one of the largest community charters ever granted by the state regulator. The new FOM will allow the $78-million credit union to serve residents of Saratoga, Rensselear, Warren and Washington counties, and the Albany County towns of Cohoes, Watervliet and Green Island. The credit union, chartered to serve workers at International Paper Co., currently serves 135 SEGS.
Fiserv Acquires Insurance Firm
BROOKFIELD, Wis.-Fiserv has completed the acquisition of Insurance Management Solutions Group, Inc., a provider of policy and claims administration services and statistical reporting for the flood insurance market. The company manages and processes almost 80,000 policies and more than 20,000 claims a year.
Schroeder To Step Down
HALES CORNER, Wis.-Mark Schroeder, president and CEO of the $2-billion Corporate Central CU, has announced plans to retire in mid-2004. Schroeder has been president since 1990, and joined CCCU in 1983. D. Hilton Associates is handling the search for a replacement.
Pen-Air Donates $100,000
PENSACOLA, Fla.-The sky's the limit for Pen Air FCU, which has agreed to donate $100,000 to the Naval Air Museum Foundation to help fund the National Flight Academy. The flight academy will be an academic camp used to teach pupils in grades 7 through 12 math and science through the wonders of flight. The academy is seeking to raise as much as $36-million for a 200,000-square-foot addition to the museum for the academy.
U.S. Central To Offer Solution
LANEXA, Kan.-U.S. Central CU said it has signed with SS&C Technologies, Inc., to market the company's Internet-based PortPro Bond Accounting Service to corporate credit unions. PortPro is a browser-based desk top solution that also customized reporting for bond portfolios and provides detailed summaries. It generates accounting summaries for AFS, HTM, and more.