South Carolina Federal Credit Union set for more merger growth
South Carolina Federal Credit Union in North Charleston is set for another merger.
After having absorbed Spartan FCU last year, the $1.8 billion-asset institution could grow further this year if a merger with Spartanburg City Employees Credit Union is approved by that CU’s members. SCE FCU, chartered in 1961, serves city employees, as well as those of the Spartanburg Housing Authority and Spartan Transit.
A member vote is expected to take place in late May. The coronavirus pandemic has altered the credit union merger landscape, with deals taking place less frequently than normal. Spartanburg City Employees FCU expects to hold an in-person vote but also included a mail-in ballot with a letter to members announcing the intention to merge.
SCE FCU holds just $7.3 million in assets and serves fewer than 900 members. An April 6 notice to members indicates the merger will increase efficiencies and provide scale. Members will also get access to more products and services and additional branch locations and ATMs. Increased technology services are also likely; SCE FCU’s website does not include an online banking option.
Spartanburg City Employees’ headquarters is expected to be converted to a Spartan Federal branch, according to the notice.
Call report data from the National Credit Union Administration shows Spartanburg City Employees FCU posted a net income of $59,652 in 2019, an increase of nearly 24% over its earnings for 2018.
South Carolina Federal serves more than 160,000 members.