He told the division hearing, one of seven being held across the state this month on the Wal-Mart application for 44 licenses, that his CU not only offers "no-fee check-cashing but seeks to educate and promote financial literacy, and sound alternatives to higher-cost financial products."

Fishlock told Credit Union Times that he does not view the Wal-Mart issue in Massachusetts as "a `bankers' or `credit union' issue but a consumer issue and staying true to our philosophy we must continue to educate the unbanked and underserved about the benefits of credit unions and adding 44 new check licenses in Massachusetts works counter to our goal in reducing the unbanked." Allowing Wal-Mart to have those licenses "perpetuates the problem," he said, noting also that he agreed with similar views expressed by a banker at the Springfield hearing and in other cities earlier this month. The Massachusetts Bankers Association has said it opposes the application as a cloaked attempt by the retailer to eventually introduce retail banking in its stores while taking advantage of low-income consumers through "impulse buying," a view denied by Wal-Mart officials.

The banking lobby claims Wal-Mart check cashing discourages consumers from making deposits at a bank or CU.

In an account of the hearing appearing in the Springfield Republican, Thomas R. Burton, president/CEO of Hampden Bank, speaking on behalf of the 210-member banker trade group, said the area has plenty of banks and CUs offering free checking that would help low-income people save money.

Wal-Mart's low fee masks an ulterior motive, Burton said. "Their motivation for such cannibalistic pricing is not altruistic."

Rather, he said, check cashing at Wal-Mart will make it easier for consumers "to spend their hard-earned paycheck at Wal-Mart."

Fishlock said he asked Nagy of ValleyStone CU in Wilbraham to also testify at the hearing though ValleyStone maintains a Wal-Mart branch in its Chicopee store.

ValleyStone, which opened the Chicopee unit more than a year ago, claims the facility has been highly successful in bringing new member exposure to the CU.

Quoting Nagy, the Republican article on the hearing noted that Nagy told the panel he is concerned, because his small institution just invested "a considerable amount" to put a branch in the Chicopee Wal-Mart store. Allowing Wal-Mart to add check-cashing there would "essentially jeopardize the success of our in-store branch to continue to serve the public," he said. Meanwhile, the Massachusetts Credit Union League, which has been monitoring the hearings, said it does plan to send a representative to a future hearing. Officials also said the league sympathizes with Fishlock's opinions, but that on the larger issue of Wal-Mart competition as in the Utah FDIC-ILC application, it finds fault with the banker position of seeking to thwart competition.

"This is an issue in which the marketplace should decide," declared Rob Kimmett, senior vice president of the league. The banking lobby in typical form "seeks to regulate or legislate" competition as it sees fit. [email protected]