The nation’s largest merger a $4.7 billion combination of Addison Avenue Federal Credit Union of Palo Alto Calif. and First Tech CU of Beaverton, Ore. has won final approval of First Tech members, it was announced Friday.
Credit Unions are merging at a rate of 3% per year over the past 4 years. There is basically 1000 less credit unions in September 2010, then there was at the beginning of 2006.
Are the big getting bigger?
- 19% of the credit unions have an asset size greater than $100 million.
- More than half of the credit unions have assets size less than $20 million.
With the current pressure from NCUA to garner more funds to keep the stabilization fund shored up, where does that leave the smaller credit union? Most are struggling to make a profit in today’s environment, only to be siphoned off to pay the fund to help support the corporates who invested in Mortgage backed securities. Where were the regulators?
Where do you see the trend going?
|U.S. Credit Unions||Asset Groups – Sep. 2010|
|Sep-10||2009||2008||2007||2006||<$5 Mil.||$5-$20 Mil.||$20-$100 Mil.||>$100 Mil.|