WASHINGTON - Has the historic credit union business model of borrowing short, lending long and living on the spread become passé? In the past, fee income helped to make up the difference, but that’s proving to be hard to do as well.

FAIRFAX, Va. - Rising gas prices are having an effect on some credit unions, whether it be branch traffic or what members are seeking when they are in those branches.

MADISON, Wis. - Mortgage growth through May of this year is leading loan growth, which is up 2.8% overall after increasing 1% during May. Fixed-rate first mortgages grew 2.6%, according to analysis by CUNA, which said the 2.8% rise in loans outstanding year-to-date 2008, compares with a 1.6% rise for the comparable five-month period in 2007.

SAN FRANCISCO - In one of the biggest fire sales ever in the credit union industry Patelco CU took control last week of two medium-size credit unions that have fallen victim to the area’s real estate crash, Cal State 9 CU and Sterlent CU.

WASHINGTON - Javier Sanchez, NAFCU’s associate director of legislative affairs, has been elected chairman of the Military Saves National Partners Committee. Sanchez, a former U.S. Marine who joined NAFCU in 2007, specializes in defense CU issues and provides advocacy on behalf of CUs on financial services and other issues. The National Partners Committee supports the Military Saves program through the active involvement of Military Saves National Partners. Meanwhile, NAFCU’s Regulatory Compliance Director, Anthony Demangone, received a bronze EXCEL award from the Society of National Association Publications for his “BSA dating” Compliance Central column, which appeared in the July/August 2007 edition of The Federal Credit Union magazine. (c) 2008 The Credit Union Journal and SourceMedia, Inc. All Rights Reserved.http://www.cujournal.com http://www.sourcemedia.com

TALLAHASSEE, Fla. - Officials with Envision CU said they have been told the new card breach forcing them to reissue Visa credit and debit cards was the result of an invasion of popular restaurant and gaming company Dave & Buster’s.

Earlier this year during Credit Union Journal’s Grow Show one of the speakers, who has had some terrific success in growing a small business into a large one, urged credit unions to finally “come out of the closet” and admit to being a cooperative.

NBC’s Gregory To Keynote Event

The Credit Union Journal is announcing its Call for Entries for its Best Practices awards. It's easy to enter!

JULY

Regarding CUNA CEO Dan Mica’s salary surpassing $1 million, once again it looks like we got the best leadership money can buy. So this must explain where all that CUNA dues money is going.

In the last year, the subprime issue has upended the mortgage market; numerous trading firms and banks have declared huge losses, and the dollar’s value has even dipped below the Loonie. Americans are overwhelmed with this financial upheaval and are seeking stability and credibility.

MADISON, Wis. - Credit unions with plans for being around for the future are going to need one critical ingredient, according to a new study: engaged employees.

Organizational culture refers to the unwritten, unspoken, but powerful “rules of the game” that determine appropriate ways to “think, act and feel.” The culture determines the employee experience and the degree to which mission and values are realized.

NAPERVILLE, Ill. - Credit unions across Illinois are participating in “Shred Month” as part of an effort to both protect people from identity theft and raise awareness of credit unions as advocates for consumers.

LAS VEGAS - Credit unions looking to move into business services would be wise to consider offering 401(k) retirement plans to SEGs, business owners and others, according to a panel at NACUSO’s annual conference here.

ALEXANDRIA, Va. - Credit unions are calling on NCUA to adopt its proposed CUSO rule in order to broaden the kind of activities the credit union subsidiaries may engage in.

‘Success’ Workshops Are Set

BOSTON - Fourteen credit unions in Massachusetts, Rhode Island and Vermont will share more than $500,000 in funds from the Federal Home Loan Bank of Boston to help them provide matching homeownership grants for low-income members.

WASHINGTON - The Senate, among its final acts before adjourning for its annual Fourth of July recess, confirmed Virginia banker and outspoken credit union critic Elizabeth “Betsy” Duke to a seat on the Federal Reserve Board.