WEST PALM BEACH — As credit unions celebrate their first 100 years here in the U.S., the financial crisis has some worrying about how they'll survive to see the next 100 years, and all options are on the table: converting to a bank charter, mergers and even a total overhaul of the system could be in the near future for corporate and natural person credit unions alike.
Credit Union Journal asked a variety of experts to discuss how the economy's downward spiral is pushing credit unions to explore all of these options. Here's what some of them had to say about the potential future of the credit union movement.
Future of Corporate System Still Up in Air
NEW YORK — Following a major bailout and the seizure of two major corporate credit unions, the unanswered question remains: what does the future hold for corporate CUs?
More Merger, Conversion Decisions Likely Ahead
PORTLAND, Maine — As credit unions deal with the fallout from the corporate system failures and the general economic downturn, a number of them are eyeing mergers, or even charter conversions as a way to protect member capital.
Despite 'Daunting Changes' to Merger Accounting Method, CU Weddings to Continue
WASHINGTON — Changes to accounting regulations surrounding mergers, particularly the move from the pooling method to the acquisition method, can make the process daunting but it should not be the reason credit unions abandon a planned merger.
