LSCU eSignal Weekly
LSCU eNews Weekly August 1, 2011
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LSCU eNews Weekly
In This Issue
LSCU Headlines
President's Point
Southeastern Credit Unions growing, lending, meeting members needs in 1Q
Matz tells WOCCU conference attendees capital reform is needed
CFPB nominee Richard Cordray nomination hearing this week
Alabama governor loses chief of staff
State Economic Profiles sent to credit unions Aug. 1
NCUA explains Excess Balance Accounts to credit unions
International Credit Union Day approaching, are you ready?
Governmental Affairs News
News from the Hill: Slate of committee hearings, impact of debt ceiling on CUs
This week in Florida politics: Interim Legislative Weeks are approaching
This week in Alabama politics: Immigration forum dates, corruption trial concludes
LSCU's Hike the Hill coming up Sept. 19-21 in Washington, D.C.
Congressional scorecard now online
LSCU PAC Trustees, Governmental Affairs Committee meet
Compliance Corner
League InfoSight highlight: Truth in Savings, Mortgage registration moves to CFPB
Compliance calendar and training
Cooperative Initiatives News
SECUF continues bolstering affected CUs with disaster relief grants
Alabama Jump$tart to meet Aug. 5 in Birmingham
League presents Insight CU Dora Maxwell award
Education News
Education Calendar
LEVERAGE News
Let LEVERAGE, Office Depot help you plan in advance for free!
Get your specifications in for upcoming LEVERAGE ePurchasing events
Shared branching cuts costs, aids members
News from You
‘People Helping People’ … the credit union way
Mutual Savings opens Calera branch
Insight CU executives visit 'Hope For The Warriors'
EMPLOYMENT
View available credit union jobs
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LSCU Headlines

President's Point

In September, the League will be traveling to Washington, D.C. with credit union officials from Alabama and Florida for our annual Hike The Hill (HTH) grassroots lobbying event. This event is designed to be a supplemental lobbying trip to the annual CUNA GAC which normally takes place in March. However, this year we are going to try something a little different.

We originally scheduled our HTH for Sept. 13-14. However, NAFCU has its annual Congressional Caucus planned for Sept. 18-21. The caucus includes two half days on the Hill. A couple of League/NAFCU member credit union CEOs recommended that we consider changing our HTH dates to coincide with NAFCU’s event. The current HTH dates had us coming in the week before the caucus, essentially dividing our numbers over two consecutive weeks, potentially lessening our political impact while visiting with our congressional delegations. NAFCU also asks credit unions to set up their own Hill visits, which can be confusing for Congressional offices that are getting calls from the League and caucus credit unions trying to arrange meetings.

In late July, I sent a letter to all Alabama and Florida credit unions asking for feedback on the idea of combining the two events. I also made targeted phone calls to credit unions as well as talked to both Bill Cheney at CUNA and Fred Becker at NAFCU. I was surprised to learn that six other leagues are already scheduled to come in the same week as the caucus, so I guess this isn’t a new concept after all. The response was overwhelmingly in favor of combining the Hill visits so we can have one unified voice with lawmakers with a larger more powerful contingent of credit unions present.

The League will work to set up Hill meetings with our congressional delegations, so credit unions will not have to do this on their own. We will hold a legislative briefing for our HTH credit unions as well as any NAFCU credit unions that are not members of the League. Everyone is encouraged to join us. The LSCU will also be hosting a reception at Credit Union House on Monday night for all Alabama and Florida credit unions in Washington.
Coordinated Hill visits in September is another example of how better collaboration within the credit union movement is in the best interest of our credit unions and their members.  We have to work to break down the walls within the movement and find common ground to move our legislative and regulatory agenda forward.  

I hope you will consider coming to Washington D.C. with us Sept. 19-21. A communication from the Governmental Affairs staff was sent to all of our credit unions on Friday with more information on the event and how to register. It was sent to our non-affiliates as well who may be NAFCU credit unions. You can find more information about the Hike the Hill on the LSCU Legislative Advocacy page of our website. If you have questions, contact LSCU SVP, Governmental Affairs Will McCarty at 866.231.0545 ext. 2137.

I welcome your thoughts and feedback. [ Return to Top ]

Southeastern Credit Unions growing, lending, meeting members needs in 1Q

First quarter Call Report data for credit unions in Alabama and Florida show that assets, membership and lending are all growing. Florida credit unions added $1.1 billion in assets or 2.6 percent, on par with the national credit union average, while Alabama credit unions added $763 million or 5 percent, which is nearly twice the national credit union average. For Alabama, it continues an upward trend of five years of growth that has added $3.9 billion in assets to its 127 credit unions. More consumers are seeing the credit union difference as membership grew in Florida by 15,000 members in the first quarter and Alabama added 6,000.

The economy has been a hindrance to credit unions and members for quite some time. However, there seems to be signs of improvement. Southeastern credit unions are seeing a decline in provisions of loan losses, delinquent loans and net charge offs. Alabama credit unions delinquent loans and net charge offs are well below the national credit union average, while Florida credit unions are above the national credit union average, but saw a 20 basis points fall in delinquent loans in the first quarter, as well as a 39 basis points improvement in net charge offs. Southeastern credit unions are also working with small businesses. In the first quarter, Alabama and Florida credit unions collectively made $54.8 million dollars in Member Business Loans. This is a 5-percent increase year over year from 2010. It’s certainly good news considering how difficult the economy has been in both states.

“We know the weak economy is continuing to hamper our credit union members,” said LSCU President/CEO Patrick La Pine. “However, we are encouraged by the number of quality loans our credit unions are making. Plus, credit unions are meeting the needs of their members looking for member business loans, as well as new and used auto loans. With our growth in assets and members, plus the amount of loans being made, it feels that the worst is behind us.”

When it comes to loans, Southeastern credit unions are making them and members are searching for them, especially auto loans. The new and used auto loans for Alabama and Florida credit unions are well above the national credit union average. Total auto loans to loans in Alabama and Florida are above the national average with Alabama loans 10 percent above and Florida loans 2.5 percent above. Taking a look inside those numbers, Alabama credit unions used auto loans are a robust 27 percent, while the national average is 18 percent. Florida credit unions are close to the national average in used auto loans, but above the national average in new auto loans at 14 percent while the national average is just under 11 percent. This shows that more members are making purchases and understand their credit union has money to lend.

Credit union members’ savings are growing at a strong pace. Southeastern credit union members saved a total of $1.8 billion in the first quarter. A further look inside the numbers show that Alabama members’ savings stayed steady at 5.5 percent, nearly twice the national average, while Florida members saved at a 2.8-percent clip. This is slightly below the national average, but an almost 4-percent improvement from the 2009 results.

Considering the way the economy has been affecting credit unions and members, the first quarter data is encouraging for 2011 to be a good year for credit unions. [ Return to Top ]

Matz tells WOCCU conference attendees capital reform is needed

At the World Council of Credit Unions (WOCCU) conference in Scotland, NCUA Chairman Debbie Matz was one of the closing general session speakers. Chairman Matz told the more than 1,700 attendees that the need to require credit unions to hold sufficient levels of capital as being a fundamental role for regulators. Adequate capital reserves ensure the safety and soundness of the industry, and can soften the impact of unexpected market fluctuations and economic volatility.

Matz also addressed the need to balance the benefits of mergers of credit unions against the concentration risks of such consolidations. She also said that consolidation regulations should not impede innovation. Improved member service can result from assuming certain levels of risk and expanding a credit union‟s consumer base.

The final point in Chairman Matz's speech was a challenge to the industry to look at how innovation can increase membership, Matz noted historical trends for bringing financial services to underserved rural populations, and highlighted the need to apply community-building skills in burgeoning urban communities.

“To keep the industry moving forward safely, we must look ahead to the challenges, risks, and opportunities of the future,” said Matz. “We need to think globally about how to prepare for uncertainty, reach new markets, and better serve consumers.”

Read the entire text of the speech by visiting the NCUA Speeches website. [ Return to Top ]

CFPB nominee Richard Cordray nomination hearing this week

The Senate Banking Committee announced that a confirmation hearing for possible Consumer Financial Protection Bureau Chief Richard Cordray will be Thursday at 2 p.m.  The CU Times quotes Senate Banking Committee Chairman Tim Johnson as saying the hearing will "begin the process of moving Mr. Cordray's nomination forward to confirmation."

President Obama picked Cordray over Elizabeth Warren, one of the CFPB's chief architects, because he felt Cordray could get through the nomination process. However, Senate Republicans have stated they will block the confirmation until the White House agrees to structural changes to the bureau.

The CU Times also reports that the Ohio Credit Union League President Paul Mercer, Cordray is a former Ohio Attorney General, wrote him stating “I am confident that, given the opportunity, you will diligently represent the mission and Consumer Financial Protection Bureau’s mission and purpose as its director."

Warren announced recently that she is returning to her professor duties at Harvard on Aug. 1. Raj Date, the Consumer Financial Protection Bureau's associate director of research, markets & regulations, will become the special adviser to U.S. Treasury Secretary Tim Geithner. [ Return to Top ]

Alabama governor loses chief of staff

According to al.com, Alabama Gov. Robert Bentley will name Chuck Malone as chief justice of the Alabama Supreme Court. Malone will serve out the remaining term of Chief Justice Sue Bell Cobb. In January, Malone left his job as presiding circuit judge from Tuscaloosa to serve as the governor's chief of staff.

The impact of Malone's departure will be felt by Gov. Bentley as he has been a trusted adviser to the governor. It also opens up a vacancy in Gov. Bentley's cabinet. Al.com cites sources as figuring David Perry, head of the Alabama Finance Department, will be named Malone's successor.

Cobb resigned her position as chief justice in June. She left office Sunday night at midnight. [ Return to Top ]

State Economic Profiles sent to credit unions Aug. 1

The League emailed member credit unions a copy of their respective State Economic profile on Aug. 1. The profiles are a comprehensive look at the economy and how credit unions are faring.

Among the highlights in the profiles includes credit unions seeing slight improvements from two of the worst years for operations (2008, 2009). Credit unions in Alabama and Florida are seeing assets building back up, an increase in membership and more quality loans including more than $50 million in member business loans.

The profiles go more in-depth on unemployment, home prices, delinquent loans to loans, and net charge-offs.

To view past Economic Profiles, visit the LSCU Research and Economic Data page. For questions about the profiles, contact LSCU, VP Regulatory Affairs Bill Berg at 866.231.0545 ext. 1028.   [ Return to Top ]

NCUA explains Excess Balance Accounts to credit unions

The NCUA sent a letter to federally insured credit unions in July to educate them on the Federal Reserve Bank Excess Balance Account (EBA) Program. The letter is written for those credit unions that are a member of a corporate credit union. In the letter, the NCUA points out that as the corporates share their business plans with their member credit unions, some plans include a "considerable reduction in asset size (that) will dictate lower amounts of contributed capital from member credit unions" to meet regulatory capital requirements.

The corporates are considering, as a means to reduce asset size, the Fed's EBA plan. In 2009, the NCUA the Fed established limited-purpose accounts at Federal Reserve Banks (FRBs) for the purpose of maintaining excess reserve balances. The EBAs are intended to allow eligible institutions, which includes member consumer credit unions, to earn interest on their excess balances in an account relationship directly with a FRB without significantly disrupting established business relationships with their correspondents credit unions.

The letter suggest that credit unions do their due diligence on EBAs before signing on. To read the NCUA's letter, click here. It also includes additional resources on the EBA program. [ Return to Top ]

International Credit Union Day approaching, are you ready?

International Credit Union (ICU) day is Oct. 20. This is a great time for credit unions to promote the credit union difference to members and potential members. In the past, many credit unions have held an open house, invited a lawmaker to meet their members as well as organized service projects in the community. ICU posters were mailed last week to credit unions. They are typically sent to the CEO or marketing director. 

This year's theme is "Credit Unions Build a Better World." It also leads into 2012 which has been designated the "Year of the Cooperative." Credit unions can promote this on International Credit Union Day.

Visit the CUNA International Credit Union Day page for promotional ideas and art work. The art works page has downloadable graphics and coloring pages for kids. There is a promotional page with ideas that tie into Halloween 11 days later.  To order any materials through CUNA's page, you must know your five-digit credit union I.D. number.

The League urges all credit unions to promote International Credit Union Day and consider promoting 2012 as the "Year of the Cooperative." For help with downloading materials, contact LSCU VP, Marketing and Communications Mike Bridges at 866.231.0545 ext. 1022.
  [ Return to Top ]

Governmental Affairs News
News from the Hill: Slate of committee hearings, impact of debt ceiling on CUs

The floor schedule for this week will revolve around the debt ceiling.  While it's possible that both chambers will consider additional legislation once a resolution has been agreed on, nothing has been announced at this time and several Congressional offices have told CUNA that their bosses have flights scheduled to leave Washington tomorrow.  Whenever the chambers complete their business for the week, they are expected to stand in recess until Sept. 6. 

Committee Hearings
Several hearings scheduled in both chambers this week are interesting for credit unions:

On Tuesday, the Senate Banking Committee is expected to hold a hearing on Housing Finance Reform: National Mortgage Servicing Standards. On Wednesday, the House Financial Services Committee Subcommittee on Insurance, and the Housing and Community Opportunity Subcommittee is expected to hold a hearing on "Legislative Proposals to Determine the Future Role of FHA (Federal Housing Administration), RHS (Rural Housing Service) and GNMA (Government National Mortgage Association) in the Single- and Multi-Family Mortgage Markets." And, on Thursday, the Senate Banking Committee is expected to hold a confirmation hearing for Richard Cordray to be director of the Consumer Financial Protection Bureau. Note that if Congress goes into recess after today or tomorrow, these and other hearings may be postponed at the discretion of the Committee Chairman.

Debt Ceiling and Credit Unions: What you need to know
The League and CUNA have been closely monitoring the debt ceiling debate in Washington, wary of its use as a possible attack on the credit union tax exemption. Several weeks ago, the Florida Bankers Association sent a letter to the president and Congressional leadership arguing that the credit union tax exemption should be part of the package. The League responded immediately, pointing out the errors in the bankers’ claims, and the flaws with their reasons.

The agreement reached Sunday night does not include any taxation of credit unions. While the package must still be approved by the House, Senate, and President, the framework includes:

  • No new taxes
  • A debt ceiling increase of $400 billion immediately, then another $500 billion after September
  • Immediate caps on domestic and defense spending resulting in cuts of approximately $1 trillion over 10 years
  • A second round of deficit reduction of between $1.2 and $1.5 trillion, to be determined by a bipartisan committee of Congress. The debt ceiling would then be increased dollar-for-dollar the amount of deficit reduction approved by Congress in this second round. The plan must be developed by Thanksgiving with an up-or-down vote of Congress by Dec. 23
  • If the Committee cannot develop a plan for the second round of reduction, or if Congress does not approve the plan, it would trigger across-the-board spending cuts of $1.2 trillion matched by another increase in the debt ceiling of $1.2 trillion

For credit unions, the immediate threat to the tax exemption is over. However, the bipartisan committee will be free to consider entitlement and tax reform (i.e., new or increased taxes). The League and CUNA will closely monitor the work of the committee once it begins, and will continue to pursue every possible avenue to ensure that the next round does not include a threat to the credit union tax exemption.

For questions about committee schedules, or other governmental affairs issues, contact LSCU SVP, Governmental Affairs Will McCarty at 866.231.0545, ext. 2137. [ Return to Top ]

This week in Florida politics: Interim Legislative Weeks are approaching

Florida Legislative Update
The beginning of the Interim Legislative Committee weeks is quickly approaching, here's an update on some of the important issues facing credit unions. Last session, the LSCU was instrumental in pushing legislation that would have allowed credit unions to become qualified public depositories. Unfortunately, the bill died in committee in both the House and Senate. The Governmental Affairs team is once again working to secure sponsorship for this legislation and is confident in its efforts in 2011 will help toward making passage of this bill a reality in 2012. Recently, several credit unions have contacted the League with instances in which they have been approached by public entities to act as a depository. Stories like this will have a huge impact on efforts to pass a bill this session. If your credit union has been approached by a public entity regarding their deposits, please let our Governmental Affairs team know.

The GA Team is also still in the process of reviewing the Florida Credit Union Act in hopes that changes can be made to the Act that will positively impact the way credit unions are regulated. If you have any suggestions about changes, deletions or additions to the FCUA, please contact the GA Team.

Florida Chapter Legislative Nights
Recently, Chapter leaders received an email from Grassroots and Political Action Coordinator, Andy Gonzalez, regarding Chapter Legislative Nights. The League set a goal that each chapter host an event where its local elected officials can attend and learn more about the efforts credit unions are making to define their own message on the legislative front. So far three chapters have expressed interest in hosting an event. The Pinellas and Broward Chapters have dates in late September and the Gulf Coast Chapter is looking at a time in October. The Governmental Affairs Team can serve as a resource for your chapters as you look to plan these events, so please do not hesitate to call on them for assistance. Remember, the weeks of Sep. 19, Oct. 3, Oct. 17, Oct. 31, Nov. 14, and Dec. 5 are interim committee weeks so Legislators will be in Tallahassee, not their districts.

Special primary to replace Hill on Sept. 20
Gov. Rick Scott set a special election to replace former Florida state Sen. Tony Hill, a Jacksonville Democrat. Hill resigned his District 1 seat earlier this month to take a newly created job as Jacksonville's director of federal policy. On Friday, Gov. Scott set a special primary for Sept. 20 and a special general election for Oct. 18. The leading contenders to replace Hill are former state Representatives Audrey Gibson and Terry Fields.

For questions on any legislative issues, to schedule a legislative night or thoughts on the FCUA, contact LSCU Director, Legislative Affairs Jared Ross at 866.231.0545, ext.1012. [ Return to Top ]

This week in Alabama politics: Immigration forum dates, corruption trial concludes

Immigration Forum Dates
Alabama Employers for Immigration Reform is hosting a series of forums to educate farmers and small business owners on the details of Alabama’s new immigration law passed during the 2011 Regular Session. One forum has already taken place in Mobile and around 80 individuals attended. Future dates include:

  • Wednesday, Aug. 3:  9:30 to 11:30 a.m., Rosewood Hall, Birmingham
  • Wednesday, Aug. 17:  9:30 to 11:30 a.m., Gordon Persons Building, Montgomery
  • Wednesday, Aug. 31: 9:30 to 11:30 a.m., location to be announced

These forums will have attorneys from several law firms, and cost $25 to attend.

Corruption Trial Concludes
Alabama’s eight-week corruption trial involving several lobbyists, lawmakers, and business owners concluded last week as the defense rested after only calling one witness to the stand. Defense attorneys, including those for current State Sens. Quinton Ross (D-Montgomery) and Harri Anne Smith (I-Slocumb), commented that there was no need for further testimony because they felt the prosecution did not prove the case against their clients.

For the first couple of days this week, U.S. District Judge Myron Thompson will hear and rule motions to dismiss from defense. Depending on those rulings the jury will then begin deliberation on any remaining charges.

Credit Union Chapter Legislative Nights
With the 2011 Legislative Session clearly behind us, many chapters around Alabama have begun to schedule their Annual Legislative Night. These events are a great opportunity for credit union officials and board members to interact with the local legislative leadership in their home districts. Chapter Legislative events are important, and it is a very valuable way for legislators to hear from the credit unions in their district. Having legislators in the credit union, listening to credit union issues, and hearing from their constituents goes a long way to spreading the credit union message and puts local faces on important issues. 

Below are current legislative nights that are scheduled throughout the state:

  • Thursday, Sept. 8:  Muscle Shoals Chapter
  • Tuesday, Sept. 27:  Northeast Chapter
  • Tuesday, Oct. 4:  Tuscaloosa Chapter
  • Tuesday, Nov. 8:  Mobile Chapter

If your chapter has not yet scheduled a Legislative night, or for more information, contact LSCU Grassroots Coordinator, Robbie Gordon at 866.241.0545, ext. 2164.

If you have any questions regarding current legislation in Alabama, contact LSCU Director, Legislative Affairs Jason Cochran at 866.231.0545, ext. 2159. [ Return to Top ]

LSCU's Hike the Hill coming up Sept. 19-21 in Washington, D.C.

This year's LSCU Hike the Hill to Washington, D.C. is scheduled for Sept. 19-21.

This year, to help coordinate visits with those credit unions that will be attending the National Association of Federal Credit Unions (NAFCU) Congressional Caucus, the League has made the decision to hold its fall hill visits at the same time. This is a departure from previous years when the September Hike the Hill was also in September, but not the same week as NAFCU’s Congressional Caucus. Two separate events so close together created several issues for credit unions:

  • It divides our numbers over two consecutive weeks, lessening our political impact with federal congressional delegations
  • Since NAFCU does not have a state league network, member credit unions schedule their own Hill visits. This will be in addition to the meetings that will be requested by the League creating some confusion for Congressional offices
  • Credit unions need to speak with one unified voice on federal issues of importance as not to send mixed messages to delegations

While this is a departure from how the LSCU has done the Hike-the-Hills and NAFCU Congressional Caucus lobbying visits in the past, the League believes that this option presents a positive way to avoid holding “competing” Hill visits so close together. It will create the right message for Congressional Delegations.

The League Hill visits will be for all credit unions regardless of affiliation, and it looks forward to everyone taking part in these important meetings.

Be sure to take a look at the tentative agenda as well as the flight and hotel information. To register click here, and once you complete the registration form, return via email or fax. Please Note - There is no registration fee for Hike the Hill.

Visiting with lawmakers at home is important, but taking time to go to Washington, D.C. is viewed by them as the ultimate constituent contact.

The League encourages you and your chair, or any of your board members, to join us in promoting credit union grassroots political action. Your visits are crucial in keeping credit unions visible before Congress. Your face-to-face meetings provide an opportunity to talk directly with your member of Congress about your members and how Congress affects how your credit union provides services to them.

Scholarships are available to credit unions that are interested, for scholarship information contact Southeastern Credit Union Foundation Executive Director Amber R. Tynan at 866.231.0545, ext. 1154.

If you have any questions, or need more information, contact LSCU SVP, Governmental Affairs Will McCarty at 866.231.0545, ext. 2137.

[ Return to Top ]

Congressional scorecard now online

The League's Governmental Affairs team maintains a Congressional Scorecard every year to track how lawmakers are voting and if they support credit union issues. The scorecard has two columns for each issue, one that shows if they are a co-sponsor for a credit union bill and how they voted on that bill. 

The scorecard looks at U.S. Representatives and U.S. Senators. There is also a section that summarizes each bill for those that aren't familiar with them. This is a good way for credit unions to track how their member of Congress feels about the issues that matter most to credit unions. It's also a good tool to use when making Hill or district  meetings. The more familiar credit unions are with their lawmakers and how they feel about credit union issues the more in-depth conversations will be during meetings. 

To access the Congressional Scorecard, visit the LSCU Legislative Advocacy page. For questions about the scorecard or visits with lawmakers, contact LSCU SVP, Will McCarty at 866.231.0545 ext. 2137.  [ Return to Top ]

LSCU PAC Trustees, Governmental Affairs Committee meet

On Wednesday, July 27, the boards of trustees for the LSCU's three Political Action Committees (PAC), and the LSCU Governmental Affairs Committee met in person and via the web in Florida and Alabama. The PAC Trustees received reports on fundraising efforts to date, and updated information on contributions made to state and federal candidates. The CUPAC (Florida’s PAC for state candidates) also approved a plan for party contributions through the 2012 election cycle. Alabama does not have a statewide election in 2012, and contributions cannot be made this year so no contribution budget was adopted.

The Governmental Affairs Committee is comprised of representatives from each chapter in Alabama and Florida. Among other functions, the Committee members are responsible for maintaining awareness of legislative, regulatory, and political issues within their chapters, provide feedback and policy recommendations to the LSCU board and staff, engage lawmakers on credit union issues, and provide a means by which credit unions can participate in grassroots advocacy. During the meeting, the committee discussed current legislative and regulatory issues facing credit unions, progress on 2011 issues, and began to look at issues in 2012 as they begin to develop next year’s legislative and regulatory agenda for the League.

“Credit unions face a number of significant issues on both the Federal and State level on the legislative, regulatory, and political fronts and credit union involvement in these issues is critical,” said Governmental Affairs Committee Chair Linda Cencula, CEO of Alabama Telco Credit Union in Birmingham. “The PAC Trustees and the full Governmental Affairs Committee reviewed a number of important issues, and also began to lay the groundwork for the League’s advocacy efforts in 2012. The committee encourages credit unions to stay informed and stay involved.” [ Return to Top ]

Compliance Corner
League InfoSight highlight: Truth in Savings, Mortgage registration moves to CFPB

The current edition of the League InfoSight newsletter has an article about the Truth in Savings, mortgage loan originator registration and the privacy of consumer financial information are among the rules that have been transferred to the oversight of the Consumer Financial Protection Bureau (CFPB) from the NCUA since the new agency began its work on July 21, the CFPB noted in a Federal Register document.

The transfer of authority was designated by the Dodd-Frank Wall Street Reform Act last year. Other rulemaking priorities that the CFPB has taken over include:

  • Portions of Fair Credit Reporting rules
  • Insurance requirements
  • Rules addressing some types of loans and lines of credit that are extended to credit union members, but only as applied to non-federally chartered housing creditors under the Alternative Mortgage Transaction Parity Act (AMTPA)

CUNA says that recent AMTPA changes would only impact a minimal number of state-chartered credit unions. The CFPB has contacted the CEOs of the institutions that it now oversees. It has also begun to accept consumer credit card complaints. 

For more helpful reminders and tips, view the League InfoSight newsletter by clicking here. It is a password-protected area. Member credit unions that do not have a password, may click here to sign up for one. An active email account and a password are required. To log in to InfoSight, enter your email and password in the InfoSight login block (see graphic below) located in the upper right of any of the LSCU web pages.

  [ Return to Top ]

Compliance calendar and training

Compliance Calendar

August 15

August 19

For the complete list of calendar dates and compliance trainings, visit the LSCU Compliance Calendar

*Note - Compliance Calendar requires your League InfoSight login.

[ Return to Top ]

Cooperative Initiatives News
SECUF continues bolstering affected CUs with disaster relief grants

To date, the Southeastern Credit Union Foundation (SECUF) has funded more than $87,000 in relief grants to credit union employees and members with long-term needs. This brings the fundraising amount for disaster relief to more than $180,000 with an additional $100,000 match from the SECUF. The match dollars have been used to make two charitable contributions to the American Red Cross of Central Alabama in the amount of $50,000 ($25,000 each contribution, and funded three chapter projects for “Rebuilding Alabama.”

For more information on the efforts of the SECUF, contact SECUF Executive Director, Amber R. Tynan at 866.231.0545, ext. 1154. [ Return to Top ]

Alabama Jump$tart to meet Aug. 5 in Birmingham

The Alabama Jump$tart Coalition will kick-off the month of August with Member and Friends at the Statewide meeting on Friday, August 5 from 8:30 am to 1:30 pm at the Birmingham Branch of the Federal Reserve Bank. The Fed is located at 524 Liberty Parkway, Birmingham, Alabama 35242. 

Following the April tornadoes, the Alabama Jump$tart has revised its theme this year to assist partners and teachers in outreach to "unbanked" young adults, lessons learned from disasters, and discussion and planning for financial recovery with vital financial education for youth and community programs.  
 
The August meeting will provide an update on national financial literacy programs and initiatives to help youth through "hands-on" workshops for the classroom and training/resources for community volunteers.  To learn more about this celebration and register for this free event, visit the Alabama Jump$tart page of the Fed's website.  [ Return to Top ]

League presents Insight CU Dora Maxwell award

The LSCU recently presented a credit union with plaques for their winning entries for the Dora Maxwell Social Responsibility Recognition Award. New to this year, rather than during the LSCU AC&E, the awards were scheduled to be presented at either the credit union or chapter meeting, depending on the credit union's preference.

Recently, Insight Credit Union, in Orlando, Fla., was presented a plaque for winning first place in its asset size category ($200-500m) for the Dora Maxwell Award. Insight placed first with its entry showcasing the credit union's signature event, "Cruise for a Cause." The event was created in 2007 to allow the credit union to choose a worthy charity partner to support in a significant way. This year's event supported New Hope for Kids which supports children and families grieving the death of a loved one and to grant wishes to children with life-threatening illnesses in Central Florida. A total of $10,000 was given to the charity as a result of the event.

The Dora Maxwell program honors the work of credit unions in the community such as ongoing programs and established relationships with local social services agencies or school programs. The Louise Herring program recognizes the practical application of credit union philosophy through internal programs to improve members' lives such as programs that provide special assistance to low-income members or school branches. First place state-winners will be entered in to CUNA's national competition.


League representative Amber R. Tynan (r) presents award to Kristy Moist, Chief Communications Officer, Insight Credit Union.

  [ Return to Top ]

Education News
Education Calendar

Upcoming Events:

Wednesday, Aug. 3
Safe Deposit Legal Issues
3 - 4 p.m. EST
Webinar

Wednesday, Aug. 10
Reg Z Credit Card Act: It's Not Just for Credit Cards

3 - 4 p.m. EST
Webinar

Thursday, Aug. 11
Opening Trust Accounts: Documentation, Authority, Liability
3 - 4 p.m. EST
Webinar

Click here to view complete calendar of events.

[ Return to Top ]

LEVERAGE News
Let LEVERAGE, Office Depot help you plan in advance for free!

Receive a free At-a-Glance Planner Notebook when you make a purchase of $125 or more using your Office Depot BSD Account.

To Redeem, log in here and enter coupon code 855666191 at checkout. Offer valid through August 31, 2011. Click here to view complete offer.

The Office Depot cooperative purchasing program is designed specifically for credit unions, which offers maximized discounted pricing for up to 70 percent off the catalog list price.

For more information about the program, contact LEVERAGE Product Support Manager, Deirdre Rhodes at 866.231.0545, ext. 1104. [ Return to Top ]

Get your specifications in for upcoming LEVERAGE ePurchasing events

There are a number of upcoming events geared towards helping your credit union remain compliant, as well as improve the purchasing process.

LEVERAGE's upcoming ePurchasing events are as follows:

  • Computers/printers/toner – mid/end of August – Require specifications ASAP
  • Teller cash dispensers – mid/end of August – Require specifications by end of July/ first week of August
  • ATM machines/maintenance - end of August – Require specifications by end of July/first week of August
  • Armored car services – beginning of September – Require specifications by beginning of August
  • ATM machines/maintenance services – end of October – Require specifications by end of September

For more information, click here to contact a Business Development Consultant or visit the Ventelligence website. [ Return to Top ]

Shared branching cuts costs, aids members

With today’s economy still sputtering, credit unions–and just about any other organization across the nation–remain vigilant about cutting costs to survive and hopefully thrive when the economy returns to good health. In the meantime, credit unions are making every effort to keep their expenses in check while not sacrificing member service to maintain their value.

Surprisingly, even with the lingering economic woes, many credit unions are actually growing their memberships. That’s great news for them, our industry, and the economy. But, unfortunately, there are a fair number of them that want to continue growing but cannot afford to because of the high expense of properly serving their expanding memberships. A couple of those costly overhead expenses include building and maintaining branches along with hiring additional employees to fill those branches. If they cannot physically expand to accommodate their growing membership, how do these credit unions continue growing–or simply retain their current members? It’s a quandary for sure, but there is an answer. Shared branching.

Shared branching promotes the cooperative nature of credit unions to members. You can implement technology services galore, but there’s nothing like brick and mortar that gives members the feeling that their credit union is always available to them. Shared branching can help a credit union’s growth without the added cost of constructing buildings and hiring employees.

To read the complete CU Times article, click here. For more information on shared branching, contact Shared Branching Manager Tameka Dukes at 866.231.0545 ext. 2178. [ Return to Top ]

News from You
‘People Helping People’ … the credit union way

From left to right: Joseph H. Newberry, president and CEO of Redstone Federal Credit Union, along with Maj. Mark Saterlee of the Salvation Army.

From left to right: Joseph H. Newberry, president and CEO of Redstone Federal Credit Union, along with Mary Moreillon, American Red Cross regional executive director, and Kathy Neyman, assistant vice president of professional development of Redstone Federal Credit Union.

Redstone Federal Credit Union presented a check for $56,487.62 to the American Red Cross and $15,889.51 to The Salvation Army – representing money donated by Redstone members, volunteers, the community, and employees.

Included in this amount, Redstone made a combined corporate contribution of $35,000 to these organizations. Members were able to make donations through online banking or by visiting a Redstone branch office. Non-members were also able to make donations at any branch.

Joseph H. Newberry, president and CEO of Redstone Federal Credit Union, said although the Credit Union has always responded to natural disasters, the April 27 tornadoes really hit home with its members.

“Over the years, whenever there has been a need, we have seen our members and the community as a whole generously reach into their pockets and give from their hearts,” Newberry said. “By establishing accounts for both the American Red Cross and the Salvation Army, and matching the funds donated to those accounts up to $25,000, Redstone certainly answered the call of these incredible organizations.”

Newberry said since the disaster, there has been an urgent need for financial support to help those who are trying to rebuild their lives.

“The philosophy of credit unions is ‘People Helping People’ and here at Redstone, we take this philosophy to heart, and we are very glad that we have taken this step to help in the relief efforts,” Newberry said. [ Return to Top ]

Mutual Savings opens Calera branch

 

Mutual Savings Credit Union CEO Doug Key, along with Mutual Savings board member Dennis O'Brien, cut the ribbon on the credit union's new branch in the Calera Shopping Center. This branch moved from the Calera Wal-Mart.


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Insight CU executives visit 'Hope For The Warriors'

Left to Right: Kristy Moist, Insight CU; Peggy Rochon, Hope For The Warriors; Julie Davis, Insight CU.

The Cruise for a Cause poker run is the 5th annual for the credit union and each year the credit union selects an organization that touches the lives of Insight Credit Union’s members and staff as its beneficiary.

After visiting the facility and speaking with the dedicated staff, Kristy Moist, chief communications officer of Insight Credit Union said, “We are excited to be working with Hope For The Warriors. The work that they do addresses a special need among service members who have been injured, and their families. We are honored to partner with such a worthy cause.”

The mission of Hope For The Warriors is to enhance quality of life for U.S. service members and their families nationwide who have been adversely affected by injuries or death in the line of duty. Hope For The Warriors actively seeks to ensure that the sacrifices of wounded and fallen warriors and their families are never forgotten nor their needs unmet. [ Return to Top ]

EMPLOYMENT
View available credit union jobs

To view the available jobs on the LSCU homepage, visit the LSCU CU Jobs Center. [ Return to Top ]

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