ALBUQUERQUE, N.M.—Two Albuquerque, N.M., CUs have agreed to merge.
The $921-million First Financial Credit Union and $80-million Southwest Federal Credit Union combination would expand First Financial's branch network by three locations.
The deal has been in the works for the last year, according to Randy Lunsford, president and CEO for Southwest Federal Credit Union, Albuquerque Business First reported.
“We just felt like the time had come that we had to look at a merger,” Lunsford told Albuquerque Business First.
Southwest Federal Credit Union sought out the merger and talked with many credit unions across the state. Southwest then sent out a request for proposals and was contacted by six credit unions interested in a potential merger, Lunsford said.
“The markets change, and it’s become harder and harder for a medium-sized credit union to survive within the metro of Albuquerque because of the competition,” said Lunsford.
Southwest Federal Credit Union has about 26 employees. No layoffs are expected to occur related to the merger, Albuquerque Business First said.
“Everyone that is employed at Southwest Federal Credit Union would have a job here if they want it,” Ron Moorehead, president and CEO of First Financial Credit Union, told Albuquerque Business First.
Southwest Federal Credit Union’s members still have to vote to approve the merger, which is expected to happen next spring.