NY Gov. Vetoes Bill Banning Rate Increases
ALBANY, N.Y. -Gov. George Pataki last week vetoed a bill that would have protected credit card holders from increased interest rates because they are late paying other bills. The Governor's veto came after heavy lobbying by MasterCard and JP Morgan Chase. The bill would have made New York the first state to bar credit unions and banks form raising interest rates solely because a card holder failed to pay an unrelated bill on time.
CRM Expanded To The ATM By NCR Corp.
DAYTON, Ohio -NCR Corp. said it is preparing to roll-out a function that will connect its ATMs to a customer relationship management system, expanding cross-sell opportunities for credit unions and banks. The company's Customer Power Manager will allow financial institutions to customize their sales and marketing at the ATM. The company introduced the product, part of its Aptra Relate CRM suite, overseas in May, and is in the process of introducing it in North America.
Library Of Congress FCU OK'd To Serve DC
ALEXANDRIA, Va.-NCUA reported it has approved an application from Library of Congress FCU to serve the entire city of Washington, D.C., as qualified as an underserved area. The $130 million credit union is the fourth to by approved to serve the Capital City as an underserved field of membership, and the second this year. Agriculture FCU was granted the same underserved FOM in February. NCUA Washington is one of more than half-dozen major cities NCUA has approved as FOMs under its underserved policy. Others are Houston, Philadelphia, Baltimore, Tucson, St. Paul and Miami.
Nine Members Indicated For Overdrawing ATMS After Katrina
NEW ORLEANS-Nine members of ASI FCU have been indicted on charges of intentionally overdrafting their accounts in the wake of Hurricane Katrina, when a computer glitch allowed unlimited ATM withdrawals. In all, the nine withdrew more than $90,000 in funds they did not have. More indictments may be possible, according to U.S. Attorney Jim Letten.
The overdrafts took place between Aug. 31 and Sept. 17, 2005 after Katrina had caused power outages and other problems that affected the ATM systems. According to the indictments, the defendants made performed both debit transactions for which funds were not available and made withdrawals, in some cases as many as 10 per day.
Charged were: Chassity Irving, 32, Atlanta, $18,333; Shelita Grandpre, 23, Dallas, $14,056; Aaron Frazier, 42, Westwego, $10,489; Renesha Brown, 24, Houston, $8,482; Lavonzell Bartholomew, 34, Kenner, La., $8,220; Charlotte Whitley, 48, Houston, $8,023; Graylyn Whitley, 28, Houston, $7,942; Michelle Taylor, 25, Atlanta, $7,487, and Tonia Brown, 24, Harvey, La., $6,774.
U.S. Attorney Letten said each of the defendants faces up to 30 years in jail, $1 million fine, five years of supervised release and restitution.
Las Vegas CU Distributes $1K Vouchers To New Teachers
LAS VEGAS - Silver State Schools CU handed out $1,000 vouchers to new teachers during a welcome luncheon at University of Las Vegas's Cox Pavilion. The funds are an advance on a promised $2,000 signing bonus guaranteed by last year's state legislature. The full bonus won't be available until the end of October, but many of the new teachers are in immediate need of the money. The group of 700 were addressed by the state's two senators, Harry Reid and John Ensign, and Rep. Shelley Berkley.
CUs, Banks In Conn. Town Asked To Help In Tax Effort
BRIDGEPORT, Conn. - Credit unions and banks are being asked to help the city collect $20 million in back taxes by allowing tax-collectors to seize member accounts. Bridgeport Post Office FCU said the city has asked to review a list of 120,000 delinquent taxpayers to determine if any of them have an active account with them. Authorities say state law allows the city to serve credit unions and banks with tax warrants and seize funds.
