ALEXANDRIA, Va.—PenFed Credit Union President and CEO James Schenck, along with Rocky Mitchell, one of PenFed’s top executives, held the first in a series of eight weekly Lunch and Learn sessions with 13 of the credit union’s summer interns.
The interns—one a wounded U.S. Army soldier with 22 years of service, and the others, out of class for the summer—gathered in the boardroom of PenFed’s Alexandria headquarters.
Schenck’s presentation provided an overview of PenFed and the credit union system, while challenging the banking industry.
“All of you are savvy consumers, so you understand the banking business model—bank CEOs need to maximize profits for their shareholders which means they are incentivized to pay their customers less on deposits and charge more on loans,” he said.
Explaining that the banking model is set up to benefit a bank’s investors, Schenck told his audience that credit unions flip that model on its head. “As a credit union CEO, my mission is to pay the most I can on deposits and charge the least on our loans to our member owners. Credit unions exist to maximize value to their members, not a group of profit-seeking investors,” he said.
PenFed’s Executive Vice President of Global Fixed Assets, Rocky Mitchell, talked with the interns about the importance of culture within any organization. In describing key elements of PenFed’s culture observed during his 15 years as an executive, Mitchell used the terms member-focused, people helping people, military ethos, growth-minded and conservatively positioned regarding safety and soundness. The interns will have the opportunity to work with and learn from all of PenFed’s leaders over the coming weeks.
Schenck envisioned a robust intern program after reflecting on his recent visit to the Junior Achievement Finance Park in Landover, Md. “When I visited PenFed’s educational branch at JA Finance Park, I saw a quote that inspired me to reach more interns: ‘Someday they will run our businesses, lead our nation, make discoveries and change our world. But first, they will practice within these walls.’”
Eighteen college students, hailing from universities around the country are part of PenFed’s 2016 Summer Intern program. The credit union’s Army intern was accepted through a special pilot program for wounded service members.
“I am really impressed by the men and women who joined our ranks this year,” said Schenck. “They truly are a reflection of the best and brightest in the nation.”