CMG Exploring Mortgage Program in Puerto Rico

MADISON, Wis. – CUNA Mutual Group is evaluating options to offer the first credit union tailored, secondary-market quality mortgage program for cooperatives in Puerto Rico, as credit unions are known there. CMG spokesperson Sydney Lindner said, “CUNA Mutual believes a mortgage program will help the one hundred plus credit unions in Puerto Rico become the primary financial services provider among the country’s nearly one million members.” According to Lindner, some larger Puerto Rico cooperatives already offer mortgage services to their members. However, these cooperatives work through commercial banks on the island for servicing of the loan and for secondary market connectivity. “This current practice presents a long-term risk to the cooperatives as the banks may use the member mortgage information to cross-sell other bank products and services to members in direct competitive with the cooperative’s own product and service offerings.” Lindner did not provide a target date when CMG plans to have its program up and running.