CHICAGO–During the last four months of 2016 credit union CEOs made road trips to visit with their peers, were hit by new types of cyberthreats, and began preparing for what a new presidential administration and Congress might mean. Below, CUToday.info highlights some of the top stories of September through December of 2016.
Week of Sept. 5, 2016
DALEVILLE, Ala.—Believing there’s far too little collaboration within the movement, execs from four credit unions recently went on a “Learning Journey”—a two-day visit to three progressive credit unions in Georgia to learn how they run their businesses.
NEEDHAM, Mass.–One CU, founded to serve Polaroid, is sharing how low costs and a virtual operation have helped to drive 12% growth--with more planned.
Wall Street Backing Their Own Fintech Start-Ups
NEW YORK–Wall Street banks are demonstrating that fintech start-ups aren’t limited to Silicon Valley. Companies such as Zelle and Concord are fintechs that have been launched by the nation’s biggest banks as a means of protecting their own turf and growing their marketshare.
Looking for a Raise? Many CUs Plan On Giving Them
WASHINGTON—About 80% of credit unions anticipate providing salary increases in 2017 for members of their management teams—including the CEO—while approximately 85% are planning increases for their non-management employees.
Week of Sept. 12, 2016
ST. PETERSBURG, Fla.–24 hours. 18 teams. And one good idea. A look at how PSCU's Knockout competition has evolved and grown.
The Reverse Stage Coach Robbery
SAN FRANCISCO–The $185 million in fines Wells Fargo is paying for a massive, company-wide scam that involved opening accounts never requested by customers may pale compared to other developments that have followed, not to mention damage to its brand.
CU Cuts Ties With NFL Player Who Knelt During National Anthem
COLORADO SPRINGS, Colo.–Air Academy FCU said it has “ended its partnership” with Denver Broncos’ linebacker Brandon Marshall after the player knelt during the playing of the national anthem during last week’s NFL opening game, the Super Bowl rematch between the Broncos and the Carolina Panthers.
Week of Sept. 19, 2016
MOHEGAN LAKE, N.Y.–One small CU has partnered with a fintech on a unique sweep account that is boosting its loan volume while also helping members to lower what they are paying on card debt.
What Would Founding Fathers Think of CFPB? What CUs Were Told
WASHINGTON–During NAFCU's Congressional Caucus here credit unions got an earful on everything from threats to CU taxation to why Jefferson and Adams would have opposed the CFPB.
Sen. Warren Wants Renewed Efforts To Investigate, Prosecute Financial Execs
WASHINGTON–Sen. Elizabeth Warren (D-MA) is marking the eighth anniversary of Lehman Brothers’ bankruptcy with a renewed effort to investigate—and perhaps even jail—more than two-dozen individuals and corporations who were referred to the Justice Department for possible criminal prosecution in 2011 by the Financial Crisis Inquiry Commission.
Week of Sept. 26, 2016
CUNA Tech/OpSS Councils Coverage: Why 8-Year-Olds Are So Important
LAS VEGAS–It isn't MIllennials credit unions should be watching, it's the next generation, according to one person who offered a fascinating look at what's ahead.
Payday Loan Trade Group Accused of Manufacturing ‘Positive’ Stories
WASHINGTON–A consumer group is accusing the trade association for the payday loan industry of fabricating some of the “personal” stories it has included in a press release it published that claimed the CFPB was ignoring “positive” stories from payday loan customers.
New Cyber Center For Credit Unions
MERRITT ISLAND, Fla.—To help prevent threats to the country’s infrastructure, Information Sharing and Analysis Centers (ISACs) have been in place since the terror attacks of Sept. 11, 2001. But not until recently has there been an organization focused on the specific cyber intelligence needs of credit unions.
Week of Oct. 3, 2016
What Summer Break? 400K New Members Added During July
MADISON, Wis.–Loan volume remains robustly steady at credit unions, while more than 400,000 new members joined a CU during July. At the same time, reports CUNA Mutual’s latest Trends Report, the pace of credit union consolidation has slowed considerably.
Top 22 Performing CUs Win Crystal Performance Awards
LOMBARD, Ill.– Raddon Financial Group has announced the winners of its Crystal Performance Award for credit unions, which recognize the top 22 performing CUs among the 500 that are part of its Raddon CEO Strategies Group.
ATM Fees Set Another Record, But Some Relief In Different Fee Type
NEW YORK – ATM fees set a new record high for the 10th year in a row, with the total cost of using an out-of-network ATM withdrawal rising to $4.57, according to the 19th annual checking survey conducted by Bankrate.com.
Week of Oct. 10, 2016
CFPB Structure 'Unconstitutional,' Court Rules
WASHINGTON–The Consumer Financial Protection Bureau’s structure is unconstitutional, according to a ruling by the U.S. District Court of Appeals here. The 2-1 ruling, which came in the case PHH Corp. v. CFPB, is being hailed by both CU trade associations.
McWatters Says NCUA On Solid Legal Ground With MBL Rule
CHICAGO—NCUA Board Member Mark McWatters believes the agency is standing on solid legal ground with its new MBL rule.
Navy Federal Ordered to Pay $28 Million For Debt Collection Practices
WASHINGTON—The Consumer Financial Protection Bureau has fined Navy FCU $28.5 million for “improper” debt collection practices.
Week of Oct. 24, 2016
NCUA Holds Budget Briefing; CUs Challenge Agency's Spending
ALEXANDRIA, Va.–NCUA held a budget briefing here at which two members of NCUA’s senior staff and seven people from the CU community offered their views, with one CU CEO saying his own CU spends more time justifying proposed expenditures than does the agency itself.
And The Top Concern Among Credit Unions Is…
ARLINGTON, Va.—Merchant data breaches remain the top concern among credit unions, according to NAFCU’s latest Economic & CU Monitor survey.
McWatters Offers Reminder On IRR Supervisory Tool, Offers CAMEL Update
ALEXANDRIA, Va.–NCUA Board Member Mark McWatters is reminding CUs that NCUA will roll out a revised interest-rate-risk supervisory tool that examiners will employ beginning in the first quarter of 2017.
Week of Oct. 31, 2016
LAS VEGAS–Behind Cirque du Soleil is a multi-billion-dollar operation that isn't about acrobatics--it's about the human capital. During the California and Nevada leagues' meeting here, Cirque's management team talked about its approach to people and also shared some of the lessons it has learned along the way.
Coverage From CUNA Mutual’s Discovery Conference: A Week of Discovery
MADISON, Wis.–In CUToday.info's The Boost, five stories were highlighted as part of 'Discovery Week,'
‘War’ Taking Place in Credit Card Offers
NEW YORK—Is a credit card “rewards war” taking place? It appears to be. The competition in credit cards rewards programs is only becoming more fierce, as more issuers pour money into their programs and sweeten the incentives.
Week of Nov. 7, 2016
What The Election Results, Donald Trump Victory Could Mean for Credit Unions
WASHINGTON–As President-elect Donald Trump continues to work his way through the transition to taking office and making appointments to various departments and agencies, there has been plenty of discussion around what might happen to the leadership at NCUA.
ALEXANDRIA, Va.–In an interview with CUToday.info, NCUA responds to one analyst allegations that its new field of membership rules could mean the risk of credit unions engaging in a practice for which some banks have long been criticized: "redlining" certain communities and areas.
3 CUs Collaborate on Bank Transfer Day Promo
SAINT JOSEPH, Mich.–The sixth anniversary of Bank Transfer Day took place over the weekend, with three credit unions here among those that tied in related promotions.
Week of Nov. 14, 2016
Study Suggests Strong CU Membership Growth Could Be Hurting Level of Service
ANN ARBOR, Mich.–Is the ongoing membership growth at credit unions hurting member service levels? A new analysis suggests that could be the case.
Agency Reduces Overhead Transfer Rate
ALEXANDRIA, Va.–At its meeting here, the NCUA Board approved a two-year budget, decreased the Overhead Transfer Rate for next year, was told a premium is likely going to be necessary to shore up the NCUSIF's equity ratio, and got an update on the health of the NCUSIF itself.
NCUA Approves Budget for 2017, 2018
ALEXANDRIA, Va.–The NCUA board has approved a 2017 operating budget of $298.2 million and a 2018 budget of $312.1 million.
Week of Nov. 21, 2016
Still Not Getting the Business
Michael Moebs, Moebs $ervices
LAKE FOREST, Ill.—Small business lending among all FIs has yet to climb back to pre-recession levels, and the issue is bigger among smaller banks and CUs.
Credit Unions Roll Out Black Wednesday/Black Friday Deals
PLATTSBURGH, N.Y.—Credit unions aren’t leaving the holiday week special offers just to retailers.Many CUs are encouraging members to get their holiday financial shopping done early this year with deals starting today—and the best offers going to those who show up the soonest.
Visa No Longer Steering Debit Transactions Its Way
WASHINGTON–Visa has announced it will no longer steer debit transactions to its own processing network following an investigation by the Federal Trade Commission and a ruling by the Federal Reserve.
Week of Nov. 28, 2016
Can Two Regulations Really Be Cut For Every New One Enacted?
WASHINGTON–President-Elect Donald Trump's call for two regulations to be eliminated for every one new rule. Can it be done in credit unions? Here's what the analysts say.
Wells Fargo Experiences Dramatic Decrease in Customer Activity; Senator Wants Investigation
SAN FRANCISCO—Wells Fargo’s latest customer activity data reveals a 27% decline in new account openings from September to October of this year, and a dramatic 44% decrease compared to year-ago levels.
CUs Say They Appreciate Exam Improvements, But Also Say ‘Here’s What Else Can Be Done’
ARLINGTON—While NCUA is making improvements to the examination process, a new report indicates that credit unions recognize the improvements that have been made, but also believe more can be done.
Week of Dec. 5, 2016
For First Time, Insured Deposits at U.S. Credit Unions Surpass $1 Trillion
MADISON, Wis.—For the first time in credit union history, CU savings balances rose above the $1-trillion mark, according to CUNA Mutual Group’s latest Credit Union Trends Report.
OCC To Consider Special Purpose National Bank Charter for Fintechs
WASHINGTON — The Office of the Comptroller of the Currency (OCC) said it will move forward with considering applications from financial technology (fintech) companies to become special purpose national banks.
During Visit At CU, Rep Says Regulatory ‘Changes’ Are Coming
SUMTER, S.C. – During a visit to SAFE Federal Credit Union here, U.S. Rep Mick Mulvaney said that with Republican control of both houses of Congress and an incoming Republican president, “we can start making some changes.”
Week of Dec. 12, 2016
CYBERSPACE—How devious have some ransomware attacks become? For one credit union that’s been hit twice, it has even involved a dead member. That’s why that same credit union says that to battle growing ransomware attacks it takes a combination of employee training and technology.
Serving the (Still Significant) Underserved
PARIS/BERKELEY, Calif.–New research has found that while the United States has witnessed extraordinary economic growth since the 1970s, as many CUs already know and as the recent elections may demonstrate, more than 100 million Americans have been largely shut off from that improvement.
Report Offers CUs Strategies for Helping the Sandwich Generation
MADISON, Wis.–How can credit unions help take some of the pressure off the so-called Sandwich Generation? A new report from the Filene Research Institute offers some strategies. The report, “Relieve the Squeeze: The Sandwich Generation,” assesses the needs of millions of working Americans who manage the financial demands of children, while also supporting a parent.