LSI Hits 10,000 Loan Application

NEW YORK - Citibank is reporting significantly increased credit costs within its consumer banking business, with some analysts saying the losses are a signal of broader problems among consumers. The bank said it also has boosted reserves to cover some losses "not yet visible" and to address "declining new residential sales." "This quarter, we continued to see higher delinquencies in our overall consumer mortgage portfolio, and our reserve increase reflects these trends," said Citibank's CFO Gary Crittenden. The company had nearly $6 billion of unexpected losses and charges in the third quarter. Approximately 44% of the charges and losses, or $2.6 billion, came in the form of higher credit costs, largely related to its consumer portfolio. The $2.2-trillion bank boosted its loan loss reserve by $245 million. (c) 2007 The Credit Union Journal and SourceMedia, Inc. All Rights Reserved. http://www.cujournal.com http://www.sourcemedia.com

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Silver Spring, Md. - The National Foundation for Credit Counseling has launched of an online resource to assist homeowners who may be at risk of losing their homes.

CHARLOTTE, N.C. - Bank of America is raising the surcharge for non-customers using its ATMs to $3 from $2 in most markets. The higher fee has gone into effect already in many markets, but will rise in New York and Massachusetts on Aug. 31. For reasons not disclosed, U.S. Public Interest Group reported that BofA will not increase the surcharge in Chicago.

In a story on local financial institutions and the advice they provide, the Harrisburg Patriot-News included Belco Community CU and Pennsylvania State Employees CU, along with PNC Bank. The story focused on helping consumers distinguish between financial "advice" and a financial "sales pitch." The story noted that PSECU has expanded its financial services division from three people to 11, and that members of BCCU can contact a counselor by phone to receive information about budgeting, home buying, and debt management. Free one-hour counseling sessions are also available through a contracted third party company.

Throughout 2007, the Credit Union Journal is profiling the credit unions of each U.S. state and D.C. Rather than appear in alphabetical order, the states are being featured in the order they became states.

ALEXANDRIA, Va. - Now that NCUA has enacted new rules to provide greater "transparency" in CU operations, just what will it mean in practice?

INDIAN WELLS, Calif. - The CUNA Operations, Sales and Service Council named Spokane Teachers CU and Ascend FCU winners of the OpSS Council's Best Practices Awards for sales and service management and branch design, respectively.

AUSTIN, Texas - There are a number of compelling reasons to offer business loans-diversification of asset and member base, potential fee income and the like-but perhaps the most compelling reason of all: members want them.

Oxford Federal Credit Union, Mexico, Maine, promoted Wendy Martin to mortgage lender, named Kim Driscoll, Audra Skillen and Carrie Phelps financial service representatives and Steven Hildebrand marketing coordinator.

INDIAN WELLS, Calif. - The six CUNA Councils collectively will sponsor the kickoff event featuring the band America at the 2008 Government Affairs Conference in Washington, the head of one council said.

LAS VEGAS - The "Perfect Storm" that is today's mortgage market is a "once-in-a-lifetime opportunity" for credit unions, according to two lending consultants.

SACRAMENTO, Calif. - A former branch manager for The Golden 1 CU who admitted to stealing more than $73,000 through fake withdrawals was sentenced last week to 180 days in jail and ordered to pay restitution to the credit union.

LATHAM, N.Y. - Representatives from the New York State CU League recently met with the New York State Banking Department and its newly appointed superintendent, Richard Neiman, in New York City to talk about regulatory and legislatives issues.

LAS VEGAS - The American Credit Union Mortgage Association is headquartered in the home of the World Series of Poker, and ACUMA's president used a poker analogy to advise CUs of the opportunity offered them by the current mortgage market.

WEST PALM BEACH, Fla. - CU Journal gives readers the opportunity to weigh in on a variety of issues. Below are the results of a recent online poll. To add your two cents or see past surveys, visit www.cujournal.com.

SAN JOSE, Calif. - Credit quality at credit unions has yet to suffer some of the declines being seen in other markets, but that isn't to say loan officers aren't keeping an eye out for pink flags that might turn red.

PEMBROKE PINES, Fla. - Power Financial CU is offering a "360-degree transformation, including financial, physical, emotional and lifestyle counseling" to one local woman. It is valuing the services being offered at $4,000. The CU, in conjunction with the Women's Business Mastermind Group, which says it is based on the CU-like premise of "women helping women," said it believes financial fitness is as important as all other aspects of life.

ALBUQUERQUE, N.M. - Credit unions in New Mexico are reporting that college students enticed with offers of free food discovered that the free food came with a price-they must apply for a credit card.