MSUFCU and Texas' UFCU merge to form $13.5B credit union
What's the deal? Michigan State University Federal Credit Union (MSUFCU)Dealroom has a profile for this one. Try Dealroom → will merge with Texas-based University Federal Credit Union (UFCU)Dealroom has a profile for this one. Try Dealroom →, the credit unions announced in October. The combined organization will hold $13.5 billion in assets and serve more than 850,000 members.
The terms: Both boards have approved the deal, which remains subject to regulatory approval. Financial terms were not disclosed.
The merged entity will take University Federal Credit Union as its corporate name but continue operating as MSUFCU in Michigan and Illinois. MSUFCU members are not expected to see immediate changes to account numbers, banking cards, or digital platforms.
Who runs it? MSUFCU President and chief executive officer April Clobes will lead the combined organization as CEO. Current UFCUDealroom has a profile for this one. Try Dealroom → President and CEO Michael Crowl will serve as president.
The rationale: Both credit unions share roots in higher education. "By uniting our resources, talent, and shared higher education heritage, we are expanding our services and driving greater impact," Clobes said.
She added that the goal is "building a resilient organization that will invest in advanced technology and long-term stability to best serve members' evolving needs."
The signal: Scale is becoming a survival tool for credit unions facing rising technology costs and competition from larger banks. Pooling assets and talent lets member-owned institutions fund the advanced platforms they could not build alone.
Read more: finance.yahoo.com
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