July 12, 2010


  • It doesn't seem that the "cooperative spirit" once driving the credit union industry is fully scalable. Thanks to community charters, many credit unions are now bitter rivals. The community charter alone is to blame for the erosion in cooperation between credit unions.

    I agree that there is an obligation to act in members' best interests, but that too doesn't seem like something credit unions are eager to scale. As credit unions approach/surpass the $1 billion mark, they tend to become more bank-like. While they may claim to make decisions in members' best interests, decisions about what products to offer and how they should be priced are often purely profit driven.
    Jeffry Pilcher | TheFinancialBrand.com