November 19, 2008
Kenyan Credit Union Officials Visit Massachusetts Credit Unions
The Massachusetts Credit Union League hosted a study group made up of Kenyan credit union officials during the week of November 10 through November 14. The group consisted of nine individuals representing the Kenya Union of Savings & Credit Co-operatives (KUSCCO, the League) and three credit unions, the Nyeri Teachers SACCO, Kirinyaga Tea SACCO, and the Ufundi SACCO. (In Kenya credit unions are referred to as Savings and Credit Co-Operatives.)
The group, whose goal was to research best practices among credit unions in the United States, particularly in the areas of member education, technology and governance, visited four credit unions in Massachusetts during their stay. Their visit was organized by the World Council of Credit Unions. The group visited HarborOne Credit Union’s Multi-Cultural Center in Brockton and RAH Credit Union in Randolph on Wednesday. On Thursday, they traveled to Metro Credit Union in Chelsea and Fitchburg Federal Credit Union.
At each of the locations there was lively discussion and exchange of information. The group, which represented some of the largest credit unions in Kenya, indicated that they faced many of the same challenges that the credit unions they visited do; and similarly, they indicated that they were enjoying many of the same opportunities.
Mr. Carilus Ademba, managing director of KUSCCO, announced to the group during the visit at Fitchburg Federal Credit Union that he had just received a phone call from Nairobi informing him that a long sought piece of credit union legislation had been passed by the Kenyan Parliament. This bill, among other things, creates a separate regulatory authority for credit unions in Kenya.
Massachusetts Credit Union League President Dan Egan, who joined the group at Fitchburg Federal Credit Union, took the opportunity to congratulate his credit union colleagues from Kenya on their legislative achievement. The subject of politics stayed on the table during the meeting when the visitors expressed their pride and pleasure in seeing Barrack Obama, a person of Kenyan descent, elected to serve as the next president of the United States.
‘Practical Approaches – Strategic Solutions’ Conference a Big Hit
The 2008 Fall Conference at Foxwoods Resort and Casino in CT, October 19-21, was an unqualified success. Approximately 250 attendees representing 45 credit unions began by hearing from Jim Blake, CEO of HarborOne Credit Union, who discussed the urgency all credit unions must adopt in insuring their relevance. Jim described the transformation of his downtown Brockton office and tied it to his argument that real solutions are needed in the marketplace now more than ever. He urged participants to work together to distinguish credit unions by their actions, and proposed a first time homebuyer program as one possibility. Jim was followed by a panel of CEOs including Barbara Goodwin, Fitchburg Federal Credit Union; Rui Domingos, CP Credit Union; Steve White, Westerly Community Credit Union; and Mike L’Ecuyer, Bellwether Community Credit Union.
The panel received high marks; one evaluation quoted, “the credit union panel was a nice approach, real people sharing their real concerns and solutions.”
The program also included a distinguished list of industry experts: George Hofheimer, Filene Research Institute fellow; David Reed, attorney and “Credit Union Doctor;” Jim Stickley, co-founder and VP of Trace Security; Beverly Purtell, League VP Human Resources; and Dr. Peter Tufano, Sylvan C. Coleman Professor of Financial Management at the Harvard Business School. Topics ranged from Identity Theft and Going Green, to Financial Innovations, Employee Benefits, Serving the Underserved and Vendor Due Diligence.
Paralympic skier and author Josh Sundquist closed the program with an inspirational message, urging all participants to keep trying, “one more thing, one more time” to continue serving members.
The 2009 Spring Conference will be held at Chatham Bars Inn, Chatham, MA, Friday, Saturday and Sunday April 3 – 5. Space at Chatham Bars is limited so be sure to register upon receipt of Conference brochure early in 2009!
100-year Credit Union Celebration Website Goes Live
Historical information and campaign materials for the 100-year anniversary of credit unions are now available on a new website from the Credit Union National Association (CUNA). Campaign materials and additional resources were created for credit unions to use while promoting the celebration. At www.cuna.org/100years, credit unions will find:
- History--Including an interactive timeline and highlights from the past 100 years of credit unions;
- Video clip--CUNA President/CEO Dan Mica talks about credit unions' 100 years of success;
- Campaign materials--Credit unions can download free public relations and marketing materials, including a model speech, proclamation, celebration ideas, newsletter, press release, letter to the editor, logos, and ads to help promote the anniversary celebration;
- Online store--Various promotional items and print materials for the celebration are available for purchase; and
- Credit union stories and pictures--An area of the website was created for credit unions to share their pictures and stories.
"We couch the celebration in terms of the 100 years of growth and evolution that credit unions have undergone in order to continually improve service to members and further our tradition of People Helping People," Mica said. "The website is just one of a number of activities that CUNA has planned for the celebration."
Debit card use is up, says another survey
Debit card use is expected to climb 13% in 2008, to $1.2 trillion, according to the Nilson Report. The trend will impact credit unions in more ways than one. The steep increase in debit use compares with a 3% increase in credit card transactions, totaling $1.9 trillion.
Mastercard and Visa reported a 17.5% hike in debit card transactions, compared with 7.45% for credit card transactions during 2007, said Nilson (San Antonio Express-News Nov. 11). Visa Inc. says debit card use could surpass credit card use this year.
Roughly 58.9% of credit unions overall offer debit cards, according to the Credit Union National Association's Credit Union Service Profile for December 2007. But among credit unions with $50 million or more in assets, debit cards are offered by 96% to 99.6% of credit unions, depending on the asset category, said the profile.
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